Case Assignment Requirements Requirement1 For this requirement, you will analyze and daily costs that have been reported in Sydney Bakery's financial statements 1. Camily the various costs in relation to the production and sale of cinnamon buns one of sewralgooch produced and sold) Any one of the costs may be died under veral classification types Atable has been included at the end of this document which you can copy and pastinto your response for convenience. Place an in the respective cell representing the des fichon type w wreto refet back to the creditats provided for detalk on the costs and the classification types. Requirement 2 The requement focuses on the special order of sodium cinnamon bure. Based on the formation presented in the 1. Determine the total manufacturing costs for the order of so donnamon 2. Calculate the total manufacturing cost on perdoren buss 1. Calculate the total manufacturing costs on pero bumbas Requirements: Requirement #3: Based on the Operational Information provided in the cases 1. Calculate the pre determined overhead rate (PDOHR) 2. Determine if manufacturing overhead (MOH) was over or under applied. 3. Develop the Journal Entry necessary to close out the manufacturing overhead account Requirement #6 Based on the "Operational Results" information presented for January, February, and March, complete the following: 1. Identify the variable, feed and mixed costs 2. Develop the cost formula for each of the mixed costs using the high low method? 3. Calculate the total cost for each mixed cost at an activity level of 3,600? 4. Prepare a contribution margin format income statement for the month of March (3,000 units). Based on the contribution Margin format income statement you created in requirement #4, calculate the following: 1. Total Contribution Margin 2. Contribution Margin per unit 3. Contribution Margin ratio 4. Break even point in $ and in units 5. Number of units and sales required to achieve monthly profits of $4,200. Requirement to Below are 2 separate proposals being considered. Create a contribution margin format income statement for the following using the March information as the base for each proposal to support your analysis and recommendations: 1. The Baker believes that it she uses pecans and raisins in the basic cinnamon bun recipe, that sales volume will increase by 25%. The additional cost per cinnamon bun for the pecans and raisins will be 5.20. What will be the new net income under this proposal? Would you recommend proceeding with this proposal? 2. Sydney believes that it she increases the monthly advertising cost by 5300 that the bakery will experience a 15% sales volume increase. What will the new net income be under this proposal? Would you recommend proceeding with this proposal? Introduction: Sydney's Bakery operates a small business that bakes and sells a variety of goods within a major city. Sydney is trying to gain a better understanding of the business's profits with the goal of identifying opportunities. Sydney has hired you to examine the operations and the respective financial data and to provide your expertise and recommendations. Analysis of business operations and profitability requires an understanding of the types of costs that are incurred. Sydney has not had the opportunity to evaluate costs from a management accounting perspective. Recall that classifying costs on the basis of the following can be very beneficial to support decision making, 1. Behaviour-fixed or variable 1. Traceability - direct or indirect 2 Financial reporting product or period 3. For product costs classify as DM, DL, MOH Following is a list of costs that Sydney's Bakery incurs for one of the most popular baked goods Cinnamon Buns. Following is a list of costs that Sydney's Bakery incurs for one of the most popular baked goods- Cinnamon Buns. Annual business license fee Utilities for bakery Sugar Costs Rent for bakery Flour Yeast Butter Vegetable oil (spraying pans) Wages - Baker Wages -- Counter sales staff Eggs Accounting Consultant Wages - Dish Washer Insurance for baker Sydney's Bakery has received an order for 50 dozen cinnamon buns to be delivered to a local post secondary institution. Following is information relevant to this order. Materials Troceable Materials Non-traceable materials $28-Flour Water $12-sugor Yeast $8-milk Ground cinnamon $5 - Butter Brown Sugar Oil for