ACCT 2302 Semester Project Fall 2019 a h's Dele The a 1995, RD. Keh Gingerbread Dollhouses Inc. Summary of Standard Costs 2017, Masa Kelo o fthec a 2011, Mesa expected the company's per income to be the w a y RD' ye $125,000. they'r e decreed As Mai's you and operating incom e from 2017 to 2018. As income decreased the variances below do what you have learned this evaluate Dela Vietnam Simple Victoria Gingerbread Dollhouses Inc. Operating Income Reconciliation 2017 - 2018 Sales Mis Perret Difference 1,857,600 (591.600) Simple View Operating Income 2017 Total Sales Me Varance Mama Vs Dorel M ar Price Total Ned 4 Sald 16.000) (2000) Gingerbread Dollhouse's Inc Summary of Actual Costs Director Marine (750) 2,775) U are Dream Speed Total Med i c Selling & A Operation Ince 2015 5349 225 125.000 $1.041.7 Ducts Instructions 1. Analyze each variance on the operating income reconciliation schedule on pg. 1. Your analysis should be supported by calculations. Explain why the variances occurred based on Gingerbread Dollhouse's information and business model You should analyze the company's sales mix, direct and indirect manufacturing costs, as well as general selling & administrative expenses. You need to use the detailed information on pe 2. All standard and actual costs should be considered in support of your analysis. 2. Based on your analysis, prepare a one page professional memo with three recommendations for Maia Kelton on how to improve Gingerbread Dollhouse's performance Project submission guidelines: 1. Submit your project no later than your class period on April 24 (MW classes) or April 25 (T/TH classes). 2. Attach the rubric included as the last page of your submission which means you will have a total of four pages to your project. Cover pages are not required. Victories ACCT 2302 Semester Project Fall 2019 In 1995, RD. Kelton, established Kelton's Gingerbread Dollhouses Inc. The company assembles dollhouses which are sold in the United States. After her father-in-law's retirement in 2017, Maia Kelton assumed control of the company. In 2018, Maia expected the company's operating income to increase because the company no longer had to pay RD.'s salary of $125,000. Instead, the company's operating income decreased. As Maia's accountant, you prepared operating income reconciliation from 2017 to 2018. As you are getting ready for a meeting with her, you need to explain the reasons why operating income decreased. Based on what you have learned (and still learning) this semester, evaluate the variances below. Gingerbread Dollhouses Inc. Operating Income Reconciliation 2017 - 2018 Difference 1.857,600 (591,600) S(256,000) (22.000) Operating Income 2017 Total Sales Mix Variance Manufacturing Variances: Direct Materials Variance Price Efficiency Direct Labor Variance Rate Efficiency Variable Overhead Variance Spending Total Manufacturing Variances Selling & General Administrati Operating Income 2018 (37,850) (2,775) (30.600) S(349,225) 125.000 $1.041.775 Subtitle Subtle Em... Emphasis Intense E. Strong Quote Intense Q... Subtle Ref... Intense Re... Styles Gingerbread Dollhouses Inc. Summary of Standard Costs Deluxe Summary of Standard Costs Victorian Assembly kit per dollhouse 400 Direct labor hours per dollhouse Direct labor rate per hour 25 Variable overhead rate per dollhouse Simple Victorian $ 200 15 35 Sales Price 2017 Deluxe Victorian Simple Victorian $ 900 350 $ $ 2018 900 350 Sales Mix Percent 2017 2018 80 50 Deluxe Victorian Simple Victorian 20% 50% Total Assembled & Sold 6,800 6.800 Gingerbread Dollhouse's Inc. Summary of Actual Costs Deluxe Victorian 2017 5,440 2018 ,425 Assembly kits: 3 Used Price per kit $ $ 400 16.320 Direct labor hours Direct labor rate per hour Variable overhead per dollhouse 500 10,275 27 38 $ 35 Simple Victorian Assembly kits: Used Price per Direct labor hours Direct labor rate per hour Variable overhead per dollhouse Director salaries 2018 1,360 3,460 200 $ 175 1360 1.3603 .460 15 $ 20 35 $ 41 400,000 $ 275,000 $ $ $ Font Paragraph Instructions 1. Analyze each variance on the operating income reconciliation schedule on pg. 1. Your analysis should be supported by calculations. Explain why the variances occurred based on Gingerbread Dollhouse's information and business model. You should analyze the company's sales mix, direct and indirect manufacturing costs, as well as general selling & administrative expenses. You need to use the detailed information on pg. 2. All standard and actual costs should be considered in support of your analysis. 2. Based on your analysis, prepare a one page professional memo with three recommendations for Maia Kelton on how to improve Gingerbread Dollhouse's performance Project submission guidelines: 1. Submit your project no later than your class period on April 24 ( M W classes) or April 25 (T/TH classes). 2. Attach the rubric included as the last page of your submission which means you will have a total of four pages to your project. Cover pages are not required. 