Please provide answers with clear explanations/calculations:

1/ Which of the following businesses would most likely use a job-order costing system?

• Manufacturer of cereal
• Manufacturer of private jets
• Manufacturer of pencils
• Snow cone vendor

2/ In a job order cost system, which account is debited when the factory rent is paid?

• Rent expense
• Finished Goods
• Manufacturing Overhead
• Work-in-Process
• Cost of Goods Sold

3/ Compared to a traditional costing approach, the primary advantage of an Activity-Based Costing system is that it:

• is easier for accounting staff to calculate.
• provides more accurate information regarding costs.
• is cheaper to install and operate.
• is socially responsible and good for the environment.

4/ Apple, Inc. develops an activity-based costing system for its many products (iPhones, iPads, Macs, etc.).

One cost pool entitled "Innovation Engineering" includes the salary of engineers who develop the product software.

• Advertising dollars committed per product
• Lines of computer code per product
• Units produced per product
• Machine hours used to manufacture each product
• Weight of each product

5/ McCormack Industries has the following estimated costs:

Factory utilities $35,000

Advertising $10,000

Factory rent $25,000

Factory supervisor salary $80,000

Sales commissions $45,000

Manufacturing overhead is allocated using machine hours, which the company has estimated will be 10,000 for the year.

In producing 50 computers, Job 32 used $6,000 of direct materials, $8,000 of direct labor, and 125 machine hours.

What is the cost of one computer fromJob 32?

6/ Dane Company's predetermined overhead rate is based on direct labor hours (DLHs). At the beginning of the current year, the company estimated that its manufacturing overhead would total $181,500 during the year. During the year, the company incurred $210,000 in actual manufacturing overhead costs. The Manufacturing Overhead account showed that overhead was overapplied by $1,200 during the year. If the company used 960 DLHs during the period, how many DLHs were estimated to be used at the beginning of the year?

7/ Lyons Company uses a predetermined overhead rate based on direct labor hours (DLHs) to apply manufacturing overhead to jobs. At the beginning of the year, the company estimated manufacturing overhead would be $240,000 and DLHs would be 20,000. The actual figures for the year were $230,000 incurred for manufacturing overhead and 25,000 DLHs used.

What is the amount of over- or underapplied manufacturing overhead for the year?

Enter as a positive number.

8/ Perabo Company uses a job order costing system.During the current month, the company's transactions included the following:

Direct materials used in production $60,000

Work-in-Process beginning balance $45,000

Work-in-Process ending balance $60,000

Direct labor cost incurred $85,000

Manufacturing overhead cost applied $120,000

9/ Carey Corp. produces two types of products, Bicycles and Scooters, and sells them at 30% above cost.

Information on the production of each job is below.

Job A - BicyclesJob B - Scooters

Direct material cost$100,000$50,000

Direct labor cost$15,000$35,000

Warehouse square footage used9,0001,000

Units produced200400

Total estimated overhead$100,000

If Carey Corp. used a traditional costing system allocating manufacturingoverhead based on direct labor cost, what is the sales priceof one bicycle?

What was the cost of goods manufactured?

10/ Harry Corp. produces two types of products, Bicycles and Scooters.

Information on the production of each job is below.

Job A - Bicycles Job B - Scooters

Direct material cost $100,000 $50,000

Direct labor cost $15,000 $35,000

Warehouse square footage used9,000 1,000

Units produced 200 400

Total estimated overhead$100,000

Total estimated overhead is made up of Materials Handling ($50,000), Factory Utilities ($20,000), and Supervision ($30,000).

The company has established an activity-based costing system with the followingcost pools/cost drivers:

Cost PoolCost Driver

Materials HandlingDirect materials cost

Factory UtilitiesWarehouse square footage used

SupervisionDirect labor cost

How muchless does an individual Scooter cost to produce under an activity-based costing system than what the company thought under the traditional method which allocated all overhead based on direct labor cost?