The following information for the year 2019 is provided by Tromben Ltd: Question 1- lIdentification of...
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The following information for the year 2019 is provided by Tromben Ltd: Question 1- lIdentification of types of costs From the information provided, calculate the following costs: Total sales revenue $5,200,000 Direct labour hours 100 000 hours Machine hours 80 000 hours Total direct costs Costs: Depreciation: factory equipment Depreciation: factory building Depreciation: administration equipment $280,000 Total overhead costs $720,000 Total manufacturing costs $60,000 Direct materials $500,000 Total non-manufacturing costs $130,000 Factory electricity Sales commission (5% sales revenue) Total full costs $260,000 Indirect labour $300.000 Labour rate ($/DLH) Machine and maintenance repairs $78,000 General administration $120.000 $2,000,000 $20,000 $10,000 $12,000 Direct labour Interest Lubricants and cleaning materials factory Rent marketing and sales office Other miscellaneous production costs Question 2 - Calculation of OH rates $24,000 Quality control costs $30,000 Calculate the total overhead rates using: a) DL hours as the cost driver b) Machine hours as the cost driver a) Rate based on DL hours b) Rate based on machine hours The following information for the year 2019 is provided by Tromben Ltd: Question 1- lIdentification of types of costs From the information provided, calculate the following costs: Total sales revenue $5,200,000 Direct labour hours 100 000 hours Machine hours 80 000 hours Total direct costs Costs: Depreciation: factory equipment Depreciation: factory building Depreciation: administration equipment $280,000 Total overhead costs $720,000 Total manufacturing costs $60,000 Direct materials $500,000 Total non-manufacturing costs $130,000 Factory electricity Sales commission (5% sales revenue) Total full costs $260,000 Indirect labour $300.000 Labour rate ($/DLH) Machine and maintenance repairs $78,000 General administration $120.000 $2,000,000 $20,000 $10,000 $12,000 Direct labour Interest Lubricants and cleaning materials factory Rent marketing and sales office Other miscellaneous production costs Question 2 - Calculation of OH rates $24,000 Quality control costs $30,000 Calculate the total overhead rates using: a) DL hours as the cost driver b) Machine hours as the cost driver a) Rate based on DL hours b) Rate based on machine hours
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Question 1 Direct Cost Overhead Cost Non Manufacturing Cost Direct Material 50000... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-0324592375
17th Edition
Authors: James D. Stice, Earl K. Stice, Fred Skousen
Posted Date:
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