A company rents a building with a total of 88,000 square feet, which are evenly divided between two floors. The total monthly rent for the building is $87,000. The company allocates $58,000 of total rent expense to the first floor and $29,000 of total rent expense to the second floor How much of the monthly rental expense should be allocated to a department that occuples 17,600 square feet on the first floor? Required information [The following information applies to the questions displayed below) Project Y requires a $336,000 investment for new machinery with a four-year life and no salvage value. The project yields the following annual results. Cash flows occur evenly within each year. (PV of $1. FV of $1. PVA of $1. and EVA of $1 (Use appropriate factor(s) from the tables provided.) Project $ 350,000 Annual Anounts Sales of new product Expenses Materials, labor, and overhead (except depreciation) Depreciation Machinery Selling, general, and administrative expenses Incone 156,800 B4,899 25,000 $ 84,200 Required: 1. Compute Project Y's annual net cash flows. Expected Income Revenues Expenses Expected Not Cash Flow 0 Nef cash flow Required information [The following information applies to the questions displayed below) Project Y requires a $336,000 investment for new machinery with a four year life and no salvage value. The project yields the following annual results Cash flows occur evenly within each year (PV of St. FV of $1. PVA of S1, and EVA of 5.1) (Use appropriate foctor(e) from the tobles provided.) Project $ 350,000 Annual Amounts Sales of new product Expenses Materials, labor, and overhead (except depreciation) Depreciation-Machinery Selling, general, and administrative expenses Income 156,800 84,000 25,000 $ 84,200 2. Determine Project Y's payback period. Payback Period Denominator: Numerator: Payback Period 0 Project Y Required information [The following information applies to the questions displayed below) Project Y requires a $336,000 investment for new machinery with a four year life and no salvage value. The project ylelds the following annual results. Cash flows occur evenly within each year, (PV of $1. EV of $1. PVA of $1. and FVA of $1) (Use appropriate factor(s) from the tables provided.) Project Y $ 350,000 Annual Amounts Sales of new product Expenses Materials, labor, and overhead (except depreciation) Depreciation-Machinery Selling, general, and administrative expenses Income 156,800 84,000 25,000 $ 84,200 3. Compute Project Y's accounting rate of return. Accounting Rate of Return Numerator: 1 Denominator: 1 Accounting Rate of Return Project Y Required information The following information applies to the questions displayed below.) Project Y requires a $336,000 investment for new machinery with a four-year life and no salvage value. The project yields the following annual results. Cash flows occur evenly within each year. (e of $1. FV of $1. PVA of $1, and EVA of $.1) (Use appropriate factor(s) from the tables provided.) Project $ 350,000 Annual Amounts Sales of new product Expenses Materials, labor, and overhead (except depreciation) Depreciation Machinery Selling general, and administrative expenses Income 156,800 84,000 25,000 $ 84,200 4. Determine Project Y's net present value using 6% as the discount rate. (Do not round intermediate calculations. Round your present value factor to 4 decimals and final answers to the nearest whole dollar) Project Y Chart values are based on: nu Select Chart Amount PV Factor Present Value Net present value Required information [The following information applies to the questions displayed below.) A manufactured product has the following information for June. Direct materials Direct labor Overhead Units manufactured Standard Quantity and cost 7 pounds @ $9 per pound 2 DLH @ $17 per DLH 2 DLH @ $12 per DLH Actual Results 56,400 pounds @ $9.10 per pound 15,700 hours @ $17.60 per hour $ 197,300 8,000 units (1) Prepare the standard cost card showing standard cost per unit. (2) Compute total budgeted cost for June production (3) Compute total actual cost for June production. (4) Compute total cost variance for June. Required information [The following information applies to the questions displayed below.) A manufactured product has the following information for June. Standard Quantity and cost Actual Results Direct materials 7 pounds @ $9 per pound 56,400 pounds @ $9.10 per pound Direct labor 2 DLH @ $17 per DLH 15,70 hours $17.68 per hour Overhead 2 DLH @ $12 per DLH $ 197,380 Units manufactured 8,080 units Compute the (1) direct materials price variance and (2) direct materials quantity variance (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance. Round "Cost per unit" answers to 2 decimal places.) AQ=Actual Quantity SQ = Standard Quantity AP = Actual Price SP = Standard Price Actual Cost Standard Cost Required information The following information applies to the questions displayed below) A manufactured product has the following information for June of 3 Direct materials Direct lobor Overhead Units manufactured Standard Quantity and cost 7 pounds @ $9 per pound 2 DLH $17 per DLH 2 DLM @ $12 per DLH Actual Results 56,400 pounds @ 9.10 per pound 15,200 hours @ $17.60 per hour $ 197,300 8,000 units 15809 Compute the (1) direct labor rate variance and (2) direct labor efficiency variance (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance. Round "Rote per hour" answers to 2 decimal places.) AH - Actual Hours SH - Standard Hours AR - Actual Rate SR Standard Rate Standard Cost Actual Cont
