please help me woth this hw!

B D H E F G See The Light Projected Income Statement For the Period Ending December 31, 20x1 $ 1,125,000.00 72 250.00 $ 401,750,00 Sales 25,000 lamps @ $45.00 Cost of Goods Sold @ $28.33 Gross Profit Selling Expenses Fixed Varinbla (Commission per unit) $3.15 Administrative Expenses Total Selling and Administrative Experses. Net Profit $ 23,000.00 78.750.00 $ 101,750,00 40.250 00 142.000.00 $21250 260.00 I See The Light Projected Balance Sheet As of December 31, 20x1 $ 34.710.00 67,500.00 Current Assets Cash Accounts Receivable Inventory Raw Material Figurines Electrical Sets Work in Process Finished Goods Total Current Assets 500 $9.20 500 $1.25 0 3000 $28.9250 4.600.00 625.00 86.775.00 194 210.00 $ Fixed Assets Equipment Accumulated Depreciation Total Fixed Assets Total Assets $ 20,000.00 6,800.00 13.200,00 207 410.00 $ 54.000.00 54,000.00 Current Liabilities Accounts Payable Total Liabilities Stockholder's Equity Common Stock Retained wings Total Stockholder's Equity Total Latilises and Stockholder's Equity $ 12,000.00 141.410.00 15341000 207 41000 3 4 PART 1 5 Fixed and Variable Cost Determinations Unit Cost Calculations 6 8 The projected cost of a lamp is calculated based upon the projected increases or decreases to 9 current costs. The present costs to manufacture one lampe 10 11 Figurines $92000000 loerlamp 18 Electrical Sets 1.2500000 per lamp 19 Lamp Shade 6.0000000 per lamp 20 Direct Labor: 22500000 per lamp (4 lamps/hr.) Variable Overhead: 0.2250000 per lamp Fixed Overhead: 10.0000000 per lamp (based on normal capacity of 25,000 lamps) Cost per lamp $28 9250000 per lamp 40 43 regn=938 8Gm 32 Expected increases for 20x2 33 When calculating projected increases round to SEVEN decimal places, 90.0000000 41 1. Material Costs are expected to increase by 4.50%. 42 2 Labor Costs are expected to increase by 3.50% 44 51 3. Variable Overhead is expected to increase by 5.50% 52 53 4. Fixed Overhead is expected to increase to $295,000 54 5. Fixed selling expenses are expected to be $27,000 in 2012 62 6. Variable selling expenses (measured on a per lamp basis) are expected to increase by 6.50% 7. Fixed Administrative expenses are expected to increase by $6,000. The total administrative perses for 20x0 were $40,005.00, when 74 21.500 units were sold. Use the High-Low method to calculate 75 the total fixed administrative experte 76 77 B. Variable administrative experses (measured on a per lamp basis) are expected to B4 increase by 6.50%. The total administrative expenses for 2010 were 85 $40,005 00, when 21,500 units were sold. Use the High-Low method to calculate the variable administrative experse per lamp 88 On the following schedule develop the following figures: 1- 2012 Projected Variable Mandacaring Unit Cost dla lamp. 97 2. 20x2 Projected Variable Unit Cost per lamp 98 99 3. 202 Projected Fixed Costs 63 64 65 66 73 86 87 96 105 00 B A D E COM Variable Manufacturing Unit Cost 20x1 Cost 20x2 Cost Rounded to 7 Decimal Places 9.2 1.25 6 2.25 0.225 Projected Percent Increase 4.50% 4.50% 4.50% 3.50% 5.50% $9.6140000 $1.3062500 $6.2700000 $2.3287500 $0.2373750 (4.01) (4.02) (4.03) (4.04) [4.05) Figurines 2 Electrical Sets Lamp Shade 5 Labor 6 Vanable Overhead 7 3 Projected Variable Manufacturing Cost Per Unit 0 1 -2 3 Total Variable Cost Per Unit 18.925 $19.7563750 {4.06) 20x1 Cost Projected Percent Increase 6.50% 20x2 Cost Rounded to 7 Decimal Places 3.15 3.3547500 (4.07) (4.08) (409) 6.50% 24 26 Variable Seling 27 Variable Administrative 20x1 28 Variable Administrative 20x2 29 30 Projected Variable Manufacturing Unit Cost 32 Projected Total Variable Cost Per Unit 33 34 35 36 Schedule of Fixed Costs 18.925 22.1195455 19.756375 23.1585660 [4.06) (4.10) 20x1 Cost Projected Increase + 20x2 Cost Rounded to 2 Decimal Places $ 295,000.00 (411) lamps ) $ 27,000.00 38 39 Fixed Overhead 40 (normal capacity of 41 Fred Selling 42 Fixed Administrative 20x1 44 Fixed Administrative 20x2 45 Projected Total Fixed Costa 46 47 48 50 51 52 (4.12) (4.13) (4.14) (4.15) 6000 2 Ready PART 2 Cost Volume Relationships - Profit Planning Big Alls about to begin work on the budget for 20x2 and they have requested that you prepare an analysis based on the following assumptions Note: Remember, that we cannot sell part of a lamp, therefore to find the number of units you have to round up to the next complete unit. Furthuromore, to find the required sales in dollars it may be easier to find the number of units and then multiply by the selling price per unit . For 20x2 the selling price per lamp will be $45.00. What is the projected contribution margin and contribution margin ratio for each lamp sold? Selling price exceed variable cugal CM per unit 45 minus Contribution Margin per unit (Round to seven places, 50) $21.6654000 {5.01) Contribution Margin Ratio (Round to seven places, is two of those places) {5.02) 2 For 20x2 the selling price per lamp will be $45.00. How many lamps must be sold to breakeven? Breakeven sales in units (Round up to zero places, Munts) (5.03) 3 For 20x2 the selling price per lamp wil be $45.00. The desired operating income in 2012 is $259,750 What would sales in units have to be in 2042 to reach the profit goal? Sales in units (Round up to zero places munits) 15.04) 2 A 3 D D 5 Ready Jx A B D E 6 H 1 4 For 20x2 the selling price per lamp will be $45.00. The company would like to have a operating income equal to 28.00% of sales. If that is to be achieved, what would be the sales in units in 20x2? Sales in units (Round up to zero places, 8 units) (6.01 If the company believed that it could only sell 25.000 lamps, what would the new selling price have to be so that the new contribution margin per unit is equal to last year's contribution margin per unit? New Selling Price (Round up to two places, $. 16.02) For 20x2 the selling price per lamp will be $45.00 and the effective tax rate is 41%. How many units must be sold to generated a operating Income of $210,000 after taxes? 4 5 6 7 85 2 3 4 5 38 30 1 12 3 446 48 49 50 51 52 56 57 58 59 60 64 65 66 7 67 63 72 73 74 75 76 77 78 79 80 81 82 83 Sales in units (Round up to 200 places, sunits) (8.03) I the company believes that the demand will be 27.500 units for the year. What selling price per lamp, founded to two places would generate a operating income of $825,5002 New seling price per lame (Round up to two places, sow..) (6.04) 2 5 Ready PART 5 Job Order Costing To keep records of the actual cost of a special orderjob, a Job Order Cost System has been developed. Overhead is applied at the rate of 50% of the direct labor cost. Job Order Costing Section On January 1, 20x2. Division S began Job 2407 for the Client, THE BIG CHILDREN STORE. The job called for 4,000 customized lamps. The following set of transactions occurred from January 5 until the job was completed: 5-Jan Purchased 4,050 figurines @ $9.75 per figurine 6-Jan Purchased 4,050 sets of electical components @ $1.45 per set 7-Jan Purchased 4,000 lamp shades @ $8.45 per set. 8-Jan 4,050 figurines were requisitioned. 9-Jan 4,025 sets of electrical components were requisitioned. 