a.
Introduction:
Departmental Costing: Normally, a business is a cluster of various departments. To achieve good progress, all the departments have to work efficiently by coordinating with each other. But in terms of cost, each and every cost incurred in a department has to be accounted for separately. Departmental costing is a method of computing costs based on the income and expenses of a specific department.
To determine: The total amount of direct costs listed in the A Department.
b.
Introduction:
Departmental Costing: Normally, a business is a cluster of various departments. To achieve good progress, all the departments have to work efficiently by coordinating with each other. But in terms of cost, each and every cost incurred in a department has to be accounted for separately. Departmental costing is a method of computing costs based on the income and expenses of a specific department.
To determine: The total amount of direct costs listed in the E Store.
Introduction:
Departmental Costing: Normally, a business is a cluster of various departments. To achieve good progress, all the departments have to work efficiently by coordinating with each other. But in terms of cost, each and every cost incurred in a department have to be accounted for separately. Departmental costing is a method of computing costs based on the income and expenses of a specific department.
To determine: The total amount of the A Department’s direct costs which are considered as variable cost in the total departmental sales.
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Chapter 1 Solutions
MANAGERIAL ACCOUNTING CONNECT ACCESS <C>
- Moti Bakery produces various baked goods. Utility costs are allocated to the products based on the baking time required for each product. Total utility costs of $270,000 are budgeted in a period when 540,000 total minutes of baking time are anticipated. If a batch of bagels bakes for 25 minutes, what amount of utility cost will be allocated to the bagels?arrow_forwardhe following is a December 31, 2024, post-dosing trial balance for Almway Corporation. Account Title Debits Credits Cash 45,000 Investments 110,000 Accounts receivable 60,000 Inventories 200,000 Prepaid insurance (for the next 9 months) 9,000 Land 90,000 Buildings 420,000 Accumulated depreciation-buildings $ 100,000 Equipment 110,000 60,000 10,000 75.000 130.000 20.000 240,000 300.000 129.000 Accumulated depreciation-equipment Patents (net of amorization) Accounts payable Notes payable Interest payable Bonds Payable Common stock Retained eamings Totals Additional information: $ 1,054,000 $ 1,054,000 1. The investment account includes an investment in common stock of another corporation of $30,000 which management intends to hold for at least three years. The balance of these investments is intended to be sold in the coming year. 2. The land account includes land which cost $25,000 that the company has not used and is currently listed for sale. 3. The cash account includes $15,000…arrow_forwardWhich is not a Risk Assessment Procedure?a. Ratio Analysisb. Observation of Activitiesc. Account Receivable confirmationsd. Inspection of Documentse. Inquiry of Internal Auditors Is it a or c ???arrow_forward
- How much cost will be allocatedarrow_forwardWhat is row in 2008?arrow_forwardSirus Co purchased tool sharpening equipment on October 1 for $47,250. The equipment was expected to have a useful life of 3 years or 5,400 operating hours, and a residual value of $1,350. The equipment was used for 1,000 hours during Year 1, 1,900 hours in Year 2, 1,600 hours in Year 3, and 900 hours in Year 4.Required:Determine the amount of depreciation expense for the years ended December 31, Year 1, Year 2, Year 3, and Year 4, by (a) the straight-line method, (b) the units-of-activity method, and (c) the double-declining-balance method. FOR DECLINING BALANCE ONLY, round the multiplier to four decimal places. Then round the answer for each year to the nearest whole dollar. (unsure if my answers are correct. Straight line method Year 1 __ Year 2___ Year 3___ Year 4___ Units of activity method Year 1 Year2 Year3 Year4 Double declin balance method Year 1 year 2 year 3 year 4arrow_forward
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