14 18 19 EMPLOYEES: one wh) MANUFACTURING SIMULATION: 20) Supervisor Sheets of material used: Number of Quilts are: 21 Measurer (uses the pencil and tuler) White: 151 22 (uses the scissors) Yellow 23 23 Assembler (uses the glue) Blue: : 28 24 25 26 27 COST VARIABLES: 28 Use these numbers for the variables in 652 29 the table of Section A below. A 116 30 60 31 32 33 34 35 ROUND ALL ANSWERS TO 2 DECIMAL PLACES (ie. $22.22); remember, you should be using formulas; 0, use the round function to round answers 36 37 A. The following production estimates were made for the coming year: 38 Total quilts to be produced 20,000 39 Total manufacturing hours available during the year 2.000 40 Total direct laborers 3 41 42 The following cost estimates were available at the beginning of the year. Use these estimates to determine 43 total estimated manufacturing overhead during the year: 44 Use variables from above for the blants." Estimate for Year 45 Production supervisor earns $1,000 per week (52 weeks per year) $ $ 52.000,00 16 Classroom rent is $ f***) per month 7,824.00 47 Utilities cost $ (***per quarter 2,608.00 48 Pencils cost $2.00 with a useful life of 20 hours 200.00 49 Scissors cost $(**)_with a uscful life of 80 hours 2,900.00 SO Rulers cost $0 with a useful life of 50 hours $ a 2,400.00 51 Glue cost $(cents per quilt 12,000.00 52 Total Estimated Manufacturing Overhead $ 79,932.00 53 =ROUNDX1000"52.2) =ROUNDG28*12.2) =ROUNDXC28*42) =ROUNDX(2 [139720.2) =ROXINEX(H396129780,2) =ROUND(H39*G30X50,2) -ROUNDXH38*06,2) =SUMROUNDS:151,2) Calculate the Predetermined Overhead PDOH) rate using direct labor hours (DLH) as the cost driver during the year to allocate manufacturing overhead to jobs and Work In Process Inventory: L=152/(H39*H:10) IS 13.32 per DLH =152/(H39 H40) 54 B 55 56 57 58 C C 59 60 61 62 63 64 65 66 67 68 69 70 71 72 731 74 75 76 Complete the following job out aboct for your in-dass job: Job Cost Sheet Direct Materials Sheets Cost per Sheet Total White material 15 $ 2.00 $ 30.00 Blue material 28 4.00 112.00 Yellow material 23 4.00 92.00 $234.00 =121 =J23 =J22 =ROUND(2*G622) =ROUND(R3*G63,2) =ROUND(64G64,2) SUMROUNDCHOZ:H54,2)) Direct Labor Measuring labor Cutting labar Assembly labor Total Hour Rate per Hr. Total 0.40 $ 14.00 $ 5.60 0.40 12.00 4.80 0.40 16.00 6.40 1.20 $ 16.80 EROUND(9*G69,2) =ROUND(F70'670,2) =ROUNDF71"G71,2) SUMROUND(116):1171,2)) Manufacturing Overhead Prodetermined OH Rate DLH Used Total #N/A #N/A #N/A A ein 78 Total Job Cost #NA 79 Number of Quilts 14 80 Cost per Quilt ANA 81 82 83 D. Answer the following questions: 84 1. If you decide to charge the bookstore cost plus 40% for the quilts, the selling price for one quilt is #N/A 85 Use your answers from #1 and the jab cost sheet above to answer questions 2-5: 86 2. If you sold all but one of the quilts you made total sales revenue would be: #N/A 87 3. If you sold all but one of the quilts you mute, the cost of yaxis sold would be: NNIA 88 4. If you sald all but one of the quilts you made, finished goods inventory would be: #N/A 89 5. If you sold all but one of the quilts you made your total gross profit would be: #N/A 90 Use the following to answer questions 6.9: 91 Assume you mistakenly treated the cast of production lahut as a period cost operating expense) and you sold all but one of the quilts you made for the same price calculated in 41). Overstated 92 Show the resulting effect on the following financial statement clements by selecting from the drop-down menu cither understated, overstated or no cffect Understated 93 6. Assets No Effect 94 7. Cost of Goods Sold 95 & Gross Profit 96 9. Net Income 97 98 