17-Jan Payroll of 580 Direct Labor Hours $9.75 per hour 28-Jan 3,990 lamp shades were requisitioned 30-Jan Payroll of 630 Direct Labor Hours $10.00 per hour. 30-Jan 3,990 lamps were completed and shipped. All materials requisitioned were used or scrapped, and are a cost of normal processing, Month End Overhead Information Actual Variable Manufacturing Overhead $ 1,331.00 Actual Fixed Manufacturing Overhead $ 39,873.45 Round to six places, Cost of Direct Material incurred in Manufacturing Job 2407 18.0 Cost of Direct Labor incurred in Manufacturing Job 2407 5 6 12 33 34 35 36 32 23 24 95 96 97 98 99 (18.02 Cost of Manufacturing Overhead Applied to Job 2407 (18.03 5 10 Ready C D E 15 76 22 To keep records of the actual cost of a special order job, a Job Order Cost System has been developed 23 Overhead is applied at the rate of 50% of the direct labor cost. 24 25 26 32 Job Order Costing Section 33 34 On January 1, 20x2. Division S began Job 2407 for the client, THE BIG CHILDREN STORE. The 35 ob caled for 4,000 customized lamps. The following set of transactions occurred from 36 January 5 until the job was completed: 42 43 5-Jan Purchased 4,050 figurines @ $9.75 per figurine 44 6-Jan Purchased 4,050 sets of electical components @ $1.45 per set 45 7-Jan Purchased 4,000 lamp shades @ $6.45 per set. 46 8-Jan 4,050 figurines were requisitioned 9-Jan 4,025 sets of electrical components were requisitioned 53 17-Jan Payroll of 580 Direct Labor Hours $9.75 per hour 28-Jan 3,990 lamp shades were requisitioned 55 30-Jan Payroll of 630 Direct Labor Hours $10.00 per hour 56 30 Jan 3,990 tamps were completed and shipped. Al materials requisitioned were used or scrapped, and are a cost of normal processing Month End Overhead Information Actual Variable Manufacturing Overhead $ 1,331,00 65 Actual Fixed Manufacturing Overhead $ 39,873.45 66 72 73 Round to six places, $ Cost of Direct Material incurred in Manufacturing Job 2407 (18.01) Cost of Direct Labor incurred in Manufacturing Job 2407 74 75 76 82 83 84 85 86 92 93 94 95 96 97 98 99 100 101 102 103 104 105 AR (18.02) Cost of Manufacturing Overhead Applied to Job 2407 (18.03) Cost of manufacturing one lamp (18.04) 6 7 10 Ready B D H E F G See The Light Projected Income Statement For the Period Ending December 31, 20x1 $ 1,125,000.00 72 250.00 $ 401,750,00 Sales 25,000 lamps @ $45.00 Cost of Goods Sold @ $28.33 Gross Profit Selling Expenses Fixed Varinbla (Commission per unit) $3.15 Administrative Expenses Total Selling and Administrative Experses. Net Profit $ 23,000.00 78.750.00 $ 101,750,00 40.250 00 142.000.00 $21250 260.00 I See The Light Projected Balance Sheet As of December 31, 20x1 $ 34.710.00 67,500.00 Current Assets Cash Accounts Receivable Inventory Raw Material Figurines Electrical Sets Work in Process Finished Goods Total Current Assets 500 $9.20 500 $1.25 0 3000 $28.9250 4.600.00 625.00 86.775.00 194 210.00 $ Fixed Assets Equipment Accumulated Depreciation Total Fixed Assets Total Assets $ 20,000.00 6,800.00 13.200,00 207 410.00 $ 54.000.00 54,000.00 Current Liabilities Accounts Payable Total Liabilities Stockholder's Equity Common Stock Retained wings Total Stockholder's Equity Total Latilises and Stockholder's Equity $ 12,000.00 141.410.00 15341000 207 41000 3 4 PART 1 5 Fixed and Variable Cost Determinations Unit Cost Calculations 6 8 The projected cost of a lamp is calculated based upon the projected increases or decreases to 9 current costs. The present costs to manufacture one lampe 10 11 Figurines $92000000 loerlamp 18 Electrical Sets 1.2500000 per lamp 19 Lamp Shade 6.0000000 per lamp 20 Direct Labor: 22500000 per lamp (4 lamps/hr.) Variable Overhead: 0.2250000 per lamp Fixed Overhead: 10.0000000 per lamp (based on normal capacity of 25,000 lamps) Cost per lamp $28 9250000 per lamp 40 43 regn=938 8Gm 32 Expected increases for 20x2 33 When calculating projected increases round to SEVEN decimal places, 90.0000000 41 1. Material Costs are expected to increase by 4.50%. 