I would like the solutions to all these review questions in order to practice for my test. Thank you!

Question # 1: (Marks: 10) The following data are given for London Corporation for the month of January, 2017 (in millions of dollars): $30 Beginning inventories- Finished goods 20 Ending inventories- Finished goods Administrative expenses (fixed for a period) 20 400 Sales 100 Direct materials used 180 Direct labour cost 90 Fixed Factory overhead Selling expenses (Varies with sales quantity) 30 Required: Calculate the following amounts and show your calculations: Cost of goods manufactured Cost of goods sold Total period cost a. b. C. d. Prime costs e. Conversion cost f. Direct costs g. Indirect costs h, Fixed costs Variable costs i. jGross margin BR888888 Question #2iC1S Marks) Perfect Inc. produces gadgets for the coveted small appliance market. The following data reflect activity for the most recent year, 2016 Costs Incurred: Amount. Purchases of direct materials (net) on account $124,000 Direct manufacturing labour cost e$10 per hour 800,000 54,500 Indirect labour 30,000 Amortization, factory equipment 7,000 Amortization, office equipment 20,000 Maintenance, factory equipment 9,500 Miscellaneous factory overhead 70,000 Rent, Factory building 90,000 Advertising expense 30,000 Sales commissions Beginning and ending inventories for the year were as follows: December 31,2016 January 1,2016 11,000 $9,000 Direct materials 21,000 6,000 Work in process 24,000 69,000 Finished goods Perfect company uses a normal job costing system (budgeted overhead rate) and allocates overhead to work-in-process at a rate of $2.50 per direct manufacturing labour hour. Required: Prepare journal entries to record the 2016 transactions including an entry to close out over/under allocated overhead to cost of goods sold. Question M 3: 15 Marks Justin Company worked on only three jobs during May, Information on the Jobs is given below: Job 701. Job 702 Job 703 Direct materials $80,000 $92.000 $72,000 Direct labour costs $287,000 $219.000 $215.000 Direct manufacturing labour hours 20,500 14,600 5,000 (DMLH) At the beginning of the year, annual manufacturing overhead was budgeted at $3,780,000 and budgeted direct manufacturing labour hours are 40,000 per month. Job 701 was completed in May. Required: 1. Compute the total cost of Job 701(6 Marks) 2. Calculate the unit cost for Job 701 assuming it has 2,500 units.(1 Mark) Make the journal entry transferring Job 701 to finished goods.(3 Marks) 4. Determine the ending balance in the work-in-process account.(5 Marks) 3. Question #4: (Marks: 15) Dotsero Technology, Inc., has a job-order costing system. The company uses predetermined overhead rates in applying manufacturing overhead cost to individual jobs, The predetermined overhead rate in Department A is based on machine hours, and the rate in Department B is based on direct materials cost. At the beginning of the most recent vear, the company's management made the following estimates for the year: Department A 70,000 30,000 $195,000 $260,000 $420,000 Machine-hours Direct labour-hours Direct materials cost Direct labour cost Manufacturing overhead cost 19,000 60,000 $282,000 $520,000 $705,000 Job #243 entered into production on April 1 and was completed on May 12. The company's cost records show the following actual information about the job # 243 : Department A 250 70 B 60 120 Machine-hours Direct labour-hours Direct materials cost $1,100 $880 $840 $610 Direct labour cost At the end of the year, the records of Dotsero showed the following actual cost and operating data for all jobs worked on during the year: Department A 61,000 28,000 $156,000 $385,000 Machine-hours Direct labour-hours Direct materials cost 20,000 66,000 $284,000 $705,000 Manufacturing overhead cost REQUIRED: (Show your calculations) 1. Calculate the pre-determined overhead rates for Department A and B. (2 marks) 2. Compute the total overhead cost applied to Job # 243. (2 marks) 3. Calculate the mfg. Overhead applied for the whole year for each department (2 marks) 4. Calculate the under/over applied overhead for each department and indicate whether under or over applied. (3 marks) auestion # 6: (Marks: 10) Select the most appropriate answer from each of the following multiple-choice 1. Management accounting: A) Measures, analyzes, and reports financial and nonfinancial information to internal managers. B) Provides information about the company as a whole. C) Reports information that has occurred in the nast that is verifiable and reliable. D) Provides information that is generally available only on a quarterly or annual basis. E) Must follow generally accepted accounting principles. 2. The value chain is the: A) Sequence of business functions in which value is deducted from the products or services of an organization. B) Sequence of business functions in which value is proportionately added to the products or services of an organization. C) Process by which products and services are critiqued for their value. D) Sequence of business functions in which customer usefulness is added to the products or services of an organization. E) Sequence of functions in which value is added at specific target areas of improvement. 3. Which one of the following items is typically an example of an indirect cost of a cost object? A) Courier charges for shipment delivery B) Manufacturing plant electricity C) Direct manufacturing labour D) Wood used for furniture manufacture E) Refundable sales tax on direct materials 4. If each furnace required a hose that costs $20 and 2,000 furnaces are produced for the month, the $40,000 total cost for hoses A) Is considered to be a direct fixed cost. B) Is considered to be a direct variable cost. C) Is considered to be an indirect fixed cost. D) Is considered to be an indirect variable cost. E) Is considered to be variable or fixed, depending on the relevant range. 