baking pans "Note: The non-traceable materials have a total estimated cost of $27 for this order. $3 - eggs Labour Following is information for the staff working on the day the order is produced & sold. All staff support the production, sales and delivery of all baked products except the baker whose work time is dedicated to this order. Baker - $35/hr for 6 hours Support staff (dishwasher,counter sales) - $15/hour for 8 hours Delivery staff - $15/hour - 3 hours Labour Following is information for the staff working on the day the order is produced & sold. All staff support the production, sales and delivery of all baked products except the baker whose work time is dedicated to this order. Baker - $35/hr for 6 hours Support staff (dishwasher, counter sales) - $15/hour for 8 hours Delivery staff - $15/hour - 3 hours Manager - $260/day Other Expenses Rent and insurance for the bakery total $3500/month. Utilities $1280/month. Tip: daily calculations are based on the following calculation: cost * 12/365-round to the whole dollar Operational information Sydney's Bakery applies overhead on the basis of Baker's Direct Labour hours. The estimated Baker DL hours for the year are 1,500 hours. The estimated manufacturing overhead is $126,000. For the reporting period, the actual overhead costs totalled $132,480 and actual Baker DL hours were recorded as 1,560. Operational results Sydney's Bakery has provided you with activity and respective costs for three months below: 3 January February March Sales in units 2,800 per unit 3,400 per unit 3,000 per unit Sales revenue $ 18,480 $ 6.60 S 22,440 S 6.60 $ 19,800 6.60 Less: COGS $ (6,160) S (2.20) S (7.480) S (2.20) $ (6,600) S(2.20) Gross Margin $ 12,320 $ 14,960 $ 13,200 Less Operating XP Insurance S 800 $ 0.29 $ 800 $ 0.24 S 800 0.27 Rent $ 1,800 $ 0.64 $ 1,800 $ 0.53 $ 1,800 0.60 Depn $ 700 S 0.25 S 700$ 0.21 $ 700 0.23 Advertising $ 640 S 0.23 S 670 $ 0.20 $ 650 0.22 Salaries $ 7,100 $ 2.54 S 7,850 $ 2.31 $ 7,350 2.45 Total Oper XP S(11.040) S(11,820) $(11,300) Net Income $ 1,280 $ 3,140 $ 1,900 1 Normal No Spacing Heading 1 Heading 2 Title Maragraph Styles mitials are out of date. Please sign in as uppal7827@saskpolytechica so we can verify your subscription Sign in Introduction: Sydney's Bakery operates a small business that bakes and sells a variety of goods within a major city. Sydney is trying to gain a better understanding of the business's profits with the goal of identifying opportunities. Sydney has hired you to examine the operations and the respective financial data and to provide your expertise and recommendations, Analysis of business operations and profitability requires an understanding of the types of costs that are incurred. Sydney has not had the opportunity to evaluate costs from a management accounting perspective. Recall that classifying costs on the basis of the following can be very beneficial to support decision making. 1. Behaviour - fuced or variable 1. Traceability - direct or indirect 2. Financial reporting - product or period 3. For product costs classify as DM, DL, MOH Following is a list of costs that Sydney's Bakery incurs for one of the most popular baked goods- Cinnamon Buns. Annual business license fee Utilities for bakery Costs Rent for bakery Flour SUS 3 18 19 FO 11 112 X O/ 4 5 6 8 Layout Heerences Mailings Review View Developer Hele A A A ESET AaBbce ABCD AaBbc Aabbcc AaB 1 Normal No Spacing Heading Heading 2 Paragraphs Styles ed credentials are out of date. Please sign in as uppal78270 saskpolytech.ca so we can verify your subscription Sign in 1. Behaviour-fixed or variable 1. Traceability - direct or indirect 2. Financial reporting - product or period 3. For product costs classify as DM, DL, MOH Following is a list of costs that Sydney's Bakery incurs for one of the most popular baked goods- Cinnamon Buns. Annual business license fee Utilities for bakery Sugar Costs Rent for bakery Flour Yeast Butter Vegetable Oil (spraying pans) Wages - Baker Wages - Counter sales staff Eggs Accounting Consultant Wages-Dish Washer Insurance for baker 15 16 References Mailing Ver Developer Hele 21 Aalbock ABCD AaBbc Aabbcc AaB A- T Normal No Spacing Heading Heading 2 Title Paragraph Styles als are out of date. Please sign in as uppal78270 sasipolytech.ca so we can verify your subscription Sign in Sydney's Bakery has received an order for 50 dozen cinnamon buns to be