AutoSave Off Hb TJ8433 - Excel Search Tiara Johnson TJ File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments D3 X B D E F H 1 J L L M NO P Q R T Y z AB AC AE AF AG AHAL 1 1 2 3 4 FIRST LASTuber File Tiara Johnson 8433 TJ8433 I SEE THE LIGHT 5 6 7 10 11 12 13 14 15 16 17 18 19 20 21 22 Background Information I SEE THE LIGHT (ISTL) is a subchapter S corporation that manufactures children's lampsightlights for use in bedrooms. These lamps are sold nationwide through a group of independent sales representatives who have an exclusive sales region. The business is in its tenth year and has asked you to assist in planning for next year's operations. The lamps are ceramic figurines of animals, boats, boys and girls playing and singing all in delightful colors. The owner of the business, Big Al, creates a drawing for the figurine and faxes it to a plant in China where a mold is created and a sample produced and hand painted. If the mold meets the expectations of Big Al an order of 500 lamp parts is placed. Each lamp kit consists of the parts required to complete one lamp: a figurine, a lamp shade and the required electrical components. There are presently 10 different figurines that come in six different colors; 60 models. There are presently 10 workers in the plant. They are responsible for receiving the raw material, manufacturing the product, packing and shipping. In addition to Big Al there are two office workers who are responsible for all administrative duties. 24 25 26 27 28 29 30 31 35 36 37 Big Al had his accountant prepare the projected Income Statement and Balance Sheet presented on page two. Big Al heard about your skills in managerial accounting and would like your assistance in the following areas: Part 1 Process Costing Part 2 Job Order Costing To upload your work to Big Al the file without changing the name. Pay attention to the specific location that Excel saves the file. Return to the bottom of the page that you downloaded the file from: Cybertext.com, The Book List Building Blocks of Accounting-A Managerial Perspective, Enter password, Upload Your Excel File. If you upload an old version of the file the results will not update Keep two copies of your spreadsheet in two separate places in case one of Big Al's competitors sends someone to destroy your work or it is lost in transmission 40 41 42 43 44 45 46 47 48 49 50 51 52 53 You may find it easier to work on this project if you print a hard copy of all the pages. NOTE: If there are any questions about the project e-mail markfriedman@miami.edu or call 305.284.6296 Grade will be based upon answers entered into the shaded boxes. . Introduction FAQ 1 2 | 11 | 12 | 13 + 3 + 60% Type here to search E 2 Aula 4) 10:00 AM 11/11/2020 6 AutoSave Off H TJ8433 - Excel Search Tiara Johnson TJ 11 File Home Insert Draw Page Layout Formulas Data Review View Help 13 Share Comments 12 X fx J L L M N 0 P R ST Y z AC AD AE AF AG AH - 1 2 3 4 5 6 7 E F G H I See The Light Projected Income Statement For the Period Ending December 31, 2011 ######## 750,000.00 $375,000.00 Sales 25,000 lamps ###### Cost of Goods Sold ###### Gross Profit Selling Expenses: Fixed Variable (Commission per unit) $3.00 Administrative Expenses: Fixed Variable $2.00 Total Selling and Administrative Expenses: Net Profit ###### ###### ###### ###### ###### 92,000.00 190,000.00 $185,000.00 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 I See The Light Projected Balance Sheet As of December 31, 2011 $ 34,710.00 67,500.00 Current Assets Cash Accounts Receivable Inventory Raw Material Lamp Kits Work in Process Finished Goods Total Current Assets 8,000.00 35 36 37 500 @ $16.00 0 3000 $30.00 90,000.00 $200,210.00 Fixed Assete Equipment Accumulated Depreciation Total Fixed Assets Total Assets ###### 6,800.00 13,200.00 $ 213,410.00 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 $ 54,000.00 $ 54,000.00 Current Liabilities Accounts Payable Total Liabilitics Stockholder's Equity Common Stock Retained Earnings Total Stockholder's