5. The relevant range is important because A) It specifies which costs should be used for a given decision. B) It provides a basis for determining a range of acceptable cost alternatives. C) It is required to determine inventoriable costs under Canadian GAAP. D) It specifies the limits beyond which the relationship of cost to cost drivers may not be vali E) It determines the time horizon. Question # 1: (Marks: 10) The following data are given for London Corporation for the month of January, 2017 (in millions of dollars): $30 Beginning inventories- Finished goods 20 Ending inventories- Finished goods Administrative expenses (fixed for a period) 20 400 Sales 100 Direct materials used 180 Direct labour cost 90 Fixed Factory overhead Selling expenses (Varies with sales quantity) 30 Required: Calculate the following amounts and show your calculations: Cost of goods manufactured Cost of goods sold Total period cost a. b. C. d. Prime costs e. Conversion cost f. Direct costs g. Indirect costs h, Fixed costs Variable costs i. jGross margin BR888888 Question #2iC1S Marks) Perfect Inc. produces gadgets for the coveted small appliance market. The following data reflect activity for the most recent year, 2016 Costs Incurred: Amount. Purchases of direct materials (net) on account $124,000 Direct manufacturing labour cost e$10 per hour 800,000 54,500 Indirect labour 30,000 Amortization, factory equipment 7,000 Amortization, office equipment 20,000 Maintenance, factory equipment 9,500 Miscellaneous factory overhead 70,000 Rent, Factory building 90,000 Advertising expense 30,000 Sales commissions Beginning and ending inventories for the year were as follows: December 31,2016 January 1,2016 11,000 $9,000 Direct materials 21,000 6,000 Work in process 24,000 69,000 Finished goods Perfect company uses a normal job costing system (budgeted overhead rate) and allocates overhead to work-in-process at a rate of $2.50 per direct manufacturing labour hour. Required: Prepare journal entries to record the 2016 transactions including an entry to close out over/under allocated overhead to cost of goods sold. Question M 3: 15 Marks Justin Company worked on only three jobs during May, Information on the Jobs is given below: Job 701. Job 702 Job 703 Direct materials $80,000 $92.000 $72,000 Direct labour costs $287,000 $219.000 $215.000 Direct manufacturing labour hours 20,500 14,600 5,000 (DMLH) At the beginning of the year, annual manufacturing overhead was budgeted at $3,780,000 and budgeted direct manufacturing labour hours are 40,000 per month. Job 701 was completed in May. Required: 1. Compute the total cost of Job 701(6 Marks) 2. Calculate the unit cost for Job 701 assuming it has 2,500 units.(1 Mark) Make the journal entry transferring Job 701 to finished goods.(3 Marks) 4. Determine the ending balance in the work-in-process account.(5 Marks) 3. Question #4: (Marks: 15) Dotsero Technology, Inc., has a job-order costing system. The company uses predetermined overhead rates in applying manufacturing overhead cost to individual jobs, The predetermined overhead rate in Department A is based on machine hours, and the rate in Department B is based on direct materials cost. At the beginning of the most recent vear, the company's management made the following estimates for the year: Department A 70,000 30,000 $195,000 $260,000 $420,000 Machine-hours Direct labour-hours Direct materials cost Direct labour cost Manufacturing overhead cost 19,000 60,000 $282,000 $520,000 $705,000 Job #243 entered into production on April 1 and was completed on May 12. The company's cost records show the following actual information about the job # 243 : Department A 250 70 B 60 120 Machine-hours Direct labour-hours Direct materials cost $1,100 $880 $840 $610 Direct labour cost At the end of the year, the records of Dotsero showed the following actual cost and operating data for all jobs worked on during the year: Department A 61,000 28,000 $156,000 $385,000 Machine-hours Direct labour-hours Direct materials cost 20,000 66,000 $284,000 $705,000 Manufacturing overhead cost REQUIRED: (Show your calculations) 1. Calculate the pre-determined overhead rates for Department A and B. (2 marks) 2. Compute the total overhead cost applied to Job # 243. (2 marks) 3. Calculate the mfg. Overhead applied for the whole year for each department (2 marks) 4. Calculate the under/over applied overhead for each department and indicate whether under or over applied. (3 marks) auestion # 6: (Marks: 10) Select the most appropriate answer from each of the following multiple-choice 1. Management accounting: A) Measures, analyzes, and reports financial and nonfinancial information to internal managers. B) Provides information about the company as a whole. C) Reports information that has occurred in the nast that is verifiable and reliable. D) Provides information that is generally available only on a quarterly or annual basis. E) Must follow generally accepted accounting principles. 2. The value chain is the: A) Sequence of business functions in which value is deducted from the products or services of an organization. B) Sequence of business functions in which value is proportionately added to the products or services of an organization. C) Process by which products and services are critiqued for their value. D) Sequence of business functions in which customer usefulness is added to the products or services of an organization. E) Sequence of functions in which value is added at specific target areas of improvement. 3. Which one of the following items is typically an example of an indirect cost of a cost object? A) Courier charges for shipment delivery B) Manufacturing plant electricity C) Direct manufacturing labour D) Wood used for furniture manufacture E) Refundable sales tax on direct materials 4. If each furnace required a hose that costs $20 and 2,000 furnaces are produced for the month, the $40,000 total cost for hoses A) Is considered to be a direct fixed cost. B) Is considered to be a direct variable cost. C) Is considered to be an indirect fixed cost. D) Is considered to be an indirect variable cost. E) Is considered to be variable or fixed, depending on the relevant range. 5. The relevant range is important because A) It specifies which costs should be used for a given decision. B) It provides a basis for determining a range of acceptable cost alternatives. C) It is required to determine inventoriable costs under Canadian GAAP. D) It specifies the limits beyond which the relationship of cost to cost drivers may not be vali E) It determines the time horizon