delivered to a local post- secondary institution. Following is information relevant to this order. Materials Traceable Materials Non-traceable materials $28-Flour Water $12-sugar Yeast $8-milk Ground cinnamon $5-Butter Brown Sugar Oil for baking pans *Note: The non-traceable materials have a total estimated cost of $27 for this order. $3 - eggs Labour Following is information for the staff working on the day the order is produced & sold. All staff support the production, sales and delivery of all baked products except the baker whose work time is dedicated to this order. Baker - $35/hr for 6 hours Support staff (dishwasher, counter sales) - $15/hour for 8 hours Delivery staff - $15/hour - 3 hours Manager - $260/day 199 Code benim od ur References Mailing Review V Develope Hele - AS A Aalb Dobocb AaBbc AaBbcc Aa T Normal No Spacing Heading 1 Heading 2 Title Paragraph Styles d credentials are out of date. Please sign in as uppal727saskpolytech.ca so we can verily your subscription Sign In Manager - $260/day Other Expenses Rent and insurance for the bakery total $3500/month. Utilities $1280/month. Tip: daily calculations are based on the following calculation: cost * 12/365 - round to the whole dollar Case continued on ne 21 99 Lone LOL Word Reference Review Vie Developer | . No Spacing Heading Heading 2 T Normal Title Paragraph Styles antials are out of date. Please sign in as uppal78270 saskpolytech.ca so we can verify your subscription Sign In Case Assignment -LO1-5 Operational information Sydney's Bakery applies overhead on the basis of Baker's Direct Labour hours. The estimated Baker DL hours for the year are 1,500 hours. The estimated manufacturing overhead is $126,000. For the reporting period, the actual overhead costs totalled $132,480 and actual Baker DL hours were recorded as 1,560. Operational results Sydney's Bakery has provided you with activity and respective costs for three months below. 3 January February March Sales in units 2,800 per unit 3,400 per unit 3,000 per unit Sales revenue $ 18,480 $ 6.60 $ 22,440$ 6.60 $ 19,800 6.60 Less: COGS $ (6,160) S (2.20) $ (7,480) $ (2.20) $ (6,600) $(2.20) Gross Margin $ 12,320 $ 14,960 $ 13,200 99 vence Mailings Review Developer Help Aabene AaBbcode AaBbcc Aabbcc AaB No Spacing Heading 1 Heading 2 Title Normal 5 Paragraph Styles He out of date. Please sign in as uppal78270 saskpolytech.ca so we can verify your subscription Sign In Operational results Sydney's Bakery has provided you with activity and respective costs for three months below. 3 January February March Sales in units 2,800 per unit 3,400 per unit 3,000 per unit Sales revenue $ 18,480 $ 6.60 $ 22,440 $ 6.60 $ 19,800 6.60 Less: COGS $ (6,160) S (2.20) $ (7,480) S (2.20) $ (6,600) $(2.20) Gross Margin $ 12,320 $ 14,960 $ 13,200 Less Operating XP Insurance $ 800 $ 0.29 $ 800 S 0.24 $ 800 0.27 Rent $ 1,800 $ 0.64 $ 1,800 $ 0.53 $ 1,800 0.60 Depn $ 700 $ 0.25 $ 700 $ 0.21 $ 700 0.23 Advertising $ 640 $ 0.23 $ 670 $ 0.20 $ 650 0.22 Salaries $ 7,100 $ 2.54 $ 7,850 $ 2.31 $ 7,350 2.45 Total Oper XP $(11,040) $(11,820) $(11,300) Net Income $ 1,280 $ 3,140 $ 1,900 o i 99 Terence Mailing Review View Developer Help SALT . T Normal No Spacing Heading Heading 2 Title Paragraph Styles e out of date. Please sign in as uppal7827saskpolytech.ca so we can verify your subscription Sign in Requirement #1 For this requirement, you will analyze and dassify costs that have been reported in Sydney Bakery's financial statements. 1. Classify the various costs in relation to the production and sale of cinnamon buns (one of several goods produced and sold). Any one of the costs may be classified under several classification types. A table has been included at the end of this document which you can copy and past into your response for convenience. Place an "x" in the respective cell representing the classification type. Be sure to refer back to the case details provided for details on the costs and the classification types. . . Requirement #2 This requirement focuses on the special order of 50 dozen cinnamon buns. Based on the information presented in the case: 1. Determine the total manufacturing costs for the order of 50 dozen cinnamon buns. 2. Calculate the total manufacturing cost on a per dozen basis 3. Calculate the total manufacturing costs on a per cinnamon bun basis. Requirement #3: o 1990 Malling View Developer Helo EU . No Spacing Heading 1 Heading 2 Title Normal Paragraph 15 Styles ut of date. Please sign in as uppal7827@saskpolytech.ca so we can verify your subscription 20 Sign In 5 Requirement #3: Based on the Operational Information provided in the case: 1. Calculate the pre-determined overhead rate (PDOHR) 2. Determine if manufacturing overhead (MOH) was over or under applied. 