Table 1: Budgeted Monthly Overhead Cost Breakdown Overhead Cost Item Cost ($) Production Supplies 3,600 Facility Costs 6,300 Purchase Support Costs 2,000 Customer Order Support Costs 4,000 Master Chocolatier Salary 3,900 VP of Operations Salary 5,000 Total Budgeted Overhead Costs $24,800 Table 2: Average Selling Prices and Direct Material Costs of C.C. Chocolate Bars 1.25 oz. Bar 3.0 oz. Bar 3.25 oz. Bar Selling Price per Bar Non-organic $1.50 $2.40 N/A Organic $2.00 ΝΑ $3.00 Cost of Chocolate Ingredients Non-organic $0.18 $0.44 N/A Organic $0.33 N/A $0.83 Cost of Foil $0.03 $0.06 $0.06 Cost of Label $0.03 $0.08 $0.08 Total Direct Material Cost per Non-organic $0.24 $0.58 N/A Bar Organic $0.39 N/A $0.97 Table 3: Amanda's Current Direct Labour Cost Estimates per Bar Production Department 1.25 oz. Bar 3.0 oz. Bar 3.25 oz. Bar Pouring $0.03 $0.08 $0.08 Inspection $0.05 $0.02 $0.02 Foiling $0.06 $0.06 $0.06 Labelling $0.06 $0.06 $0.06 Total Direct Labour Cost per Bar $0.20 $0.22 $0.22 BU 247 Case Assignment | Page 5 Table 4: Amanda's Current Estimated Overhead Cost per Bar Total Overhead Costs Bars per hour $24,800 175 Production hours per day X 8.0 Average Work Days per Month X 20.5 Practical Capacity Volume (# Bars) per +28,700 Month Overhead cost per Bar $0.86 Total Overhead Costs Table 4: Amanda's Current Estimated Overhead Cost per Bar Bars per hour $24,800 175 Production hours per day X 8.0 Average Work Days per Month X 20.5 Practical Capacity Volume (# Bars) per +28,700 Month Overhead cost per Bar $0.86 Table 5: Current Monthly Sales based on Regular Orders by Product Line Total # Bars Product Line 1: 1.25 oz. Organic 10,000 Product Line 2: 1.25 oz. Non-Organic 5,000 Product Line 3: 3.0 oz. Non- Organic 200 Product Line 4: 3.25 oz. Organic 300 across all orders
Table 1: Budgeted Monthly Overhead Cost Breakdown Overhead Cost Item Cost ($) Production Supplies 3,600 Facility Costs 6,300 Purchase Support Costs 2,000 Customer Order Support Costs 4,000 Master Chocolatier Salary 3,900 VP of Operations Salary 5,000 Total Budgeted Overhead Costs $24,800 Table 2: Average Selling Prices and Direct Material Costs of C.C. Chocolate Bars 1.25 oz. Bar 3.0 oz. Bar 3.25 oz. Bar Selling Price per Bar Non-organic $1.50 $2.40 N/A Organic $2.00 ΝΑ $3.00 Cost of Chocolate Ingredients Non-organic $0.18 $0.44 N/A Organic $0.33 N/A $0.83 Cost of Foil $0.03 $0.06 $0.06 Cost of Label $0.03 $0.08 $0.08 Total Direct Material Cost per Non-organic $0.24 $0.58 N/A Bar Organic $0.39 N/A $0.97 Table 3: Amanda's Current Direct Labour Cost Estimates per Bar Production Department 1.25 oz. Bar 3.0 oz. Bar 3.25 oz. Bar Pouring $0.03 $0.08 $0.08 Inspection $0.05 $0.02 $0.02 Foiling $0.06 $0.06 $0.06 Labelling $0.06 $0.06 $0.06 Total Direct Labour Cost per Bar $0.20 $0.22 $0.22 BU 247 Case Assignment | Page 5 Table 4: Amanda's Current Estimated Overhead Cost per Bar Total Overhead Costs Bars per hour $24,800 175 Production hours per day X 8.0 Average Work Days per Month X 20.5 Practical Capacity Volume (# Bars) per +28,700 Month Overhead cost per Bar $0.86 Total Overhead Costs Table 4: Amanda's Current Estimated Overhead Cost per Bar Bars per hour $24,800 175 Production hours per day X 8.0 Average Work Days per Month X 20.5 Practical Capacity Volume (# Bars) per +28,700 Month Overhead cost per Bar $0.86 Table 5: Current Monthly Sales based on Regular Orders by Product Line Total # Bars Product Line 1: 1.25 oz. Organic 10,000 Product Line 2: 1.25 oz. Non-Organic 5,000 Product Line 3: 3.0 oz. Non- Organic 200 Product Line 4: 3.25 oz. Organic 300 across all orders
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
PLEASE HELP ME SOLVE THISS. I really tried and i'm not getting the right answer.
Question: Determine the total monthly
lines from each of the four production departments. Note: In your intermediary
calculations, make sure to show the total costs allocated from each production
department to each product line
Transcribed Image Text:Table 1: Budgeted Monthly Overhead Cost Breakdown
Overhead Cost Item
Cost ($)
Production Supplies
3,600
Facility Costs
6,300
Purchase Support Costs
2,000
Customer Order Support Costs
4,000
Master Chocolatier Salary
3,900
VP of Operations Salary
5,000
Total Budgeted Overhead Costs
$24,800
Table 2: Average Selling Prices and Direct Material Costs of C.C. Chocolate Bars
1.25 oz. Bar
3.0 oz.
Bar
3.25 oz.
Bar
Selling Price per Bar
Non-organic
$1.50
$2.40
N/A
Organic
$2.00
ΝΑ
$3.00
Cost of Chocolate Ingredients
Non-organic
$0.18
$0.44
N/A
Organic
$0.33
N/A
$0.83
Cost of Foil
$0.03
$0.06
$0.06
Cost of Label
$0.03
$0.08
$0.08
Total Direct Material Cost per
Non-organic
$0.24
$0.58
N/A
Bar
Organic
$0.39
N/A
$0.97
Table 3: Amanda's Current Direct Labour Cost Estimates per Bar
Production Department
1.25 oz. Bar
3.0 oz. Bar
3.25 oz. Bar
Pouring
$0.03
$0.08
$0.08
Inspection
$0.05
$0.02
$0.02
Foiling
$0.06
$0.06
$0.06
Labelling
$0.06
$0.06
$0.06
Total Direct Labour Cost per Bar
$0.20
$0.22
$0.22
BU 247 Case Assignment | Page 5
Table 4: Amanda's Current Estimated Overhead Cost per Bar
Total Overhead Costs
Bars per hour
$24,800
175
Production hours per day
X 8.0
Average Work Days per Month
X 20.5
Practical Capacity Volume (# Bars) per
+28,700
Month
Overhead cost per Bar
$0.86
Transcribed Image Text:Total Overhead Costs
Table 4: Amanda's Current Estimated Overhead Cost per Bar
Bars per hour
$24,800
175
Production hours per day
X 8.0
Average Work Days per Month
X 20.5
Practical Capacity Volume (# Bars) per
+28,700
Month
Overhead cost per Bar
$0.86
Table 5: Current Monthly Sales based on Regular Orders by Product Line
Total # Bars
Product Line 1:
1.25 oz. Organic
10,000
Product Line 2:
1.25 oz. Non-Organic
5,000
Product Line 3:
3.0 oz. Non-
Organic
200
Product Line 4:
3.25 oz. Organic
300
across all
orders
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