Using the attached pdf document complete each of the four tabs in the Excel Document.

101-131, Management Accounting Comprehensive Problem 2 Narrative Felicia Davenport would like to thank you for your help with her September 201X information. She is asking for more help. Based on information you gathered for September, Felicia has decided to eliminate the custom-made furniture segment of her business and concentrate on the assembly line production. The assembly line will only build one type of bookshelf, 3 foot wide by 6 foot high. Felicia would like you to do the following to help her better understand her business and to help it become more profitable: 1. Determine the cost behavior of her business' costs and develop a cost equation for the mixed costs that she can use in the future. 2. Compute break-even in units and dollars and compute how much the business needs to sell in order to earn a profit of $12,500. 3. Compute the variances for direct labor and direct materials. 4. Prepare the journal entries required to record the variances calculated in step 3. In your course's Blackboard site, you are provided with an Excel file, XXX_101131_ComprehensiveProblem2, to complete each of the above tasks. After downloading the file, save it with your last name, first initial in place of the \"XXX\". Details about each task follow. Good luck and as you have questions please post them to the proper discussion board in Blackboard or email Felicia Davenport at feliciasfurniture131@gmail.com. 1. Determine the cost behavior of her business' costs and develop a cost equation for the mixed costs that she can use in the future. Use the second worksheet in the Excel file provided to do this task. You first need to total the November 201X costs by variable, fixed, and mixed. Then develop the cost equation for the mixed costs using the high-low method. In December 201X, total mixed costs were $6,100 which were incurred in producing 2,400 bookshelves. Be sure to use formulas, functions, or cell references when you can. 2. Compute break-even in units and dollars and compute how much the business needs to sell in order to earn a profit of $12,500. Use the third worksheet in the Excel file provided to do this task. The first step is to use the information you gathered in determining the cost behavior you did in step 1 and coming up with a cost equation for the total costs. Hint: add the variable portion of the mixed cost equation to the variable costs per unit to get the amount for the total cost equation. Do a similar thing with the fixed costs. The selling price of each bookshelf is $21.75. 3. Compute the variances for direct labor and direct materials. Use the fourth worksheet in the Excel file to do this task. Actual direct materials (specifically wood) data for December: Number of bookshelves produced See information provided for step 1 Direct materials purchased 7,300 boards @ $10.20/board Direct materials used 7,300 boards Standard # of boards per shelf 3 boards Standard cost per board $10.25/board Actual direct labor data for December: Number of bookshelves produced Direct labor hours incurred Direct labor cost incurred Standard labor hours per shelf Standard labor cost per hour See information provided for step 1 16,900 hours $240,825 7 hours $14.50/hour For each variance be sure to state whether it is favorable (F) or unfavorable (U). 4. Prepare the journal entries required to record the variances calculated in step 3. Use the fifth worksheet in the Excel file provided to do this task. When journalizing the variances, put them in the middle of the journal entry (not the first or last account journalized). 101-131, Management Accounting Comprehensive Problem 2 Grading Summary Name 1 Cost Behavior 2 Cost-Volume-Profit 3 Std Costs & Variances 4 Journal Entries Points Possible Attained 30 16 24 30 100 - Enter your name in the yellow cell above. Your instructor will complete the rest of this worksheet. 101-131, Management Accounting Comprehensive Problem 2 Cost Behavior Insert blue Insert yellow cells with formulas or cell references cells with text or numbers Compute the following costs incurred in November 201X for Felicia's Furniture: (Details of costs incurred are below ) check figure Total Variable Costs $ 29,500 $ 29,500 10,000 Total Fixed Costs Total Mixed Costs Variable Cost per Unit Points Possible Attained 2.0 2.0 2.0 2.0 Compute the cost equation for mixed costs using the high-low method below: 1. Calculate the variable portion of the mixed cost: High Low Difference Cost Units 6.0 6.0 2. Calculate fixed cost at high level of activity: = x+ 6.0 3. Write the cost equation: y = $ x+ 4.0 30.0 Costs incurred in November 201X while producing 2,000 bookshelves: 3,175 Stain and sealer used in making book shelves (a significant cost) 12,000 Wood 575 Plant supplies - sandpaper, nails, glue (an insignificant cost) 6,800 Plant worker wages 3,300 Accountants salary 1,260 Straight-line depreciation of plant equipment 875 Straight-line depreciation of office equipment 2,750 Sales commissions 4,650 Plant utilities 650 Office utilities 1,565 Office assistant wages 3,000 Plant supervisor's salary 4,200 Shrink-wrap and boxes for shipping completed product (a significant cost) - 101-131, Management Accounting Comprehensive Problem 2 Cost-Volume-Profit Insert Insert blue yellow cells with formulas or cell references cells with text or numbers Based on your answers for Cost Behavior, what is the total cost equation? y = x+ Points Possible Attained 4.0 Fill in the cells below and use them to calculate the break-even point Sales price per unit Variable cost per unit Total fixed costs 2.0 2.0 2.0 Break-even point in units Break-even point in dollars 2.0 2.0 How many units must be sold to produce a profit of $12,500? check figure 4,760 2.0 16.0 - 101-131, Management Accounting Comprehensive Problem 2 Standard Costs and Variances Insert Insert blue yellow cells with formulas or cell references cells with text or numbers Compute the direct materials and direct labor variances below: Direct materials (wood): AQ Points Possible Attained 6.0 AP AQ SP SQ SP 4.0 Price Var. (F or U) Qty Var. (F or U) 2.0 Total Var. (F or U) Direct labor: Actual direct labor 6.0 AH SR SH SR 4.0 Rate Var. (F or U) Total Var. Eff. Var. (F or U) (F or U) 2.0 24.0 - 101-131, Management Accounting Comprehensive Problem 2 Journal Insert blue cells with formulas or cell references Insert yellow cells with text or numbers Select account names from the drop boxes (1 point each account name, 2 points each dollar amount) Recording direct materials and direct labor variances Journal Points Chart of accounts for job Date Item PR Debit Credit Possible Attained costing entries: Dec. 31 3.0 Accounts Payable 3.0 DL Efficiency Variance 3.0 DL Rate Variance Record purchase of raw materials DM Price Variance DM Quantity Variance 31 3.0 Raw Materials Inventory 3.0 Wages Payable 3.0 Work in Process Inventory Record use of direct materials 31 3.0 3.0 3.0 3.0 30.0 Record use of direct labor Journal total check figure 394,700