11:11 Deluxe Victorian Simple Victorian ACCT 2302 Semester Project Fall 2019 a h's Dele The a 1995, RD. Keh Gingerbread Dollhouses Inc. Summary of Standard Costs 2017, Masa Kelo o fthec a 2011, Mesa expected the company's per income to be the w a y RD' ye $125,000. they'r e decreed As Mai's you and operating incom e from 2017 to 2018. As income decreased the variances below do what you have learned this evaluate Dela Vietnam Simple Victoria Gingerbread Dollhouses Inc. Operating Income Reconciliation 2017 - 2018 Sales Mis Perret Difference 1,857,600 (591.600) Simple View Operating Income 2017 Total Sales Me Varance Mama Vs Dorel M ar Price Total Ned 4 Sald 16.000) (2000) Gingerbread Dollhouse's Inc Summary of Actual Costs Director Marine (750) 2,775) U are Dream Speed Total Med i c Selling & A Operation Ince 2015 5349 225 125.000 $1.041.7 Ducts Instructions 1. Analyze each variance on the operating income reconciliation schedule on pg. 1. Your analysis should be supported by calculations. Explain why the variances occurred based on Gingerbread Dollhouse's information and business model You should analyze the company's sales mix, direct and indirect manufacturing costs, as well as general selling & administrative expenses. You need to use the detailed information on pe 2. All standard and actual costs should be considered in support of your analysis. 2. Based on your analysis, prepare a one page professional memo with three recommendations for Maia Kelton on how to improve Gingerbread Dollhouse's performance Project submission guidelines: 1. Submit your project no later than your class period on April 24 (MW classes) or April 25 (T/TH classes). 2. Attach the rubric included as the last page of your submission which means you will have a total of four pages to your project. Cover pages are not required. Victories ACCT 2302 Semester Project Fall 2019 In 1995, RD. Kelton, established Kelton's Gingerbread Dollhouses Inc. The company assembles dollhouses which are sold in the United States. After her father-in-law's retirement in 2017, Maia Kelton assumed control of the company. In 2018, Maia expected the company's operating income to increase because the company no longer had to pay RD.'s salary of $125,000. Instead, the company's operating income decreased. As Maia's accountant, you prepared operating income reconciliation from 2017 to 2018. As you are getting ready for a meeting with her, you need to explain the reasons why operating income decreased. Based on what you have learned (and still learning) this semester, evaluate the variances below. Gingerbread Dollhouses Inc. Operating Income Reconciliation 2017 - 2018 Difference 1.857,600 (591,600) S(256,000) (22.000) Operating Income 2017 Total Sales Mix Variance Manufacturing Variances: Direct Materials Variance Price Efficiency Direct Labor Variance Rate Efficiency Variable Overhead Variance Spending Total Manufacturing Variances Selling & General Administrati Operating Income 2018 (37,850) (2,775) (30.600) S(349,225) 125.000 $1.041.775 Subtitle Subtle Em... Emphasis Intense E. Strong Quote Intense Q... Subtle Ref... Intense Re... Styles Gingerbread Dollhouses Inc. Summary of Standard Costs Deluxe Summary of Standard Costs Victorian Assembly kit per dollhouse 400 Direct labor hours per dollhouse Direct labor rate per hour 25 Variable overhead rate per dollhouse Simple Victorian $ 200 15 35 Sales Price 2017 Deluxe Victorian Simple Victorian $ 900 350 $ $ 2018 900 350 Sales Mix Percent 2017 2018 80 50 Deluxe Victorian Simple Victorian 20% 50% Total Assembled & Sold 6,800 6.800 Gingerbread Dollhouse's Inc. Summary of Actual Costs Deluxe Victorian 2017 5,440 2018 ,425 Assembly kits: 3 Used Price per kit $ $ 400 16.320 Direct labor hours Direct labor rate per hour Variable overhead per dollhouse 500 10,275 27 38 $ 35 Simple Victorian Assembly kits: Used Price per Direct labor hours Direct labor rate per hour Variable overhead per dollhouse Director salaries 2018 1,360 3,460 200 $ 175 1360 1.3603 .460 15 $ 20 35 $ 41 400,000 $ 275,000 $ $ $ Font Paragraph Instructions 1. Analyze each variance on the operating income reconciliation schedule on pg. 1. Your analysis should be supported by calculations. Explain why the variances occurred based on Gingerbread Dollhouse's information and business model. You should analyze the company's sales mix, direct and indirect manufacturing costs, as well as general selling & administrative expenses. You need to use the detailed information on pg. 2. All standard and actual costs should be considered in support of your analysis. 2. Based on your analysis, prepare a one page professional memo with three recommendations for Maia Kelton on how to improve Gingerbread Dollhouse's performance Project submission guidelines: 1. Submit your project no later than your class period on April 24 ( M W classes) or April 25 (T/TH classes). 2. Attach the rubric included as the last page of your submission which means you will have a total of four pages to your project. Cover pages are not required. 11:11 Deluxe Victorian Simple Victorian