Equity Total Liabilities and Stockholder's Equity $12,000.00 147,410.00 159.410.00 213,410,00 55 Introduction FAQ 1 2 11 | 12 13 + 3 + 60% Type here to search E X 2 Aula 4) 10:01 AM 11/11/2020 6 AutoSave Off H. TJ8433 - Excel Search Tiara Johnson TJ 7 File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments A1 X H 1 J K L M N O R S T V B C D EF G Process Costing - First-In First-Out 6 7 8 General Information 9 15 The I See The Light Company has a related company that produces the figurines. They use process costing 16 in the molding department. The factory overhead is applied at a rate of 50% of direct labor dollars. 17 The material is added at the beginning of the process. The labor and overhead costs are assumed 18 to be added uniformly throughout 19 25 26 27 28 29 35 Month of January 36 37 Selected information for January is presented below. Note that the applied overhead rate was 38 50% of direct labor costs in the molding department. 39 45 46 Molding Department 47 48 Goods in-process as of January 1 were 3,500 figurines at a cost of $64,505.00. Of this amount, $56,000.00 was from 49 raw materials added, $5,670.00 for labor and $2,835.00 for overhead. These 3,500 figurines were assumed to be 55 90.00% complete as to labor and overhead. 56 57 During January, 26,000 units were started, $421,460.00 of materials and $45,450.00 of labor costs were incurred. 58 59 The 5,500 figurines that were in-process at the end of January were assumed to be 80.00% complete to 65 labor and overhead. 66 Introduction FAQ 12 11 12 | 13 + 3 + 91% Type here to search X 2 Aula 4) 10:02 AM 11/11/2020 6 AutoSave Off H TJ8433 - Excel Search Tiara Johnson TJ File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments A1 fx F G . {12.01) {12.02} {12.03} {12.04) {12.05) A B D E 8 MOLDING 9 10 Physical Flow of Units 17 18 Work-in-Process - Beginning 19 Units Started this Period 20 Units to Account for 21 28 Total transferred out 29 Work-in-Process - Ending 30 Total Accounted for 31 32 39 40 41 42 43 Equivalent Units Material (Round to three places, ##.###.###) 50 51 52 53 54 61 Equivalent Units Conversion (Round to three places, ##.###.###) 62 63 64 65 72 73 74 75 Total cost in the Beginning Inventory (Round to two places, ##.###.##) Introduction FAQ | 1 | 2 | 11 12 13 {12.06} {12.07) {12.08) 3 w + 100% Type here to search X 10:02 AM 11/11/2020 6 AutoSave Off H TJ8433 - Excel Search Tiara Johnson TJ File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments A1 G H {12.09) (12.10) {12.11) A B C D E F 83 84 85 86 87 94 Total cost of Material this period (Round to two places, ##.###.##) 95 96 97 98 105 Total cost of Conversion this period (Round to two places, ##.###.##) 106 107 108 109 110 Total cost to account for (Round to two places, #.###.##) 111 112 113 114 Cost per equivalent unit of Material this period (Round to seven places, ###.####### 115 116 117 118 119 Cost per equivalent unit of Conversion this period (Round to seven places, ###.#######) 120 121 122 123 124 125 126 Cost of the units transferred, material and convesion (Round to two places, $######.## | Introduction FAQ 1 2 11 12 13 {12.12} {12.13) {12.14) 3 w + 100% Type here to search o j E X 2 Aula 4) 10:03 AM 11/11/2020 6 AutoSave Off H TJ8433 - Excel Search Tiara Johnson TJ File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments A1 X G H {12.11} {12.12} {12.13) IA B D E F 106 107 108 109 110 Total cost to account for (Round to two places, ##.###.##) 111 112 113 114 Cost per equivalent unit of Material this period (Round to seven places, ##.######) 115 116 117 118 119 Cost per equivalent unit of Conversion this period (Round to seven places, ##.##***** 120 121 122 123 124 125 126 Cost of the units transferred, material and convesion (Round to two places, $######.## 127 128 129 130 131 132 133 134 Cost of the ending inventory, material and convesion (Round to two places, $###,###.##) 135 136 137 Total Cost accounted for (Round to two places, $###,###.