Please do not give solution in image format thanku Wildhorse provides environmentally friendly lawn services for homeowners. Its operating costs are as follows.Depreciation (straight-line) $1,400 per monthAdvertising$300per monthInsurance$2,920per month$22per lawn$12per lawn$2 per lawnWeed and feed materialsDirect laborFuelWildhorse charges $80 per treatment for the average single-family lawn. For the month ended July 31, 2022, the company had totalsales of $9,600.(a)Prepare a CVP income statement for the month ended July 31, 2022.>>$TotalWILDHORSECVP Income Statement$Per UnitPercent of Sales%do%do%

A CVP, or cost-volume-profit, income statement uses the same information to show how changes in…

Wildhorse charges $80 per treatment for the average single-family lawn. For the month ended July 31, 2022, the company had total sales of $9,600. (a) Prepare a CVP income statement for the month ended July 31, 2022. Total WILDHORSE CVP Income Statement Per Unit Percent of Sales

Wildhorse charges $80 per treatment for the average single-family lawn. For the month ended July 31, 2022, the company had total sales of $9,600. (a) Prepare a CVP income statement for the month ended July 31, 2022. Total WILDHORSE CVP Income Statement Per Unit Percent of Sales

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter2: Basic Cost Management Concepts

Section: Chapter Questions

Problem 7CE: Jean and Tom Perritz own and manage Happy Home Helpers. Inc. (HHH), a house-cleaning service. Each...

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Skysong Paper Products purchased 10,600 acres of forested timberland in March 2020. The company paid $1,802 per acre for this land, which was above the $848 per acre most farmers were paying for cleared land. During April, May, June, and July 2020, Skysong cut enough timber to build roads using moveable equipment purchased on April 1, 2020. The cost of the roads was $265,100, and the cost of the equipment was $238,500; this equipment was expected to have a $9,540 salvage value and would be used for the next 15 years. Skysong selected the straight-line method of depreciation for the moveable equipment. Skysong began actively harvesting timber in August and by December had harvested and sold 572,400 board feet of timber of the estimated 7,155,000 board feet available for cutting.In March 2021, Skysong planted new seedlings in the area harvested during the winter. Cost of planting these seedlings was $127,200. In addition, Skysong spent $8,480 in road maintenance and $6,360 for pest…
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can you please help me answer this problem... Fleet Sports purchased a production machine with a cost of $180,000 at the beginning of 2019. Transportation costs to get the machine ready were $5,000. An additional $15,000 of labor costs were incurred to assemble the machine. The equipment has an estimated life of 10 years or 100,000 snowboards (units of product). The estimated residual value is $20,000. During 2019, 17,000 snowboards (units of product) were produced with this machinery. Determine the following, and show your work: What is the depreciation expense per unit of production using the units-of-production depreciation? What is the total depreciation expense at December 31, 2019, using units-of-production depreciation? What journal entry is needed at the end of 2019 to record depreciation expense using straight-line depreciation? What is the book value of the equipment at the end of 2020 using straight-line depreciation? What is depreciation expense for the equipment…
Jean and Tom Perritz own and manage Happy Home Helpers. Inc. (HHH), a house-cleaning service. Each cleaning (cleaning one house one time) takes a team of three house cleaners about 1.5 hours. On average, HHH completes about 15,000 cleanings per year. The following total costs are associated with the total cleanings: Next year, HHH expects to purchase 25,600 of direct materials. Projected beginning and ending inventories for direct materials are as follows: There is no work-in-process inventory and no finished goods inventory; in other words, a cleaning is started and completed on the same day. Required: 1. Prepare a statement of cost of services sold in good form. 2. How does this cost of services sold statement differ from the cost of goods sold statement for a manufacturing firm?
Jean and Tom Perritz own and manage Happy Home Helpers, Inc. (HHH), a house-cleaning service. Each cleaning (cleaning one house one time) takes a team of three house cleaners about 1.5 hours. On average, HHH completes about 15,000 cleanings per year. The following total costs are associated with the total cleanings: Next year, HHH expects to purchase 25,600 of direct materials. Projected beginning and ending inventories for direct materials are as follows: There is no work-in-process inventory; in other words, a cleaning is started and completed on the same day. Required: 1. Prepare a statement of services produced in good form. 2. What if HHH planned to purchase 30,000 of direct materials? Assume there would be no change in beginning and ending inventories of materials. Explain which line items on the statement of services produced would be affected and how (increase or decrease).
Jean and Tom Perritz own and manage Happy Home Helpers, Inc. (HHH), a house-cleaning service. Each cleaning (cleaning one house one time) takes a team of three house cleaners about 1.5 hours. On average, HHH completes about 15,000 cleanings per year. The following total costs are associated with the total cleanings: Next year, HHH expects to purchase 25,600 of direct materials. Projected beginning and ending inventories for direct materials are as follows: There is no work-in-process inventory and no finished goods inventory; in other words, a cleaning is started and completed on the same day. HHH expects to sell 15,000 cleanings at a price of 45 each next year. Total selling expense is projected at 22,000, and total administrative expense is projected at 53,000. Required: 1. Prepare an income statement in good form. 2. What if Jean and Tom increased the price to 50 per cleaning and no other information was affected? Explain which line items in the income statement would be affected and how.
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Highsmith Rental Company purchased an apartment building early in 2018. There are 20 apartments in the building and each is furnished with major kitchen appliances. The company has decided to use the group depreciationmethod for the appliances. The following data are available:Appliance CostResidualValueService Life(in years)Stoves $15,000 $3,000 6Refrigerators 10,000 1,000 5Dishwashers 8,000 500 4In 2021, three new refrigerators costing $2,700 were purchased for cash. The old refrigerators, which originallycost $1,500, were sold for $200.Required:1. Calculate the group depreciation rate, group life, and depreciation for 2018.2. Prepare the journal entries to record the purchase of the new refrigerators and the sale of the old refrigerator
2. Foxx Company manufactures water sealant. This sealant is used to stop leaks in basement orin concrete retainer walls. In 2019 the company sold 1.6M gallons of sealant at price of P3.00per gallon with a variable cost per gallon of P1.50. The fixed costs were P1,550,000In 2020, new automated equipment will be used in production. This will increase fixed costsfor the year to P1,785,000. The variable cost per gallon has been estimated at P1.30 per gallon.The sales volume increased by 15% percent in 2020.Required:1. For 2019 compute the BEP in gallons and pesos.2. For 2020 compute the BEP in gallons and pesos.3. How much is the EBIT for 2019 & 20204.Using the cost and revenue data for 2019 consider each of the following situationsindependently:a. What is the effect on the break even point (in gallons) for the decrease in variable cost fromP1.50 to P1.30?b. What is the effect on the break even point for the increase in fixed costs of P235,000?
University Car Wash built a deluxe car wash across the street from campus. The new machines cost $237,000 including installation. The company estimates that the equipment will have a residual value of $28,500. University Car Wash also estimates it will use the machine for six years or about 12,500 total hours. Actual use per year was as follows: Year Hours Used 2,700 2,000 2,100 1,900 1,700 2,100 4 2. Prepare a depreciation schedule for six years using the double-declining-balance method. (Do not round your intermediate calculations.) UNIVERSITY CAR WA SH Depreciation Schedule-Double-Declining-Balance End of year amounts Depreciation Expense Accumulated Year Book Value Depreciation 1 3 4 6. Total %24