3. Develop the Journal Entry necessary to close out the manufacturing overhead account. Requirement #4: Based on the "Operational Results information presented for January, February, and March, complete the following: 1. Identify the variable, fixed and mixed costs 2. Develop the cost formula for each of the mixed costs using the high-low method? 3. Calculate the total cost for each mixed cost at an activity level of 3,600? 4. Prepare a contribution margin format income statement for the month of March (3,000 units). Requirements continued on next page. 99 US Kevin View Developer 2 . . bct T Normal No Spacing Heading 1 Heading 2 Title -A Palagraph Style entials are out of date. Please sign in as uppa[7227@saskpolytech.ca so we can verify your subscription Sign In Based on the Contribution Margin format income statement you created in requirement 14, calculate the following: 1. Total Contribution Margin 2. Contribution Margin per unit 3. Contribution Margin ratio 4. Break even point in $ and in units 5. Number of units and sales required to achieve monthly profits of $4,200. Requirement #6 Below are 2 separate proposals being considered. Create a contribution margin format income statement for the following using the March Information as the base for each proposal to support your analysis and recommendations: 1. The Baker believes that if she uses pecans and raisins in the basic cinnamon bun recipe, that sales volume will increase by 25%. The additional cost per cinnamon bun for the pecans and raisins will be $.20. What will be the new net income under this proposal? Would you recommend proceeding with this proposal? 2. Sydney believes that if she increases the monthly advertising cost by $300 that the bakery will experience a 15% sales volume increase. What will the new net income be under this proposal? Would you recommend proceeding with this proposal? 0 199 Cele ning nen:0 1-5 - Word References Melings Review View Devolopor Help | . Normal No Spacing Heading Heading 2 Title Paragraph Styles credentials are out of date. Please sign in as uppaf7677@saskpolytech.ca so we can verily your subscription Sign In Below are 2 separate proposals being considered. Create a contribution margin format income statement for the following using the March information as the base for each proposal to support your analysis and recommendations: 1. The Baker believes that if she uses pecans and raisins in the basic cinnamon bun recipe, that sales volume will increase by 25%. The additional cost per cinnamon bun for the pecans and raisins will be $.20. What will be the new net income under this proposal? Would you recommend proceeding with this proposal? 2. Sydney believes that if she increases the monthly advertising cost by $300 that the bakery will experience a 15% sales volume increase. What will the new net income be under this proposal? Would you recommend proceeding with this proposal? Tip: use the following format for the CM Income Statement 1) Total 1) per unit 2) Total 2) per unit Revenue/cost 1994 Wise iyout Terences Developer Hele AXARE E On- | T Normal No Spacing Hedingt Heading 2 Title Paragraan storet edential are out of del Plise sign in as uppals polytech.caso we can vesty your subscription Sign in Template for Requirement Classity the various costs in relation to the production and sale of cinnamon buns (omer of several based goods produced and sold) based on the cost classification types presented. Place an Xin the respective cell representing the classification type. Any one of the costs may be classified under several classification types. Cost Fixed Variable Direct Indirect Period Product OM DL MOH Annual Business License Fee Rent for bakery Utilities for bakery Flour Sugar Yeast Butter Ees Vegetable oil (for spraying pans] Accounting Consultant Wages - Baker Wages-Dish Washer Wazes Counter Sales staff Insurance for bakery Note: If you make any assumptions about the costs, capture those assumptions here: RE SLS 3 2 2 03 FO CY D/ 5 A 2 & * 5 3 3 4 7 8 9 O 2 3 E R T Y I P c