##) | Introduction FAQ | 1 2 11 12 13 + {12.14) {12.15) {12.16) 3 w + 100% Type here to search X 2 Aula 4) 10:03 AM 11/11/2020 6 AutoSave Off H TJ8433 - Excel Search Tiara Johnson TJ File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments A1 X fx J K L B | D E F G H 10 11 19 To keep records of the actual cost of a special order job, a Job Order Cost System has been developed 20 Overhead is applied at the rate of 50% of the direct labor cost. 21 22 23 31 Job Order Costing Section 32 33 on January 1, 20x2, Division S began Job 2407 for the Client, THE BIG CHILDREN STORE. The 34 job called for 4,000 customized lamps. The following set of transactions occurred from 35 January 5 until the job was completed: 43 44 5-Jan Purchased 4,200 Lamp Kits @ $16.25 per kit. 45 9-Jan 4,025 sets of Lamp Kits were requisitioned, including all those in the Beginning Inventory 46 17-Jan Payroll of 630 Direct Labor Hours @ $9.50 per hour. 47 30-Jan Payroll of 680 Direct Labor Hours @ $9.75 per hour. 55 30-Jan 3,990 lamps were completed and shipped. All materials requisitioned were 56 used or scrapped, and are a cost of normal processing. 57 58 Month End Overhead Information 59 Actual Variable Manufacturing Overhead $ 1,441.00 67 Actual Fixed Manufacturing Overhead $ 41,123.45 68 69 70 71 79 80 Round to two 81 places, $##.# 82 Introduction FAQ 1 | 2 | 11 | 12 13 3 + 100% Type here to search o X 2 Aula 4) 10:04 AM 11/11/2020 6 AutoSave Off H TJ8433 - Excel Search Tiara Johnson TJ File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments A1 X f A D E F G H 1 J K L 70 71 79 80 Round to two places, $##.# Cost of Direct Material incurred in Manufacturing Job 2407 {13.01} Cost of Direct Labor Incurred in Manufacturing Job 2407 {13.02) Cost of Manufacturing Overhead Applied to Job 2407 81 82 83 91 92 93 94 95 103 104 105 106 107 115 116 117 118 119 120 121 122 123 124 125 126 127 128 {13.03} Cost of manufacturing one lamp {13.04) Introduction FAQ 1 | 2 | 11 | 12 13 3 + 100% Type here to search j o E X 2 Aula 4) 10:04 AM 11/11/2020 6 AutoSave Off Hb TJ8433 - Excel Search Tiara Johnson TJ File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments D3 X B D E F H 1 J L L M NO P Q R T Y z AB AC AE AF AG AHAL 1 1 2 3 4 FIRST LASTuber File Tiara Johnson 8433 TJ8433 I SEE THE LIGHT 5 6 7 10 11 12 13 14 15 16 17 18 19 20 21 22 Background Information I SEE THE LIGHT (ISTL) is a subchapter S corporation that manufactures children's lampsightlights for use in bedrooms. These lamps are sold nationwide through a group of independent sales representatives who have an exclusive sales region. The business is in its tenth year and has asked you to assist in planning for next year's operations. The lamps are ceramic figurines of animals, boats, boys and girls playing and singing all in delightful colors. The owner of the business, Big Al, creates a drawing for the figurine and faxes it to a plant in China where a mold is created and a sample produced and hand painted. If the mold meets the expectations of Big Al an order of 500 lamp parts is placed. Each lamp kit consists of the parts required to complete one lamp: a figurine, a lamp shade and the required electrical components. There are presently 10 different figurines that come in six different colors; 60 models. There are presently 10 workers in the plant. They are responsible for receiving the raw material, manufacturing the product, packing and shipping. In addition to Big Al there are two office workers who are responsible for all administrative duties. 