42 2 Labor Costs are expected to increase by 3.50% 44 51 3. Variable Overhead is expected to increase by 5.50% 52 53 4. Fixed Overhead is expected to increase to $295,000 54 5. Fixed selling expenses are expected to be $27,000 in 2012 62 6. Variable selling expenses (measured on a per lamp basis) are expected to increase by 6.50% 7. Fixed Administrative expenses are expected to increase by $6,000. The total administrative perses for 20x0 were $40,005.00, when 74 21.500 units were sold. Use the High-Low method to calculate 75 the total fixed administrative experte 76 77 B. Variable administrative experses (measured on a per lamp basis) are expected to B4 increase by 6.50%. The total administrative expenses for 2010 were 85 $40,005 00, when 21,500 units were sold. Use the High-Low method to calculate the variable administrative experse per lamp 88 On the following schedule develop the following figures: 1- 2012 Projected Variable Mandacaring Unit Cost dla lamp. 97 2. 20x2 Projected Variable Unit Cost per lamp 98 99 3. 202 Projected Fixed Costs 63 64 65 66 73 86 87 96 105 00 B A D E COM Variable Manufacturing Unit Cost 20x1 Cost 20x2 Cost Rounded to 7 Decimal Places 9.2 1.25 6 2.25 0.225 Projected Percent Increase 4.50% 4.50% 4.50% 3.50% 5.50% $9.6140000 $1.3062500 $6.2700000 $2.3287500 $0.2373750 (4.01) (4.02) (4.03) (4.04) [4.05) Figurines 2 Electrical Sets Lamp Shade 5 Labor 6 Vanable Overhead 7 3 Projected Variable Manufacturing Cost Per Unit 0 1 -2 3 Total Variable Cost Per Unit 18.925 $19.7563750 {4.06) 20x1 Cost Projected Percent Increase 6.50% 20x2 Cost Rounded to 7 Decimal Places 3.15 3.3547500 (4.07) (4.08) (409) 6.50% 24 26 Variable Seling 27 Variable Administrative 20x1 28 Variable Administrative 20x2 29 30 Projected Variable Manufacturing Unit Cost 32 Projected Total Variable Cost Per Unit 33 34 35 36 Schedule of Fixed Costs 18.925 22.1195455 19.756375 23.1585660 [4.06) (4.10) 20x1 Cost Projected Increase + 20x2 Cost Rounded to 2 Decimal Places $ 295,000.00 (411) lamps ) $ 27,000.00 38 39 Fixed Overhead 40 (normal capacity of 41 Fred Selling 42 Fixed Administrative 20x1 44 Fixed Administrative 20x2 45 Projected Total Fixed Costa 46 47 48 50 51 52 (4.12) (4.13) (4.14) (4.15) 6000 2 Ready PART 2 Cost Volume Relationships - Profit Planning Big Alls about to begin work on the budget for 20x2 and they have requested that you prepare an analysis based on the following assumptions Note: Remember, that we cannot sell part of a lamp, therefore to find the number of units you have to round up to the next complete unit. Furthuromore, to find the required sales in dollars it may be easier to find the number of units and then multiply by the selling price per unit . For 20x2 the selling price per lamp will be $45.00. What is the projected contribution margin and contribution margin ratio for each lamp sold? Selling price exceed variable cugal CM per unit 45 minus Contribution Margin per unit (Round to seven places, 50) $21.6654000 {5.01) Contribution Margin Ratio (Round to seven places, is two of those places) {5.02) 2 For 20x2 the selling price per lamp will be $45.00. How many lamps must be sold to breakeven? Breakeven sales in units (Round up to zero places, Munts) (5.03) 3 For 20x2 the selling price per lamp wil be $45.00. The desired operating income in 2012 is $259,750 What would sales in units have to be in 2042 to reach the profit goal? Sales in units (Round up to zero places munits) 15.04) 2 A 3 D D 5 Ready Jx A B D E 6 H 1 4 For 20x2 the selling price per lamp will be $45.00. The company would like to have a operating income equal to 28.00% of sales. If that is to be achieved, what would be the sales in units in 20x2? Sales in units (Round up to zero places, 8 units) (6.01 If the company believed that it could only sell 25.000 lamps, what would the new selling price have to be so that the new contribution margin per unit is equal to last year's contribution margin per unit? New Selling Price (Round up to two places, $. 