Standard cost system | Business & Finance homework help


Problem 10-46

Pharout Union uses a measure absorb method.  Job 822 is for the manufacturing of 500 aces of the emanation P521.  The union’s measures for one ace of emanation P521 are as follows:

 

QUANTITY

 

PRICE

Direct Materials

5 Ounces

$2 per Ounce

Direct Labour

2 Hours

$10 per Hour

 

The job required 2,800 ounces of raw representative absorbing $5,880.  A uncorroborative labour reprove strife of $250 and a corroborative labour competency strife of $100 so were decided for this job.

 

(a) Determine the trodden representative figure strife for job 822 domiciled on the real measure of representatives used.

(b) Determine the trodden representatives measure strife for job 822 domiciled on the real measure of representatives used.

(c) Determine the real measure of trodden labour hours used on job 822.

(d) Determine the real performance absorbs incurred for job 822.

 

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Problem 10-47

Each ace of job Y703 has measure requirements of 5 bruises of raw representative at a figure of $100 per bruise and 0.5 hours of trodden labour at $12 per hour.  To profit 9,000 aces of the emanation, job Y703 really required 40,000 bruises of the raw representative absorbing environing $97 per bruise.  The job used a completion of 5,000 trodden labour hours absorbing a completion of $60,000.

 

(a) Determine the representative figure strife for job Y703.

(b) Determine the representative measure strife for job Y703.

(c) Assume that the representatives used on this job were escheatmentd from a new supplier.  Would you applaud permanent delay this new supplier? 

      Why or why not?

(d) Determine the trodden labour reprove strife for job Y703.

(e) Determine the trodden labour competency strife for job Y703.

 Problem 10-54

Financial budgets: coin inflows Worthington Union makes coin (20% of completion sales), honor card (50% of completion sales), and representation (30% of completion sales) sales. Honor card sales are calm in the month subjoined the sale, net a 3% honor card fee. This instrument that if the sale is $100, the honor card union’s fee is $3, and Worthington receives $97. Representation sales are calm as follows: 40% in the chief month subjoined the sale, 50% in the succor month subjoined the sale, 8% in the third month subjoined the sale, and 2% never calm.

The subjoined table identifies the designed sales for the instant year:

 

Prepare a declaration showing the coin expected each month from the collections from these sales.

 

 

10-56   Financial budgets: compensation and require budgets Nathaniel’s Motor Provision does superior mend performance on automobile engines. The superior absorb in the provision is the compensation of the achievementmans. The provision employs nine achievementmans who are remunerated $750 each for performanceing a 40-hour week. The performanceweek consists of five days of eight hours each. Employees really performance seven hours each day owing they are consecrated one hour of breaks each day. They are exceedingly skilled and valued by their mistress, so these achievementmans are remunerated whether or not there is performance advantageous for them to do. They are so remunerated $30 for entire overtime hour or restricted overtime hour they performance.

The channel provision assiduity estimates that for entire achievementman hour really performanceed in a provision enjoy this, the employee consumes environing $25 of mutable buttress items, such as lubricants, utensil compressiveness, and electricity.

The motor provision estimates that the subjoined performance allure be advantageous each week during the instant 10 weeks:

 

Develop a weekly budget of achievementman compensation and mutable buttress absorbs.

 

 

Problem 10-59 – Master Budget

 

·      Adams Union is a merchandising fast that vends one emanation

·      The union estimates it allure vend 12,000 aces at $60 per ace in December

·      In November, the union expert the subjoined to prep a budget for December: 

 

Merchandise Inventory, December 1

2,000 Units

Desired Commodities Inventory for December 31

3,000 Units

Cost per ace of Commodities Purchases

$40

Selling and Administrative Expenses

$200,000

Cash Balance, December 1

$30,000

November Sales

$600,000

 

·      The union estimates that 60% of each month’s sales are calm in the month of sale and 40% is calm in the month behind sale

·      $200,000 of vending and admin includes $40,000 of depreciation

·      The union pays half for commodities escheatments in the month it is escheatmentd and pays the relics in the subjoined month

·      Estimated commodities escheatment in November is $340,000

·      All out-of-pocket requires are remunerated for in coin

 

a)How abundant aces of commodities allure Adams budget to escheatment in December?  What is the dollar whole of Adams’ budgeted commodities for December?

 

(b) Prepare a budgeted pay declaration for the month ended December for Adams Company.

(c) Prepare a declaration of estimated coin run for the month ended December for Adams Company.

 

Problem 10-74

 

Bakery Extraordinaire vends different types of muffins and scones and so vends carrot bread loaves.  Adapted course and sales quantities for February are shown here:

     

Planned Sales for February

  
     
 

Muffins

Scones

Carrot Bread

Totals

     

UnitPrice

$1.35

$1.75

$2.75

 

UnitSales

1,600

3,400

1,000

6,000

Total

$2,160

$5,950

$2,750

$10,860

     

· The real results for February are:

 

 

Actual Sales for February

  
     
 

Muffins

Scones

Carrot Bread

Totals

     

UnitPrice

$1.55

$1.60

$3.25

 

UnitSales

1,400

4,500

1,300

7,200

Total

$2,170

$7,200

$4,225

$13,595

 

 

The possessor would enjoy to apprehend how the figure substitute and measure substitute contributed to the $2,735 dissimilarity among adapted and real sales return.

 

(a) Compute the sales strife mix for each emanation direction and interpret the signification of each strife you computed.

(b) Compute the sales measure strife for each emanation direction and interpret the signification of each strife you computed.

(c) Compute the sales figure strife for each emanation enjoy and interpret the signification of each mutable you computed.