Question 9 Company 9 makes three products, P, Q and R. Unit costs and revenues relating to these three products are as follows: P R £ 1,500 £ 2,500 | 3,300 Selling price Direct materials Direct labour Variable overheads 450 650 1,160 250 150 650 50 30 130 Fixed overheads 300 200 400 1,230 2,140 1,270| 1,160 Total costs 1,050 Profit per unit 450 All three products use labour which costs £50 an hour but suitable labour is in such short supply that the company cannot fulfil the demand for these three products in their entirety. In what order should these three products be produced if the company wishes to maximise its profit? Best 2nd best 3rd best A P Q R B R Q C Q R P Q R

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Exercise 18-5 Measuring costs using high-low method P1 Felix & Co. reports the following information. (1) Use the high-low method to estimate the fixed and variable components of total costs. (2) Estimate total costs if 3,000 units are produced. Period 3 5 Units Produced Total Costs 0 $2,500 400 3,100 800 3,700 4,300 4,900 1,200 1,600 Period 6...... 7...... 8. 10...... Units Produced Total Costs 2,000 $5,500 2,400 6,100 2,800 6,700 3,200 3,600 7,300 7,900

Question 5 Kukrudu Co. Ltd produces three modules of a product namely Hwentsia (H), Prekese (P) and Kakaduro (K). The following data related to the products for the period. Н K Total GH¢ 000 GH¢ 000 GH¢ 000 GH¢°000 Direct Material 240 200 150 14.4 590 92.4 Direct Labour Cost 24 54 Overheads Machine settings Overhead Processing Warehouse Cost 26 64 93 Energy to run machine Shipping A consultant, Mr. P. S. Initiative recommended the following after a detailed study of the company's production process. 42 36 АСTIVITY COST DRIVER ACTIVITY LEVEL H K a. Machine setup b. Sales order processing c. Warehouse cost d. Energy e. Shipping It is the policy of the Kukrudu Co. Ltd. to make a profit margin of 25% on its products. Required: Calculate the selling price of each of the three (3) products No. of Production runs 22 34 44 No. of sales received 600 200 600 400 400 No of units held in inventory 200 Machine Hours 10,000 16,000 24,000 No. of Units shipped 1000 4000 10,000 (all calculations should…

Question 4 The following data is available for the products that a company manufactures: Sales price Costs: Direct material Direct labour Variable manufacturing overhead Fixed manufacturing overhead Paragraph BI UA/ 叩く Product A $120 IIII 50 27 Material required 2.3 meters 3.0 meters 1.5 hours 1.0 hours Direct labour hours required Machine hours required 0.8 hours 0.5 hours The demand for each product exceeds the capacity of labour hours available to produce them. Required: 1. Compute the amount of contribution margin (profitability index) for Product B given the indicated constraint. 2. If the company has the indicated constraint, what are two ways they can increase capacity at the bottleneck? 16 8 Product B $140 +v 40 18 10 5

Can you answer the questions in 17-3B #1-4

M Thu Sep 8 t 14 of 15 AA Period Ce b Home | bartl... 23 my.post.edu... X 14 Unit 1-... 14 rint ezto.mheducation.com A Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense 5 Total direct manufacturing cost Total indirect manufacturing cost Okay C Required information [The following information applies to the questions displayed below.] Martinez Company's relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its average costs per unit are as follows: G what is the h. Average Cost per Unit $ 7.00 $4.50 $ 1.40 $ 4.00 $4.00 $ 2.10 $ 1.10 $ 0.55 14. If 12,000 units are produced, what are the total amounts of direct and indirect manufacturing costs incurred to support this level of production? (Do not round intermediate calculations.) @ 29% 4 + 88 Init 1-C... You a

PROBLEM 3 Selected data about Pitkin Company's manufacturing operations at two levels of activity are given below: Number of units produced.. Total manufacturing costs. Direct material cost per unit. Direct labor cost per unit...... 15,000 10,000 $157,000 $225,000 $4 $6 $4 $6 Required: Using the high-low method, estimate the cost formula for manufacturing overhead. Assume that both direct material and direct labor are variable costs.

EXERCISE 1-7 Direct and Indirect Costs L01-1 2.000.81 10 Kubin Company's relevant range of production is 18,000 to 22,000 units. When it produces and sells 20,000 units, its average costs per unit are as follows: Juris Required: 1. 2. 3. 4. a. b. a. b. the Untus ha babubong asin Direct materials.. Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense.. Sales commissions...... Variable administrative expense. b. Average Cost per Unit $7.00 $4.00 $1.50 $5.00 $3.50 $2.50 $1.00 $0.50 Assume the cost object is units of production: What is the total direct manufacturing cost incurred to make 20,000 units? What is the total indirect manufacturing cost incurred to make 20,000 units? Assume the cost object is the Manufacturing Department and that its total output is 20,000 units. How much total manufacturing cost is directly traceable to the Manufacturing Department? How much total manufacturing cost is an indirect cost that…