Case Assignment Requirements Requirement1 For this requirement, you will analyze and daily costs that have been reported in Sydney Bakery's financial statements 1. Camily the various costs in relation to the production and sale of cinnamon buns one of sewralgooch produced and sold) Any one of the costs may be died under veral classification types Atable has been included at the end of this document which you can copy and pastinto your response for convenience. Place an in the respective cell representing the des fichon type w wreto refet back to the creditats provided for detalk on the costs and the classification types. Requirement 2 The requement focuses on the special order of sodium cinnamon bure. Based on the formation presented in the 1. Determine the total manufacturing costs for the order of so donnamon 2. Calculate the total manufacturing cost on perdoren buss 1. Calculate the total manufacturing costs on pero bumbas Requirements: Requirement #3: Based on the Operational Information provided in the cases 1. Calculate the pre determined overhead rate (PDOHR) 2. Determine if manufacturing overhead (MOH) was over or under applied. 3. Develop the Journal Entry necessary to close out the manufacturing overhead account Requirement #6 Based on the "Operational Results" information presented for January, February, and March, complete the following: 1. Identify the variable, feed and mixed costs 2. Develop the cost formula for each of the mixed costs using the high low method? 3. Calculate the total cost for each mixed cost at an activity level of 3,600? 4. Prepare a contribution margin format income statement for the month of March (3,000 units). Based on the contribution Margin format income statement you created in requirement #4, calculate the following: 1. Total Contribution Margin 2. Contribution Margin per unit 3. Contribution Margin ratio 4. Break even point in $ and in units 5. Number of units and sales required to achieve monthly profits of $4,200. Requirement to Below are 2 separate proposals being considered. Create a contribution margin format income statement for the following using the March information as the base for each proposal to support your analysis and recommendations: 1. The Baker believes that it she uses pecans and raisins in the basic cinnamon bun recipe, that sales volume will increase by 25%. The additional cost per cinnamon bun for the pecans and raisins will be 5.20. What will be the new net income under this proposal? Would you recommend proceeding with this proposal? 2. Sydney believes that it she increases the monthly advertising cost by 5300 that the bakery will experience a 15% sales volume increase. What will the new net income be under this proposal? Would you recommend proceeding with this proposal? Introduction: Sydney's Bakery operates a small business that bakes and sells a variety of goods within a major city. Sydney is trying to gain a better understanding of the business's profits with the goal of identifying opportunities. Sydney has hired you to examine the operations and the respective financial data and to provide your expertise and recommendations. Analysis of business operations and profitability requires an understanding of the types of costs that are incurred. Sydney has not had the opportunity to evaluate costs from a management accounting perspective. Recall that classifying costs on the basis of the following can be very beneficial to support decision making, 1. Behaviour-fixed or variable 1. Traceability - direct or indirect 2 Financial reporting product or period 3. For product costs classify as DM, DL, MOH Following is a list of costs that Sydney's Bakery incurs for one of the most popular baked goods Cinnamon Buns. Following is a list of costs that Sydney's Bakery incurs for one of the most popular baked goods- Cinnamon Buns. Annual business license fee Utilities for bakery Sugar Costs Rent for bakery Flour Yeast Butter Vegetable oil (spraying pans) Wages - Baker Wages -- Counter sales staff Eggs Accounting Consultant Wages - Dish Washer Insurance for baker Sydney's Bakery has received an order for 50 dozen cinnamon buns to be delivered to a local post secondary institution. Following is information relevant to this order. Materials Troceable Materials Non-traceable materials $28-Flour Water $12-sugor Yeast $8-milk Ground cinnamon $5 - Butter Brown Sugar Oil for