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#20 Panamint Systems Corporation is estimating activity costs associated with producing disk drives, tapes drives, and wire drives. The indirect labor can be traced to

#20

Panamint Systems Corporation is estimating activity costs associated with producing disk drives, tapes drives, and wire drives. The indirect labor can be traced to four separate activity pools. The budgeted activity cost and activity base data by product are provided below.

Activity Cost

Activity Base
Procurement

$ 370,000

Number of purchase orders
Scheduling

250,000

Number of production orders
Materials handling

500,000

Number of moves
Product development

730,000

Number of engineering changes
Production

1,500,000

Machine hours

?

Number of Purchase Orders

?

Number

of

Production

Orders

?

?

Number of Moves

?

?

Number of Engineering Changes

?

?

?

Machine Hours

?

?

Number of Units

Disk drives

4,000

300

1,400

10

2,000

2,000

Tape drives

4,000

150

800

10

8,000

4,000

Wire drives

12,000

800

4,000

25

10,000

2,500

?

?

Determine the activity-based cost for each wire drive unit.

a.

$204.13

b.

$394.12

c.

$744.06

d.

$173.51

#26

Sifton Electronics Corporation manufactures and assembles electronic motor drives for video cameras. The company assembles the motor drives for several accounts. The process consists of a lean cell for each customer. The following information relates only to one customer's lean cell for the coming year. Projected labor and overhead, $7,370,000; materials costs, $28 per unit. Planned production included 4,000 hours to produce 27,500 motor drives. Actual production for August was 1,600 units, and motor drives shipped amounted to 1,380 units.

?

From the foregoing information, determine the amount of the conversion costs charged to Raw and In Process Inventory during August.

a.

$408,480

b.

$428,800

c.

$473,600

d.

$369,840

#29

Which of the following is characteristic of a lean production layout?

a.

Decentralized maintenance and small production batches

b.

Decemtralized maintenance and organization around processes

c.

Organization around processes and small production batches

d.

Large production batches and organization around processes.

#32

Conan Electronics Corporation manufactures and assembles electronic motor drives for video cameras. The company assembles the motor drives for several accounts. The process consists of a lean cell for each customer. The following information relates only to one customer's lean cell. For the year, planned labor and overhead was $80,000,000; materials costs, $25 per unit. Planned production included 9,600 hours to produce 76,800 motor drives. Actual production for the month of August was 5,200 units, and motor drives shipped amounted to 5,040 units. From the foregoing information, determine the budgeted cell conversion cost per hour.

a.

$8,333

b.

$800

c.

$7,200

d.

$8,025

#34

Sifton Electronics Corporation manufactures and assembles electronic motor drives for video cameras. The company assembles the motor drives for several accounts. The process consists of a lean cell for each customer. The following information relates only to one customer's lean cell for the coming year. Projected labor and overhead, $7,370,000; materials costs, $28 per unit. Planned production included 4,000 hours to produce 27,500 motor drives. Actual production for August was 1,600 units, and motor drives shipped amounted to 1,380 units.

?

From the foregoing information, determine the production costs transferred to Cost of Goods Sold during August.

a.

$369,840

b.

$428,800

c.

$408,480

d.

$473,600

PLEASE HELP!!!!

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