Q.15 Sheridan company produces three versions of baseball bats: wood, aluminum, and hard rubber…. Sheridan Company produces three versions of baseball bats: wood, aluminum, and hard rubber. A condensed segmented incomestatement for a recent period follows:SalesVariable expensesContribution marginFixed expensesNet income (loss)Wood$65000$55000$43000O$190000$44000032500011500075000$40000Aluminum Hard Rubber$65000$2500001900006000035000$ 2500058000700022000$(15000)Total$755000573000182000132000$50000Assume none of the fixed expenses for the hard rubber line are avoidable. What will be total net income if the line is dropped?

Since Fixed costs are not avoidable, even the Hard rubber segment is dropped.Total costs should…

Sheridan Company produces three versions of baseball bats: wood, aluminum, and hard rubber. A condensed segmented income statement for a recent period follows: Sales Variable expenses Contribution margin Fixed expenses Net income (loss) Wood $440000 O $65000 O$55000 $43000 O$190000 325000 115000 75000 $40000 Aluminum Hard Rubber $250000 190000 60000 35000 $ 25000 $65000 58000 7000 22000 $(15000) Total $755000 573000 182000 132000 $50000 Assume none of the fixed expenses for the hard rubber line are avoidable. What will be total net income if the line is dropped?

Sheridan Company produces three versions of baseball bats: wood, aluminum, and hard rubber. A condensed segmented income statement for a recent period follows: Sales Variable expenses Contribution margin Fixed expenses Net income (loss) Wood $440000 O $65000 O$55000 $43000 O$190000 325000 115000 75000 $40000 Aluminum Hard Rubber $250000 190000 60000 35000 $ 25000 $65000 58000 7000 22000 $(15000) Total $755000 573000 182000 132000 $50000 Assume none of the fixed expenses for the hard rubber line are avoidable. What will be total net income if the line is dropped?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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EX 22
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*** ******** NA A ** G 14* CERRADAS W S X ** E D C S Question 26 of 30 View Policies Current Attempt in Progress Reynoso Corporation manufactures titanium and aluminum tennis racquets. Reynoso's total overhead costs consist of assembly costs and inspection costs. The following information is available: Assembly Inspections Cost ** Save for Later R O $30450. O $30000. O $31500. O $42000. .. V % 5 500 mach. hours ► Titanium 2100 labor hours Reynoso is considering switching from one overhead rate based on labor hours to activity-based costing. Using activity-based costing, how much assembly cost is assigned to titanium racquets? 350 G proys sawted Guru une plus yomon d B C WAS MAN Y H N Aluminum 500 mach. hours 1900 labor hours U 150 J * 8 M K b Total Cost 9 $60000 $118000 C hp 4 P LIEN 3 OF 1 FORTAZE PRANCIAL D bellefler Medited put 3 BOL [ Attempts: 0 of 1 used Submit Answer prt so ← pause backspace -/3 E **C RDE enter scr ik insert delete t shift pause home end clear pg up pg dn S
pter 11 Assignment i Requlred Informatlon The following information applies to the questions displayed below.] Cane Company manufactures two products called Alpha and Beta that sell for $225 and $175, respectively. Each product uses only one type of raw material that costs $6 per pound. The company has the capacity to annually produce 130,000 units of each product Its average cost per unit for each product at this level of activity are given below. Alpha $ 42, vて $ 24 Direct labor Variable manufacturing overhead Traceable fFixed manufacturing overhead Variable selling expenses Common fixed expenses 42. 34 31. 34 Total cost per unit $173 The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are unavoidable and have been allocated to products based on sales dollars. 15. Assume that Cane's customers would buy a maximum of99,000 units of Alpha and 79,000 units of Beta. Also assume that the raw material available for production…
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2 S Required information The Foundational 15 (Algo) [LO7-1, LO7-2, LO7-3, LO7-4, LO7-5] [The following information applies to the questions displayed below.] Diego Company manufactures one product that is sold for $77 per unit in two geographic regions-the East and West regions. The following information pertains to the company's first year of operations in which it produced 59,000 units and sold 54,000 units. Variable costs per unit: Manufacturing: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative Fixed costs per year: Fixed manufacturing overhead Fixed selling and administrative expense $ 27 $ 10 $2 $3 Foundational 7-10 (Algo) $ 1,298,000 $ 662,000 The company sold 41,000 units in the East region and 13,000 units in the West region. It determined that $330,000 of its fixed selling and administrative expense is traceable to the West region, $280,000 is traceable to the East region, and the remaining $52,000 is a common fixed expense. The…
12 rt 12 of 15 nts Print Mc Graw and on Required information [The following information applies to the questions displayed below.] Martinez Company's relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its average costs per unit are as follows: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense 12. If 12,500 units are produced, what is the total amount of manufacturing overhead cost incurred to support this level of production? What is this total amount expressed on a per unit basis? (Round your "per unit" answer to 2 decimal places.) Total manufacturing overhead cost Manufacturing overhead per unit (3 f4 f5 J Next W f1024 咽 FRIA
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2 43 es ! Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] Textra produces parts for a machine manufacturer. Parts go through two departments, Molding and Trimming. The company budgets overhead cost of $246,250 in the Molding department and $206,250 in the Trimming department. The company budgets 16,000 machine hours (MH) in Molding and 25,000 direct labor hours (DLH) in Trimming. Actual production information follows. Number of Molding Department Part Z Units 3,000 Hours per Unit Total Hours Trimming Department Hours per Unit Total Hours 2.0 MH per unit Part X Totals 4,000 2.5 MH per unit 6,000 MH 10,000 MH 16,000 MH 3 DLH per unit 9,000 DLH 4 DLH per unit 16,000 DLH 25,000 DLH Exercise 17-7 (Algo) Plantwide overhead rate LO P1 Required: 1. Compute the plantwide overhead rate using direct labor hours as the allocation base. 2. Determine the overhead cost per unit for each part using…
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