24 25 26 27 28 29 30 31 35 36 37 Big Al had his accountant prepare the projected Income Statement and Balance Sheet presented on page two. Big Al heard about your skills in managerial accounting and would like your assistance in the following areas: Part 1 Process Costing Part 2 Job Order Costing To upload your work to Big Al the file without changing the name. Pay attention to the specific location that Excel saves the file. Return to the bottom of the page that you downloaded the file from: Cybertext.com, The Book List Building Blocks of Accounting-A Managerial Perspective, Enter password, Upload Your Excel File. If you upload an old version of the file the results will not update Keep two copies of your spreadsheet in two separate places in case one of Big Al's competitors sends someone to destroy your work or it is lost in transmission 40 41 42 43 44 45 46 47 48 49 50 51 52 53 You may find it easier to work on this project if you print a hard copy of all the pages. NOTE: If there are any questions about the project e-mail markfriedman@miami.edu or call 305.284.6296 Grade will be based upon answers entered into the shaded boxes. . Introduction FAQ 1 2 | 11 | 12 | 13 + 3 + 60% Type here to search E 2 Aula 4) 10:00 AM 11/11/2020 6 AutoSave Off H TJ8433 - Excel Search Tiara Johnson TJ 11 File Home Insert Draw Page Layout Formulas Data Review View Help 13 Share Comments 12 X fx J L L M N 0 P R ST Y z AC AD AE AF AG AH - 1 2 3 4 5 6 7 E F G H I See The Light Projected Income Statement For the Period Ending December 31, 2011 ######## 750,000.00 $375,000.00 Sales 25,000 lamps ###### Cost of Goods Sold ###### Gross Profit Selling Expenses: Fixed Variable (Commission per unit) $3.00 Administrative Expenses: Fixed Variable $2.00 Total Selling and Administrative Expenses: Net Profit ###### ###### ###### ###### ###### 92,000.00 190,000.00 $185,000.00 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 I See The Light Projected Balance Sheet As of December 31, 2011 $ 34,710.00 67,500.00 Current Assets Cash Accounts Receivable Inventory Raw Material Lamp Kits Work in Process Finished Goods Total Current Assets 8,000.00 35 36 37 500 @ $16.00 0 3000 $30.00 90,000.00 $200,210.00 Fixed Assete Equipment Accumulated Depreciation Total Fixed Assets Total Assets ###### 6,800.00 13,200.00 $ 213,410.00 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 $ 54,000.00 $ 54,000.00 Current Liabilities Accounts Payable Total Liabilitics Stockholder's Equity Common Stock Retained Earnings Total Stockholder's Equity Total Liabilities and Stockholder's Equity $12,000.00 147,410.00 159.410.00 213,410,00 55 Introduction FAQ 1 2 11 | 12 13 + 3 + 60% Type here to search E X 2 Aula 4) 10:01 AM 11/11/2020 6 AutoSave Off H. TJ8433 - Excel Search Tiara Johnson TJ 7 File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments A1 X H 1 J K L M N O R S T V B C D EF G Process Costing - First-In First-Out 6 7 8 General Information 9 15 The I See The Light Company has a related company that produces the figurines. They use process costing 16 in the molding department. The factory overhead is applied at a rate of 50% of direct labor dollars. 17 The material is added at the beginning of the process. The labor and overhead costs are assumed 18 to be added uniformly throughout 19 25 26 27 28 29 35 Month of January 36 37 Selected information for January is presented below. Note that the applied overhead rate was 38 50% of direct labor costs in the molding department. 39 45 46 Molding Department 47 48 Goods in-process as of January 1 were 3,500 figurines at a cost of $64,505.00. Of this amount, $56,000.00 was from 49 raw materials added, $5,670.00 for labor and $2,835.00 for overhead. These 3,500 figurines were assumed to be 55 90.00% complete as to labor and overhead. 56 57 During January, 26,000 units were started, $421,460.00 of materials and $45,450.00 of labor costs were incurred. 58 59 The 5,500 figurines that were in-process at the end of January were assumed to be 80.00% complete to 65 labor and overhead. 66 Introduction FAQ 12 11 12 | 13 + 3 + 91% Type here to search X 2 Aula 4) 10:02 AM 11/11/2020 6 AutoSave Off H TJ8433 - Excel Search Tiara Johnson TJ File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments A1 fx F G . {12.01) {12.02} {12.03} {12.04) {12.05) A B D E 8 MOLDING 9 10 Physical Flow of Units 17 18 Work-in-Process - Beginning 19 Units Started this Period 20 Units to Account for 21 28 Total transferred out 29 Work-in-Process - Ending 30 Total Accounted for 31 32 39 40 41 42 43 Equivalent Units Material (Round to three places, ##.