baking pans "Note: The non-traceable materials have a total estimated cost of $27 for this order. $3 - eggs Labour Following is information for the staff working on the day the order is produced & sold. All staff support the production, sales and delivery of all baked products except the baker whose work time is dedicated to this order. Baker - $35/hr for 6 hours Support staff (dishwasher,counter sales) - $15/hour for 8 hours Delivery staff - $15/hour - 3 hours Labour Following is information for the staff working on the day the order is produced & sold. All staff support the production, sales and delivery of all baked products except the baker whose work time is dedicated to this order. Baker - $35/hr for 6 hours Support staff (dishwasher, counter sales) - $15/hour for 8 hours Delivery staff - $15/hour - 3 hours Manager - $260/day Other Expenses Rent and insurance for the bakery total $3500/month. Utilities $1280/month. Tip: daily calculations are based on the following calculation: cost * 12/365-round to the whole dollar Operational information Sydney's Bakery applies overhead on the basis of Baker's Direct Labour hours. The estimated Baker DL hours for the year are 1,500 hours. The estimated manufacturing overhead is $126,000. For the reporting period, the actual overhead costs totalled $132,480 and actual Baker DL hours were recorded as 1,560. Operational results Sydney's Bakery has provided you with activity and respective costs for three months below: 3 January February March Sales in units 2,800 per unit 3,400 per unit 3,000 per unit Sales revenue $ 18,480 $ 6.60 S 22,440 S 6.60 $ 19,800 6.60 Less: COGS $ (6,160) S (2.20) S (7.480) S (2.20) $ (6,600) S(2.20) Gross Margin $ 12,320 $ 14,960 $ 13,200 Less Operating XP Insurance S 800 $ 0.29 $ 800 $ 0.24 S 800 0.27 Rent $ 1,800 $ 0.64 $ 1,800 $ 0.53 $ 1,800 0.60 Depn $ 700 S 0.25 S 700$ 0.21 $ 700 0.23 Advertising $ 640 S 0.23 S 670 $ 0.20 $ 650 0.22 Salaries $ 7,100 $ 2.54 S 7,850 $ 2.31 $ 7,350 2.45 Total Oper XP S(11.040) S(11,820) $(11,300) Net Income $ 1,280 $ 3,140 $ 1,900 1 Normal No Spacing Heading 1 Heading 2 Title Maragraph Styles mitials are out of date. Please sign in as uppal7827@saskpolytechica so we can verify your subscription Sign in Introduction: Sydney's Bakery operates a small business that bakes and sells a variety of goods within a major city. Sydney is trying to gain a better understanding of the business's profits with the goal of identifying opportunities. Sydney has hired you to examine the operations and the respective financial data and to provide your expertise and recommendations, Analysis of business operations and profitability requires an understanding of the types of costs that are incurred. Sydney has not had the opportunity to evaluate costs from a management accounting perspective. Recall that classifying costs on the basis of the following can be very beneficial to support decision making. 1. Behaviour - fuced or variable 1. Traceability - direct or indirect 2. Financial reporting - product or period 3. For product costs classify as DM, DL, MOH Following is a list of costs that Sydney's Bakery incurs for one of the most popular baked goods- Cinnamon Buns. Annual business license fee Utilities for bakery Costs Rent for bakery Flour SUS 3 18 19 FO 11 112 X O/ 4 5 6 8 Layout Heerences Mailings Review View Developer Hele A A A ESET AaBbce ABCD AaBbc Aabbcc AaB 1 Normal No Spacing Heading Heading 2 Paragraphs Styles ed credentials are out of date. Please sign in as uppal78270 saskpolytech.ca so we can verify your subscription Sign in 1. Behaviour-fixed or variable 1. Traceability - direct or indirect 2. Financial reporting - product or period 3. For product costs classify as DM, DL, MOH Following is a list of costs that Sydney's Bakery incurs for one of the most popular baked goods- Cinnamon Buns. Annual business license fee Utilities for bakery Sugar Costs Rent for bakery Flour Yeast Butter Vegetable Oil (spraying pans) Wages - Baker Wages - Counter sales staff Eggs Accounting Consultant Wages-Dish Washer Insurance for baker 15 16 References Mailing Ver Developer Hele 21 Aalbock ABCD AaBbc Aabbcc AaB A- T Normal No Spacing Heading Heading 2 Title Paragraph Styles als are out of date. Please sign in as uppal78270 sasipolytech.ca so we can verify your subscription Sign in Sydney's Bakery has received an order for 50 dozen cinnamon buns to be