Question
PLEASE HELP ME ANSWER ALL QUESTIONS THANKS! im begging struggling by 10/28/15 10:00 pm i need help dont understand 1. The following are Atlantic's production
PLEASE HELP ME ANSWER ALL QUESTIONS THANKS! im begging struggling by 10/28/15 10:00 pm
i need help dont understand
1.
The following are Atlantic's production costs for the quarter ended September 30th:
Direct materials | $200,000 |
Direct labor | $150,000 |
Factory overhead | $30,000 |
What amount of costs should be traced to specific products in the process?
$350,000
$200,000
$230,000
$380,000
2.
The Rockmart Construction Company delivers dirt and stone from local quarries to its construction sites. A new truck that was purchased for a cost of $123,000 at the beginning of the year was expected to deliver 206,000 tons over its useful life. The following is a breakdown of the tons delivered during the year to each construction site:
Construction Sites: | A | B | C | D |
Tons Delivered: | 2,600 | 4,100 | 4,600 | 2,100 |
How much truck depreciation should be allocated to Site D? (Do not round your intermediate calculations. Round your answer to the nearest dollar.)
$19,276
$1,254
$1,230
None of the above answers are correct.
3.
The East and West Railroad has two divisions, the East Division and the West Division. The company recently invested $820,000 to maintain its railroad track. Pertinent data for the two divisions are as follows: (Round your intermediate calculations to two decimal places and final answer to nearest whole dollar amount.) Total Miles Traveled
East Division | 820,000 miles |
West Division | 1,220,000 miles |
The amount of track improvement cost that should be allocated to the East Division is:
$510,000.
$490,392.
$410,000.
$328,000.
4.
Paul's Department Store has three departments: Men's, Women's and Children's. The store incurred $27,000 of store rental costs in 2013. The departments identified the following cost drivers for 2013:
Men's | Women's | Children's | |
Labor dollars | $527,000 | $772,000 | $237,000 |
Number of employees | 23 | 33 | 17 |
Square footage | 2,700 | 7,700 | 1,200 |
Number of sales transactions | 297,000 | 897,000 | 87,000 |
Using the most appropriate cost driver, how much rental cost (rounded to the nearest dollar) should be allocated to the Children's Department? (Do not round your intermediate calculations.)
$6,288
$1,834
$2,793
$4,166
5.
Joint products A and B emerge from common processing that costs $126,000 and yields 5,000 units of Product A and 3,000 units of Product B. Product A can be sold for $300 per unit. Product B can be sold for $100 per unit. How much of the joint cost will be assigned to Product A if joint costs are allocated on the basis of relative sales values? (Do not round your intermediate calculations.)
$102,500
$105,000
$100,000
$95,000
6.
Joint products A and B emerge from common processing that costs $74,000 and yields 4,400 units of Product A and 3,400 units of Product B. Product A can be sold for $150 per unit. Product B can be sold for $240 per unit. What amount of the joint costs will be assigned to Product A if joint costs are allocated on the basis of number of units produced? (Do not round your intermediate calculations.)
$41,744
$41,580
$32,256
$32,420
7.
Halt Company employs material handling employees who move materials between production divisions at a labor cost of $188,000 a year. It is estimated that these employees move 680,000 pounds of material per year. If 68,000 pounds are moved in March, how much of the material handling cost should be assigned to products made in March? (Do not round your intermediate calculations.)
$12,800
$18,800
$25,800
$19,800
8.
Valdez Company produces several lines of laundry hampers. The factory is highly automated and uses an activity-based costing system to allocate overhead costs to its various products. During the upcoming period the company expects to produce 74,000 units. The costs and cost drivers associated with four activity cost pools are given below:
ACTIVITIES: | UNIT | BATCH | PRODUCT | FACILITY |
LEVEL | LEVEL | LEVEL | LEVEL | |
Cost | $32,000 | $8,200 | $15,200 | $36,200 |
Cost Driver | 16,000 labor hrs | 220 set ups | % of use | 74,000 units |
Production of 42,000 units of its popular foldable hamper required 3,400 labor hours, 152 setups, and consumed one-third of the product sustaining activities. What amount of unit-level costs will be allocated to the product? (Do not round intermediate calculations.)
$16,000
$4,700
$10,500
$6,800
9.
The Sandusky Company recorded the following costs of quality during the current period:
Downtime | $2,300 |
Inspection | 1,800 |
Product design | 4,800 |
Reliability testing upon completion of production | 3,300 |
Restocking and packaging | 2,300 |
Training | 3,800 |
Warranty repairs and replacements | 3,300 |
Total costs of quality | $21,600 |
Which choice below represents the correct amount of prevention and appraisal costs?
Prevention | Appraisal | |
A) | $4,800 | $1,800 |
B) | $3,800 | $1,800 |
C) | $8,600 | $5,100 |
D) | $3,800 | $3,300 |
Choice D
Choice A
Choice B
Choice C
10.
CraftMade Company expects to produce 19,000 total units during the current period. The costs and cost drivers associated with four activity cost pools are given below:
ACTIVITIES: | UNIT | BATCH | PRODUCT | FACILITY |
LEVEL | LEVEL | LEVEL | LEVEL | |
Cost | $30,000 | $25,900 | $12,000 | $95,000 |
Cost Driver | 3,000 labor hrs | 140 set ups | % of use | 19,000 units |
Production of 1,000 units of an auto towing tool required 400 labor hours, 17 setups, and consumed 20 % of the product sustaining activities. How much total overhead cost will be allocated to this product if the company allocates overhead on the basis of a single overhead allocation rate based on direct labor hours? (Do not round intermediate calculations.)
$8,350
$30,000
$21,720
$5,000
11.
Kyoto Company allocates overhead on the basis of direct labor hours. It allocates overhead costs of $5,500 to two different jobs as follows: Job 1: (10 hours) = $2,750; Job 2: (10 hours) = $2,750 The production process for Job 2 was then automated. Now Job 2 requires only two hours of direct labor but four hours of mechanical processing. As a result, total overhead increased to $7,920. How much overhead cost will be assigned to Job 1 after automation?
$2,750
$6,600
$4,070
$1,320
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