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Posted on Jul 12, 2024

Results for the year ended August 31, 2020 Revenue Discount Net Revenue Cosmetis End Total $12,000,000 $22.000.000 34,000,000 (1.200,000) (2,200,000 13,400,000) $10,800,000 $19,800,000 $30,600,000 Actual

Results for the year ended August 31, 2020 Revenue Discount Net Revenue Cosmetis End Total $12,000,000 $22.000.000 34,000,000 (1.200,000) (2,200,000 13,400,000) $10,800,000 $19,800,000 $30,600,000 Actual Results for Fiscal 2020 Net Revenue in $ Cosmetic Food $10,800,000 $19,800,000 Total $30,600,000 Direct Labour Cost in $ $2,000,000 $3,500,000 $5,500,000 #of Assembly Labour Hours 75,000 175,000 250,000 200.000 375,000 575,000 # of Fabrication Machine Hours # of Machines sold # of Machines Produced 40 100 140 70 120 190 Inspection Hours 420 2,160 2,580 Factory Area used 6sq metres 11.250 22,800 34,050 Materials purchased 7,899.802 15.377,198 Accounting and legal Utility Costs Head Office Ulty Costs Production Administrative salaries Inspection Costa Factory Insurance Sales commissions Interest on business credit line Management salaries Omar Anna, Ted $120.000 each Property Taxes Head Office Factory Building Amortization Office supplies, Courier and Postage Annual Business Licenses and Fees Warranty Program Costa Amortization Expense Fabrication Equipment Amortization Expense-Office Equipment Business Liability Insurance Teleshone Come Factory Telephone Cost Head Office Anna's House Rent Labour Assembly workers 2,000,000 3,500,000 Labour Production supervisors Total Expenses Net Income fosil Current Year End Balances Cosmetic Raw Materials $1,500,000 $3,000,000 Costs-Machines unfinished at year end 1,000,000 3,000,000 Costs Machines complete but not sold 3,000,000 6,000,000 Last Year End Balances Raw Materials 1,000,000 2,000,000 Costs Machines unfinished at year end 2,500,000 5.000.000 Costs Machines complete but not sold $500,000 $1,500,000 23.277,000 5,000 30,000 240,000 76,000 760,000 80,000 340,000 100,000 160,000 6,500 412,000 7.760 2,500 500,000 550,000 12,000 10,000 3,000 6,000 $15,000 5.500,000 600,000 32.992,760 1$2,392,760) Total $226,000 Details of Proposed Customer Order Direct Materials Direct Labour Expected of Fabrication Machine Hours $57,000 5,642 S4.500,000 Question: 9,000,000 4,000,000 Using the concepts of ABC costing, calculate the resulting total cost and gross margins for both the Cosmetic and Food lines. 3,000,000 7.500,000 $2,000,000 Results for the year ended August 31, 2020 Revenue Discount Net Revenue Cosmetis End Total $12,000,000 $22.000.000 34,000,000 (1.200,000) (2,200,000 13,400,000) $10,800,000 $19,800,000 $30,600,000 Actual Results for Fiscal 2020 Net Revenue in $ Cosmetic Food $10,800,000 $19,800,000 Total $30,600,000 Direct Labour Cost in $ $2,000,000 $3,500,000 $5,500,000 #of Assembly Labour Hours 75,000 175,000 250,000 200.000 375,000 575,000 # of Fabrication Machine Hours # of Machines sold # of Machines Produced 40 100 140 70 120 190 Inspection Hours 420 2,160 2,580 Factory Area used 6sq metres 11.250 22,800 34,050 Materials purchased 7,899.802 15.377,198 Accounting and legal Utility Costs Head Office Ulty Costs Production Administrative salaries Inspection Costa Factory Insurance Sales commissions Interest on business credit line Management salaries Omar Anna, Ted $120.000 each Property Taxes Head Office Factory Building Amortization Office supplies, Courier and Postage Annual Business Licenses and Fees Warranty Program Costa Amortization Expense Fabrication Equipment Amortization Expense-Office Equipment Business Liability Insurance Teleshone Come Factory Telephone Cost Head Office Anna's House Rent Labour Assembly workers 2,000,000 3,500,000 Labour Production supervisors Total Expenses Net Income fosil Current Year End Balances Cosmetic Raw Materials $1,500,000 $3,000,000 Costs-Machines unfinished at year end 1,000,000 3,000,000 Costs Machines complete but not sold 3,000,000 6,000,000 Last Year End Balances Raw Materials 1,000,000 2,000,000 Costs Machines unfinished at year end 2,500,000 5.000.000 Costs Machines complete but not sold $500,000 $1,500,000 23.277,000 5,000 30,000 240,000 76,000 760,000 80,000 340,000 100,000 160,000 6,500 412,000 7.760 2,500 500,000 550,000 12,000 10,000 3,000 6,000 $15,000 5.500,000 600,000 32.992,760 1$2,392,760) Total $226,000 Details of Proposed Customer Order Direct Materials Direct Labour Expected of Fabrication Machine Hours $57,000 5,642 S4.500,000 Question: 9,000,000 4,000,000 Using the concepts of ABC costing, calculate the resulting total cost and gross margins for both the Cosmetic and Food lines. 3,000,000 7.500,000 $2,000,000