delivered to a local post- secondary institution. Following is information relevant to this order. Materials Traceable Materials Non-traceable materials $28-Flour Water $12-sugar Yeast $8-milk Ground cinnamon $5-Butter Brown Sugar Oil for baking pans *Note: The non-traceable materials have a total estimated cost of $27 for this order. $3 - eggs Labour Following is information for the staff working on the day the order is produced & sold. All staff support the production, sales and delivery of all baked products except the baker whose work time is dedicated to this order. Baker - $35/hr for 6 hours Support staff (dishwasher, counter sales) - $15/hour for 8 hours Delivery staff - $15/hour - 3 hours Manager - $260/day 199 Code benim od ur References Mailing Review V Develope Hele - AS A Aalb Dobocb AaBbc AaBbcc Aa T Normal No Spacing Heading 1 Heading 2 Title Paragraph Styles d credentials are out of date. Please sign in as uppal727saskpolytech.ca so we can verily your subscription Sign In Manager - $260/day Other Expenses Rent and insurance for the bakery total $3500/month. Utilities $1280/month. Tip: daily calculations are based on the following calculation: cost * 12/365 - round to the whole dollar Case continued on ne 21 99 Lone LOL Word Reference Review Vie Developer | . No Spacing Heading Heading 2 T Normal Title Paragraph Styles antials are out of date. Please sign in as uppal78270 saskpolytech.ca so we can verify your subscription Sign In Case Assignment -LO1-5 Operational information Sydney's Bakery applies overhead on the basis of Baker's Direct Labour hours. The estimated Baker DL hours for the year are 1,500 hours. The estimated manufacturing overhead is $126,000. For the reporting period, the actual overhead costs totalled $132,480 and actual Baker DL hours were recorded as 1,560. Operational results Sydney's Bakery has provided you with activity and respective costs for three months below. 3 January February March Sales in units 2,800 per unit 3,400 per unit 3,000 per unit Sales revenue $ 18,480 $ 6.60 $ 22,440$ 6.60 $ 19,800 6.60 Less: COGS $ (6,160) S (2.20) $ (7,480) $ (2.20) $ (6,600) $(2.20) Gross Margin $ 12,320 $ 14,960 $ 13,200 99 vence Mailings Review Developer Help Aabene AaBbcode AaBbcc Aabbcc AaB No Spacing Heading 1 Heading 2 Title Normal 5 Paragraph Styles He out of date. Please sign in as uppal78270 saskpolytech.ca so we can verify your subscription Sign In Operational results Sydney's Bakery has provided you with activity and respective costs for three months below. 3 January February March Sales in units 2,800 per unit 3,400 per unit 3,000 per unit Sales revenue $ 18,480 $ 6.60 $ 22,440 $ 6.60 $ 19,800 6.60 Less: COGS $ (6,160) S (2.20) $ (7,480) S (2.20) $ (6,600) $(2.20) Gross Margin $ 12,320 $ 14,960 $ 13,200 Less Operating XP Insurance $ 800 $ 0.29 $ 800 S 0.24 $ 800 0.27 Rent $ 1,800 $ 0.64 $ 1,800 $ 0.53 $ 1,800 0.60 Depn $ 700 $ 0.25 $ 700 $ 0.21 $ 700 0.23 Advertising $ 640 $ 0.23 $ 670 $ 0.20 $ 650 0.22 Salaries $ 7,100 $ 2.54 $ 7,850 $ 2.31 $ 7,350 2.45 Total Oper XP $(11,040) $(11,820) $(11,300) Net Income $ 1,280 $ 3,140 $ 1,900 o i 99 Terence Mailing Review View Developer Help SALT . T Normal No Spacing Heading Heading 2 Title Paragraph Styles e out of date. Please sign in as uppal7827saskpolytech.ca so we can verify your subscription Sign in Requirement #1 For this requirement, you will analyze and dassify costs that have been reported in Sydney Bakery's financial statements. 1. Classify the various costs in relation to the production and sale of cinnamon buns (one of several goods produced and sold). Any one of the costs may be classified under several classification types. A table has been included at the end of this document which you can copy and past into your response for convenience. Place an "x" in the respective cell representing the classification type. Be sure to refer back to the case details provided for details on the costs and the classification types. . . Requirement #2 This requirement focuses on the special order of 50 dozen cinnamon buns. Based on the information presented in the case: 1. Determine the total manufacturing costs for the order of 50 dozen cinnamon buns. 2. Calculate the total manufacturing cost on a per dozen basis 3. Calculate the total manufacturing costs on a per cinnamon bun basis. Requirement #3: o 1990 Malling View Developer Helo EU . No Spacing Heading 1 Heading 2 Title Normal Paragraph 15 Styles ut of date. Please sign in as uppal7827@saskpolytech.ca so we can verify your subscription 20 Sign In 5 Requirement #3: Based on the Operational Information provided in the case: 1. Calculate the pre-determined overhead rate (PDOHR) 2. Determine if manufacturing overhead (MOH) was over or under applied. 