We know the following for Train Company: Direct Materials: $400,000 Rent on Corporate Sales Office: $10,000 Direct Labor: $250,000 $100,000 Indirect Materials: $25,000 Depreciation on Factory Equipment Rent on Factory: Commissions for Selling Team: $50,000 $45,000

Q: a prod

A: Standard costs are the anticipated costs of manufacturing the product. Standard Direct Materials…

Q: discuss the various costing methods?

A: Various Methods of costing are as follows: 1) Unit Costing 2) Operating Costing 3) Contract Costing…

Q: Sana Rosa Company manufactures unfinished home furniture. Sana Rosa uses a standard cost system. The…

A: Product cost refers to those expenses which are incurred by a company while manufacturing a…

Q: Define restructuing costs.

A: Income statement: The financial statement which reports revenues and expenses from business…

Q: Explain how a scatter graph is used to identify and measure cost behavior.

A: A Scatter graph is a graphical tool that plots activity level on the x-axis and matches total cost…

Q: Explain why knowledge of cost behavior is useful in product performance evaluation.

A: Definition: Product performance: Product performance indicates how well the product is flourishing…

Q: Explain the role of value engineering in target costing.

A: Value engineering’s main motive is to reduce the cost and to provide good quality products that will…

Q: How to calculate manufacturing costs

A: How to calculate manufacturing costs.

Q: How do I find the product cost per unit?

A: Product costing is the computation or determination of the total costs of the product that is…

Q: xplain the main principles of Direct costing

A: Solution Concept Direct costing                 This is a method of costing which is based on the…

Q: Why is it important to keep track of both direct and indirect costs? How do these costs effect…

A: (a )If we keep a tracking record of direct and indirect costs we can determine the firm's…

Q: Describe the term direct costing.

A: Direct costing: It is the method wherein, the variable manufacturing costs are allocated to…

Q: Please specify and explain the average cost answers.

A: Average cost method assign the cost to inventory item on based on total cost of inventory dividend…

Q: Define absorption costing.

A: Absorption costing refers to managerial accounting cost method for expending each costs associated…

Q: Which one of the following is another name for product costs? Select one: a. Direct costs b. Period…

A: Product cost means the cost of producing one unit of finished goods.

Q: re the difference between traditional product costs and activity-based product

A: Traditional product costs: The traditional method of allocating product costs is to allocate the…

Q: Define production cost report.

A: The production cost report. summarizes the production and cost activity within a department for a…

Q: Briefly explain how product costs are viewed on a flow-of-activity basis.

A: Product costs on a flow-of-activity basis involve looking at the costs associated with the…

Q: Required: Compute the total product costs

A: Introduction:- Product costs means any cost incurred for manufacture or create a product. Product…

Q: Product Cost Flows Complete the following T-accounts: Materials Inventory Wages Payable Finished…

A: Transfer the relevant amounts to relevant accounts, and close the accounts.

Q: Explain why managers need to allocate indirect costs to the cost objects when calculating product…

A: Cost accounting is one of the important branch of accounting. Under this, different type of costs…

Q: Briefly explain how a traditional, volume-based product-costing system operates.

A: Cost:   It is the economic value of resources incurred by a firm to manufacture a product or render…

Q: How is the cost price of the finished product formed / shaped?

A: production of goods and providing of services various cost , These are variable and fixed , the…

Q: Explain how a cost item can be both a direct cost and an indirect cost.

A: Direct Cost:  Direct Cost means Cost which can be directly allocated to Cost centre/Cost unit. It…