WP Corporation produces products X, Y, and Z from a single raw material input in a joint production process. Budgeted data forthe next month is as follows:Units producedPer unit sales value at split-offAdded processing costs per unitPer unit sales value if processed furtherProduct X2,500$ 23.00$ 2.00Product Y3,000$ 24.00$ 4.00Product Z4,000$ 25.00$ 4.00$ 27.00$ 27.00$ 32.00The cost of the joint raw material input is $92,000. Which of the products should be processed beyond the split-off point?Product YABCDA)Product XyesProduct ZyesnoB)yesnoyesc)noyesnoD)noyesyes

Raw materials are the type of inventory of materials or substances that are used in the production…

WP Corporation produces products X, Y, and Z from a single raw material input in a joint production process. Budgeted data for the next month is as follows: Units produced Per unit sales value at split-off Added processing costs per unit Per unit sales value if processed further Product X 2,500 $ 23.00 $ 2.00 $ 27.00 Product Y 3,000 $ 24.00 $ 4.00 Product Z 4,000 $ 25.00 $ 4.00 $ 27.00 $ 32.00 The cost of the joint raw material input is $92,000. Which of the products should be processed beyond the split-off point? Product Y yes no A) Product X yes Product Z no B) yes yes C) no yes no D) no yes yes

WP Corporation produces products X, Y, and Z from a single raw material input in a joint production process. Budgeted data for the next month is as follows: Units produced Per unit sales value at split-off Added processing costs per unit Per unit sales value if processed further Product X 2,500 $ 23.00 $ 2.00 $ 27.00 Product Y 3,000 $ 24.00 $ 4.00 Product Z 4,000 $ 25.00 $ 4.00 $ 27.00 $ 32.00 The cost of the joint raw material input is $92,000. Which of the products should be processed beyond the split-off point? Product Y yes no A) Product X yes Product Z no B) yes yes C) no yes no D) no yes yes

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Lean Accounting The annual budgeted conversion costs for a lean cell are $70,500 for 1,500 production hours. Each unit produced by the cell requires 18 minutes of cell process time.. During the month, 1,050 units are manufactured in the cell. The estimated materials costs are $52 per unit. (Round the per unit cost to the nearest cent and use in subsequent computations. If required, round your answers to the nearest dollar.) Journalize the following entries for the month: a. Materials are purchased to produce 1,110 units. b. Conversion costs are applied to 1,050 units of production. c. The cell completes 1,000 units, which are placed into finished goods. If an amount box does not require an entry, leave it blank. a. b.
The following data are given for Zoyza Company: Line Item Description Value Budgeted production (at 100% of normal capacity) 26,000 units Actual production 27,500 units Materials: Standard price per ounce $6.50 Standard ounces per completed unit 8 Actual ounces purchased and used in production 228,000 Actual price paid for materials $1,504,800 Labor: Standard hourly labor rate $22.00 per hour Standard hours allowed per completed unit 6.6 Actual labor hours worked 183,000 Actual total labor costs $4,020,000 Overhead: Actual and budgeted fixed overhead $1,029,600 Standard variable overhead rate $24.50 per standard labor hour Actual variable overhead costs $4,520,000 Overhead is applied on standard labor hours. The fixed factory overhead volume variance is a. $73,250 favorable b. $59,400 favorable c. $59,400 unfavorable
Prepare the sales budget (in dollars) for 20x0. light coils, heavy coils and projected sales.
Performance Report Based on Budgeted and Actual Levelsof ProductionBowling Company budgeted the following amounts:Variable costs of production:Direct materials 3 pounds @ $0.60 per poundDirect labor 0.5 hr. @ $16.00 per hourVOH 0.5 hr. @ $2.20FOH:Materials handling $6,200Depreciation $2,600 At the end of the year, Bowling had the following actual costs for production of 3,800 units:Direct materials $ 6,800Direct labor 30,500VOH 4,200FOH:Materials handling 6,300Depreciation 2,600Required:1. Calculate the budgeted amounts for each cost category listed above for the 4,000budgeted units.2. Prepare a performance report using a budget based on expected production of 4,000units.3. Prepare a performance report using a budget based on the actual level of production of3,800 units.
A company has the following budgeted and actual cost data for manufacturing 2,000 Product X units: Direct materials $50 per unit Direct labor $40 per unit Variable manufacturing overhead $ 5 $40,000 per year per unit Fixed manufacturing Overhead Product X sells for $200 per unit. Assume no beginning or ending inventories. The Gross Profit for selling 15 Product X units is %24
Samuel Corporation's budgeted production is 64,000 units per month. Each unit requires 2 hours of direct labor to complete. The direct labor cost is $48 per hour. Calculate the budgeted cost of direct labor for the month. A. 3,072,000 B. 3,071,904 C. 6,144,000 D. 6,400,000
The budgeted conversion costs for a just-in-time cell are $224,200 for 3,800 production hours. Each unit produced by the cell requires 45 minu process time. During the month, 2,300 units are manufactured in the cell. The estimated materials cost is $50 per unit. What is the journal ent units are completed and placed into finished goods? a. Raw and In Process Inventory 207,350 Finished Goods Inventory 207,350 Ob. Finished Goods Inventory 239,800 Raw and In Process Inventory 239,800 ○ c. Raw and In Process Inventory 239,800 Finished Goods Inventory 239,800 Od. Finished Goods Inventory 207,350 Raw and In Process Inventory 207,350
WP Corporation produces products X, Y, and Z from a single raw material input in a joint production process. Budgeted data for the next month is as follows: Units produced Per unit sales value at split-off Added processing costs per unit Per unit sales value if processed further Product X 2,200 $ 20.00 $ 5.00 Product Y 2,700 $ 26.00 $ 7.00 Product Z 3,700 $ 22.00 $ 7.00 $ 28.00 $ 28.00 $ 33.00 The cost of the joint raw material input is $75,000. Which of the products should be processed beyond the split-off point? Product X yes Product Y yes Product Z A) no B) yes no yes C) no yes no D) no yes yes Multiple Choice о Choice B О Choice C Choice D О Choice A
Budgeted information relating to two departments in Blair's Chairs Limited for the next period is as follows: Production Department overhead 1 2 £ 270,000 18,000 Direct material cost £ Direct Direct Machine labour cost labour hours hours £ 67,500 13,500 36,000 100,000 2,700 45,000 25,000 300 Individual direct labour workers within each department earn differing rates of pay according to their skills, grade and experience. What is the most appropriate production overhead absorption method for Department 1? A) $ per machine hour B) $ per direct labour hour C) Per cent of direct material cost D) Per cent of direct labour cost What is the most appropriate production overhead absorption method for Department 2? A) Per cent of direct material cost B) $ per machine hour C) Per cent of direct labour cost D) $ per direct labour hour
Vaughn Manufacturing expects a direct materials cost of $4 per unit for 300000 units (a total of $1200000 of direct materials costs). Vaughn's standard direct materials cost and budgeted direct materials cost is O Standard $1200000 per year $4 per unit $4 per unit $1200000 per year Budgeted $1200000 per year $4 per unit $1200000 per year $4 per unit