3. Develop the Journal Entry necessary to close out the manufacturing overhead account. Requirement #4: Based on the "Operational Results information presented for January, February, and March, complete the following: 1. Identify the variable, fixed and mixed costs 2. Develop the cost formula for each of the mixed costs using the high-low method? 3. Calculate the total cost for each mixed cost at an activity level of 3,600? 4. Prepare a contribution margin format income statement for the month of March (3,000 units). Requirements continued on next page. 99 US Kevin View Developer 2 . . bct T Normal No Spacing Heading 1 Heading 2 Title -A Palagraph Style entials are out of date. Please sign in as uppa[7227@saskpolytech.ca so we can verify your subscription Sign In Based on the Contribution Margin format income statement you created in requirement 14, calculate the following: 1. Total Contribution Margin 2. Contribution Margin per unit 3. Contribution Margin ratio 4. Break even point in $ and in units 5. Number of units and sales required to achieve monthly profits of $4,200. Requirement #6 Below are 2 separate proposals being considered. Create a contribution margin format income statement for the following using the March Information as the base for each proposal to support your analysis and recommendations: 1. The Baker believes that if she uses pecans and raisins in the basic cinnamon bun recipe, that sales volume will increase by 25%. The additional cost per cinnamon bun for the pecans and raisins will be $.20. What will be the new net income under this proposal? Would you recommend proceeding with this proposal? 2. Sydney believes that if she increases the monthly advertising cost by $300 that the bakery will experience a 15% sales volume increase. What will the new net income be under this proposal? Would you recommend proceeding with this proposal? 0 199 Cele ning nen:0 1-5 - Word References Melings Review View Devolopor Help | . Normal No Spacing Heading Heading 2 Title Paragraph Styles credentials are out of date. Please sign in as uppaf7677@saskpolytech.ca so we can verily your subscription Sign In Below are 2 separate proposals being considered. Create a contribution margin format income statement for the following using the March information as the base for each proposal to support your analysis and recommendations: 1. The Baker believes that if she uses pecans and raisins in the basic cinnamon bun recipe, that sales volume will increase by 25%. The additional cost per cinnamon bun for the pecans and raisins will be $.20. What will be the new net income under this proposal? Would you recommend proceeding with this proposal? 2. Sydney believes that if she increases the monthly advertising cost by $300 that the bakery will experience a 15% sales volume increase. What will the new net income be under this proposal? Would you recommend proceeding with this proposal? Tip: use the following format for the CM Income Statement 1) Total 1) per unit 2) Total 2) per unit Revenue/cost 1994 Wise iyout Terences Developer Hele AXARE E On- | T Normal No Spacing Hedingt Heading 2 Title Paragraan storet edential are out of del Plise sign in as uppals polytech.caso we can vesty your subscription Sign in Template for Requirement Classity the various costs in relation to the production and sale of cinnamon buns (omer of several based goods produced and sold) based on the cost classification types presented. Place an Xin the respective cell representing the classification type. Any one of the costs may be classified under several classification types. Cost Fixed Variable Direct Indirect Period Product OM DL MOH Annual Business License Fee Rent for bakery Utilities for bakery Flour Sugar Yeast Butter Ees Vegetable oil (for spraying pans] Accounting Consultant Wages - Baker Wages-Dish Washer Wazes Counter Sales staff Insurance for bakery Note: If you make any assumptions about the costs, capture those assumptions here: RE SLS 3 2 2 03 FO CY D/ 5 A 2 & * 5 3 3 4 7 8 9 O 2 3 E R T Y I P c