What would be the right answer to these ? #8, #11, #15, #18, #20. Thank you

\fDenver's Doll House Company (DDHC) incurred the following costs in 2013: Administrative Salaries $200,000 Advertising 300,000 Depreciation of Plant Equipment IOO,OOOK Depreciation of Salesmen Vehicles 50,000 Direct Materials 700,000 v 1,500,000 t/ Direct Labor 78,000 tJ. Indirect Materials 132,000 "'l Indirect Labor Sales Commissions 200,000 JOO.OOO 1'1 Utilities in Plant Utilities in Administrative office Total , ~ ~,,~. t r C;Of) DL+ tAO \\.-~ flat) of !O ~ 10 ( 11501,)) What was the ~tal manufacturing mrerhead for 2013? A. $332,000 B. $410,000 C. $460,000 D. $3,410,000 $2,610,000 D 2 Which of the following statements is true? ~ Total fixed costs increase as the level of activity increases (in the relevant range). )(. Per unit fixed cost decreases as the level of activity increases (within the relevant range) . . / C. It is impossible to deterroine whether variable and fixed costs will increase or decrease based on the level of activity (within the relevant range). )l & D. Per unit variable cost increases as the level of activity increases (within the relevant range). E. Total variable costs remain constant as level of activity increases (in the relevant range). x '>( ; ; "Jnsider the following five statements. (/'1 Prevention costs and appraisal costs are incurred III an effort to keep poor quality of conformance from occurring. X 2 Disposal of defective products is part of prevention costs, "1 3 External fuilure cost includes rework labor and overhead. 'A 4 QUality data gathering, analysis, and reporting are examples of prevention costs. v 5 An example of an internal failure cost is product recalls. )I. Which of the following statements is true? Choose one. A. Only statement 1, is correct. B. Statements 2, 3, and 4 are false. C. Statements 2, 3, and 5 are false. D Statements I and 3 are correct. None of the statements above is correct. tJ Page 2 of 10 ~"II"'''''~ ~job-order , Comp""y ;, e 4 h;gh~ ",.,,,,,tod ""'mpot~ ond 0'" to 'f""""'" 0"","0"'_ ToI""",,, ,= ,ontrol .... costing system and applies manufacturing overhead (MOH) cost to products on the basis of computer ~The below were used in preparing the predetermined OH rate at the beginning ofthe year: Fixed MOH cost Variable MOH per computer hour Computer hours $ c 1,275,000 ) 4.00 ~rm,~e 75,000 hrs $ During the year, a severe economic recession resulted in the cutting back production and the building of inventory in the company's warehouse. The company's cost records revealed the following actual cost and operating data for the year: 54,000 $1,450,000 Computer -hours Manufacturing overhead cost BaJances at year-end: Work-in-process Inventory Finished Goods Inventory Costs of Good Sold $160,000 $1,040,000 $2,800,000 ~r(tJ OM -.-" (1t~1 II~lftfOO r ' 1If ~ r (j-f'O ?;(b,~/~~) ------ - What is the predetermined overhead rate for the year ? A. 0' $17.00 per hour B. $19.33 per hour rC> $21.00 per hour y. $15.88 per hour E. $26.85 per hour '( ~ l( (JsJ ~!b/'QJO , 5 Assumethat Tallahassee (above) allocates any under-arapplied or over-applied overhead to work-in-process,finished ~ and cost of goods sold on the basis of the amount of overhead applied during the year tfiat remams meacr account at theend of the year. These amounts are: Work in Frocess $ 45,360 Finished Goods 294,840 $ Cost of Goods Sold 793,800 $ How much is the adjusted cost of goods sold for the year? ~ $2,578,800 $3,021,200 C. $2,882,160 D. $2,812,640 E. $3,116,000 vt [L / ~ ~ ~)-n \\Ail i t'~ ') 6~~. -l l(l 0 ",. ~'-S).- ~On-ROUge ~t~th to month according to the number of machine-hours worked in its production facility. These costs (in Euros) for Co. is an French manufacturing company whose total factory overhead costs fluctuate somewhat from the three months in summer are given belo\\X:Unfortunately, the costs are incomplete. June . Machine-hours . Level of Activity July 46,50b Totiu factory overhead costs 214,700 62,000 236,400 August 63,500 )..~~1~\\I) The factory overhead costs above consist of indirect materials, rent, and maintenance. The company has analyzed these costs at t~e 46,500 machine-hours level of activity as follows: Indirectmaterials(variable) Rent (fixed) Maintenance (mixed) Total factory overhead costs \\ \\ Q::3 51,150 123,000 40,550 - ') 1 ~ 214,700 (J\\1 What total maintenance costs would you expect the company to incur at an operating level for August? Use the High Low Method. ~ C. D. E. 41,531.05 45,650.00 168,650.00 238,500.00 242,119.35 ~ ) fa-,ro )l \\f 10\\} c{ bSISO L. I f \\5{f X ( . CC ) -- C. 't'o?; \\~1 .06U ! l( 1b tJ\\) ~l ~J -+ ( 6; s i)tl )~,~~ Page 9 of 10 >t' I . c.( ) 19 The Raleigh Company is located in North Carolina and uses predetennined overhead rates to apply manufacturing overhead to jobs. The predetennined overhead rate is based on ~hours in Dept;, A and direct labor costs in Dept. B. At the bwnning ofthe year, the company made the following estimates: .. --- _ _----'D=-e"'p:....;t.""A..:.. $ 65,000 $ 87,000 8,000 3,000 Direct labor cost Manufacturing Overhead Direct labor hours Machine hours $ $ comp~~ Dept. B 40,000 50,000 10,000 12,000 r ~~~d cost of this job is: Raleigh recently received an order for ajob from a Vennont. The _ _ _D_e.....p;....t._A_ Dept. B Direct materials $ 10,000 $ 700 Direct labor cost $ 7,000 $ 3,500 Direct labor hours 500 600 435 Machine hours 100 What is the estimatepor this job? A. $ 7.275.0 $ 28,475.00 c. $ 10,500.00 D. $ 10,700.00 E. None of the above ri ~ I II - ./( . L . . . - . 20 H olulu Novelties, Inc. makes two products, Hawaiian Fantasy and Tahitian Jpy. Their revenue, cost,. and sales data or the two products for 2013 as as follows: . . Hawaiian Fantasy Tahitian Joy $15 $100 $9 $20 20,000 5,000 Selling price per unit Variable expenses per unit Number of units sold annually $475,800 Fixed expenses total: The company has developed a new product to be called Samoan Delight. Assume that the company could sell 10,000 units at $48 each. The variable expenses would be $36 each. The company's fixed expenses would not change. What is the company's new margin of safety in dollars if the new product is introduced? Assume tht the sales mix remains the same. A. B. @ E. $640,000 $120,000 $951,600 $328,401 $731,999 ~~ - .;' Page 10 of 10