16.02) For 20x2 the selling price per lamp will be $45.00 and the effective tax rate is 41%. How many units must be sold to generated a operating Income of $210,000 after taxes? 4 5 6 7 85 2 3 4 5 38 30 1 12 3 446 48 49 50 51 52 56 57 58 59 60 64 65 66 7 67 63 72 73 74 75 76 77 78 79 80 81 82 83 Sales in units (Round up to 200 places, sunits) (8.03) I the company believes that the demand will be 27.500 units for the year. What selling price per lamp, founded to two places would generate a operating income of $825,5002 New seling price per lame (Round up to two places, sow..) (6.04) 2 5 Ready PART 5 Job Order Costing To keep records of the actual cost of a special orderjob, a Job Order Cost System has been developed. Overhead is applied at the rate of 50% of the direct labor cost. Job Order Costing Section On January 1, 20x2. Division S began Job 2407 for the Client, THE BIG CHILDREN STORE. The job called for 4,000 customized lamps. The following set of transactions occurred from January 5 until the job was completed: 5-Jan Purchased 4,050 figurines @ $9.75 per figurine 6-Jan Purchased 4,050 sets of electical components @ $1.45 per set 7-Jan Purchased 4,000 lamp shades @ $8.45 per set. 8-Jan 4,050 figurines were requisitioned. 9-Jan 4,025 sets of electrical components were requisitioned. 17-Jan Payroll of 580 Direct Labor Hours $9.75 per hour 28-Jan 3,990 lamp shades were requisitioned 30-Jan Payroll of 630 Direct Labor Hours $10.00 per hour. 30-Jan 3,990 lamps were completed and shipped. All materials requisitioned were used or scrapped, and are a cost of normal processing, Month End Overhead Information Actual Variable Manufacturing Overhead $ 1,331.00 Actual Fixed Manufacturing Overhead $ 39,873.45 Round to six places, Cost of Direct Material incurred in Manufacturing Job 2407 18.0 Cost of Direct Labor incurred in Manufacturing Job 2407 5 6 12 33 34 35 36 32 23 24 95 96 97 98 99 (18.02 Cost of Manufacturing Overhead Applied to Job 2407 (18.03 5 10 Ready C D E 15 76 22 To keep records of the actual cost of a special order job, a Job Order Cost System has been developed 23 Overhead is applied at the rate of 50% of the direct labor cost. 24 25 26 32 Job Order Costing Section 33 34 On January 1, 20x2. Division S began Job 2407 for the client, THE BIG CHILDREN STORE. The 35 ob caled for 4,000 customized lamps. The following set of transactions occurred from 36 January 5 until the job was completed: 42 43 5-Jan Purchased 4,050 figurines @ $9.75 per figurine 44 6-Jan Purchased 4,050 sets of electical components @ $1.45 per set 45 7-Jan Purchased 4,000 lamp shades @ $6.45 per set. 46 8-Jan 4,050 figurines were requisitioned 9-Jan 4,025 sets of electrical components were requisitioned 53 17-Jan Payroll of 580 Direct Labor Hours $9.75 per hour 28-Jan 3,990 lamp shades were requisitioned 55 30-Jan Payroll of 630 Direct Labor Hours $10.00 per hour 56 30 Jan 3,990 tamps were completed and shipped. Al materials requisitioned were used or scrapped, and are a cost of normal processing Month End Overhead Information Actual Variable Manufacturing Overhead $ 1,331,00 65 Actual Fixed Manufacturing Overhead $ 39,873.45 66 72 73 Round to six places, $ Cost of Direct Material incurred in Manufacturing Job 2407 (18.01) Cost of Direct Labor incurred in Manufacturing Job 2407 74 75 76 82 83 84 85 86 92 93 94 95 96 97 98 99 100 101 102 103 104 105 AR (18.02) Cost of Manufacturing Overhead Applied to Job 2407 (18.03) Cost of manufacturing one lamp (18.04) 6 7 10 Ready