14 18 19 EMPLOYEES: one wh) MANUFACTURING SIMULATION: 20) Supervisor Sheets of material used: Number of Quilts are: 21 Measurer (uses the pencil and tuler) White: 151 22 (uses the scissors) Yellow 23 23 Assembler (uses the glue) Blue: : 28 24 25 26 27 COST VARIABLES: 28 Use these numbers for the variables in 652 29 the table of Section A below. A 116 30 60 31 32 33 34 35 ROUND ALL ANSWERS TO 2 DECIMAL PLACES (ie. $22.22); remember, you should be using formulas; 0, use the round function to round answers 36 37 A. The following production estimates were made for the coming year: 38 Total quilts to be produced 20,000 39 Total manufacturing hours available during the year 2.000 40 Total direct laborers 3 41 42 The following cost estimates were available at the beginning of the year. Use these estimates to determine 43 total estimated manufacturing overhead during the year: 44 Use variables from above for the blants." Estimate for Year 45 Production supervisor earns $1,000 per week (52 weeks per year) $ $ 52.000,00 16 Classroom rent is $ f***) per month 7,824.00 47 Utilities cost $ (***per quarter 2,608.00 48 Pencils cost $2.00 with a useful life of 20 hours 200.00 49 Scissors cost $(**)_with a uscful life of 80 hours 2,900.00 SO Rulers cost $0 with a useful life of 50 hours $ a 2,400.00 51 Glue cost $(cents per quilt 12,000.00 52 Total Estimated Manufacturing Overhead $ 79,932.00 53 =ROUNDX1000"52.2) =ROUNDG28*12.2) =ROUNDXC28*42) =ROUNDX(2 [139720.2) =ROXINEX(H396129780,2) =ROUND(H39*G30X50,2) -ROUNDXH38*06,2) =SUMROUNDS:151,2) Calculate the Predetermined Overhead PDOH) rate using direct labor hours (DLH) as the cost driver during the year to allocate manufacturing overhead to jobs and Work In Process Inventory: L=152/(H39*H:10) IS 13.32 per DLH =152/(H39 H40) 54 B 55 56 57 58 C C 59 60 61 62 63 64 65 66 67 68 69 70 71 72 731 74 75 76 Complete the following job out aboct for your in-dass job: Job Cost Sheet Direct Materials Sheets Cost per Sheet Total White material 15 $ 2.00 $ 30.00 Blue material 28 4.00 112.00 Yellow material 23 4.00 92.00 $234.00 =121 =J23 =J22 =ROUND(2*G622) =ROUND(R3*G63,2) =ROUND(64G64,2) SUMROUNDCHOZ:H54,2)) Direct Labor Measuring labor Cutting labar Assembly labor Total Hour Rate per Hr. Total 0.40 $ 14.00 $ 5.60 0.40 12.00 4.80 0.40 16.00 6.40 1.20 $ 16.80 EROUND(9*G69,2) =ROUND(F70'670,2) =ROUNDF71"G71,2) SUMROUND(116):1171,2)) Manufacturing Overhead Prodetermined OH Rate DLH Used Total #N/A #N/A #N/A A ein 78 Total Job Cost #NA 79 Number of Quilts 14 80 Cost per Quilt ANA 81 82 83 D. Answer the following questions: 84 1. If you decide to charge the bookstore cost plus 40% for the quilts, the selling price for one quilt is #N/A 85 Use your answers from #1 and the jab cost sheet above to answer questions 2-5: 86 2. If you sold all but one of the quilts you made total sales revenue would be: #N/A 87 3. If you sold all but one of the quilts you mute, the cost of yaxis sold would be: NNIA 88 4. If you sald all but one of the quilts you made, finished goods inventory would be: #N/A 89 5. If you sold all but one of the quilts you made your total gross profit would be: #N/A 90 Use the following to answer questions 6.9: 91 Assume you mistakenly treated the cast of production lahut as a period cost operating expense) and you sold all but one of the quilts you made for the same price calculated in 41). Overstated 92 Show the resulting effect on the following financial statement clements by selecting from the drop-down menu cither understated, overstated or no cffect Understated 93 6. Assets No Effect 94 7. Cost of Goods Sold 95 & Gross Profit 96 9. Net Income 97 98