###.###) 50 51 52 53 54 61 Equivalent Units Conversion (Round to three places, ##.###.###) 62 63 64 65 72 73 74 75 Total cost in the Beginning Inventory (Round to two places, ##.###.##) Introduction FAQ | 1 | 2 | 11 12 13 {12.06} {12.07) {12.08) 3 w + 100% Type here to search X 10:02 AM 11/11/2020 6 AutoSave Off H TJ8433 - Excel Search Tiara Johnson TJ File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments A1 G H {12.09) (12.10) {12.11) A B C D E F 83 84 85 86 87 94 Total cost of Material this period (Round to two places, ##.###.##) 95 96 97 98 105 Total cost of Conversion this period (Round to two places, ##.###.##) 106 107 108 109 110 Total cost to account for (Round to two places, #.###.##) 111 112 113 114 Cost per equivalent unit of Material this period (Round to seven places, ###.####### 115 116 117 118 119 Cost per equivalent unit of Conversion this period (Round to seven places, ###.#######) 120 121 122 123 124 125 126 Cost of the units transferred, material and convesion (Round to two places, $######.## | Introduction FAQ 1 2 11 12 13 {12.12} {12.13) {12.14) 3 w + 100% Type here to search o j E X 2 Aula 4) 10:03 AM 11/11/2020 6 AutoSave Off H TJ8433 - Excel Search Tiara Johnson TJ File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments A1 X G H {12.11} {12.12} {12.13) IA B D E F 106 107 108 109 110 Total cost to account for (Round to two places, ##.###.##) 111 112 113 114 Cost per equivalent unit of Material this period (Round to seven places, ##.######) 115 116 117 118 119 Cost per equivalent unit of Conversion this period (Round to seven places, ##.##***** 120 121 122 123 124 125 126 Cost of the units transferred, material and convesion (Round to two places, $######.## 127 128 129 130 131 132 133 134 Cost of the ending inventory, material and convesion (Round to two places, $###,###.##) 135 136 137 Total Cost accounted for (Round to two places, $###,###.##) | Introduction FAQ | 1 2 11 12 13 + {12.14) {12.15) {12.16) 3 w + 100% Type here to search X 2 Aula 4) 10:03 AM 11/11/2020 6 AutoSave Off H TJ8433 - Excel Search Tiara Johnson TJ File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments A1 X fx J K L B | D E F G H 10 11 19 To keep records of the actual cost of a special order job, a Job Order Cost System has been developed 20 Overhead is applied at the rate of 50% of the direct labor cost. 21 22 23 31 Job Order Costing Section 32 33 on January 1, 20x2, Division S began Job 2407 for the Client, THE BIG CHILDREN STORE. The 34 job called for 4,000 customized lamps. The following set of transactions occurred from 35 January 5 until the job was completed: 43 44 5-Jan Purchased 4,200 Lamp Kits @ $16.25 per kit. 45 9-Jan 4,025 sets of Lamp Kits were requisitioned, including all those in the Beginning Inventory 46 17-Jan Payroll of 630 Direct Labor Hours @ $9.50 per hour. 47 30-Jan Payroll of 680 Direct Labor Hours @ $9.75 per hour. 55 30-Jan 3,990 lamps were completed and shipped. All materials requisitioned were 56 used or scrapped, and are a cost of normal processing. 57 58 Month End Overhead Information 59 Actual Variable Manufacturing Overhead $ 1,441.00 67 Actual Fixed Manufacturing Overhead $ 41,123.45 68 69 70 71 79 80 Round to two 81 places, $##.# 82 Introduction FAQ 1 | 2 | 11 | 12 13 3 + 100% Type here to search o X 2 Aula 4) 10:04 AM 11/11/2020 6 AutoSave Off H TJ8433 - Excel Search Tiara Johnson TJ File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments A1 X f A D E F G H 1 J K L 70 71 79 80 Round to two places, $##.# Cost of Direct Material incurred in Manufacturing Job 2407 {13.01} Cost of Direct Labor Incurred in Manufacturing Job 2407 {13.02) Cost of Manufacturing Overhead Applied to Job 2407 81 82 83 91 92 93 94 95 103 104 105 106 107 115 116 117 118 119 120 121 122 123 124 125 126 127 128 {13.03} Cost of manufacturing one lamp {13.04) Introduction FAQ 1 | 2 | 11 | 12 13 3 + 100% Type here to search j o E X 2 Aula 4) 10:04 AM 11/11/2020 6