Essay Questions (ALL THE QUESTIONS ARE REQUIRED TO BE Question 1. McGordon Corporation has provided the following data: Sales Variable expenses Fixed expenses $800,000 $560.000 $168.000 Require: a. What is the company's contribution margin? b. What is the break-even point in sales dollars? Question 2. Friddell Inc., which produces a single product, has provided the following data for its most recent month of operation: 8.000 $17 $32 Number of units produced... Variable costs per unit: Direct materials Direct labor Variable manufacturing overhead. Variable selling and administrative expenses. Fixed costs: Fixed manufacturing overhead Fixed selling and administrative expenses $4 $8 $664.000 $288,000 The company had no beginning or ending inventories. Required: Compute the unit product cost under variable costing. Show your work! Question 3. The direct method is used by Rastorfer Clinic to allocate its service department costs to its operating departments. Data concerning those departments follow: Service Department Operating Department Information Technology Personnel Pediatrics Prenatal Departmental costs.... $35.114 $42.483 $609.790 $716.820 Computers 28 13 56 41 Employees. 27 11 107 40 Information Technology costs are allocated on the basis of computers and Personnel costs are allocated on the basis of employees. Required: Allocate the service department costs to the operating departments using the direct method. Question 4. Baroche Inc. uses the weighted average method in its process costing system. The following data concern the operations of the company's first processing department for a recent month. Work in process, beginning: Units in process. 100 Percent complete with respect to materials. 70. Percent complete with respect to conversion.. 40. Costs in the beginning inventory: Materials cost $364 Conversion cost $1.120 Units started into production during the month 23.000 Units completed and transferred out 22.900 Costs added to production during the month: Materials cost $124.160 Conversion cost $637,088 Work in process, ending: Units in process.... 200 Percent complete with respect to materials. 80. Percent complete with respect to conversion 70. Required: Using the weighted average method: a. Determine the equivalent units of production for materials and conversion costs. b. Determine the cost per equivalent unit for materials and conversion costs. c. Determine the cost of units transferred out of the department during the month. d. Determine the cost of ending work in process inventory in the department