Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Your company has direct materials used of $36,000, direct labor of $94,000, sales salaries of $45,000, indirect labor of $29,000, production managers salary of $58,000,

  1. Your company has direct materials used of $36,000, direct labor of $94,000, sales salaries of $45,000, indirect labor of $29,000, production managers salary of $58,000, marketing costs of $77,000, and factory lease of $100,000. What is your companys total manufacturing cost?
    1. $130,000
    2. $187,000
    3. $317,000
    4. $439,000
  2. If your company has estimated overhead of $525,000 and estimated direct labor hours of 140,000 for this year, but only 25,000 hours of direct labor have actually been incurred so far, what is the amount of overhead that should be applied?
    1. $6,667
    2. $93,750
    3. $525,000
    4. $2,940,000
  3. Your company had beginning direct materials inventory of $940,000, beginning work in process inventory of $360,000, and beginning finished goods inventory of $470,000 on the first day of the period. On the last day of the period, your company had ending direct materials inventory of $820,000, ending work in process inventory of $610,000, and ending finished goods inventory of $280,000. During this period, there was $2,000,000 of direct material used, $800,000 of direct labor incurred, $750,000 of applied manufacturing overhead, and $3,300,000 of cost of goods manufactured. What is the cost of goods sold for this period?
    1. $3,490,000
    2. $3,550,000
    3. $3,740,000
    4. $4,050,000
  4. Your company makes Product 1 and Product 2 using Activity A and Activity B. The cost driver for Activity A is direct labor hours and the cost driver for Activity B is number of setups. Product 1 requires 2,000 direct labor hours and 400 setups, but Product 2 requires 1,500 direct labor hours and 300 setups. If Activity A had an activity rate of $20 per direct labor hour and Activity B had an activity rate of $30 per setup, then what is the total indirect cost assigned to Product 1?
    1. $39,000
    2. $51,000
    3. $52,000
    4. $68,000
  5. If your company has Net Operating Income = $450,000, Total Sales Revenue = $980,000, and Contribution Margin Ratio = 0.66, what is the Total Fixed Cost?
    1. $153,000
    2. $196,800
    3. $297,000
    4. $646,800
  6. If your company has Total Fixed Cost = $1,000,000, Total Sales Revenue = $5,500,000, Total Variable Cost = $3,500,000, and Number of Units = 125,000, what is the number of units you need to sell to break even?
    1. 22,727
    2. 35,714
    3. 62,500
    4. 125,000
  7. If your company has Total Sales Revenue = $5,000,000, Total Variable Cost = $1,250,000, and Net Operating Income = $500,500, what is the sales revenue you need to generate to reach your target profit $2,000,000?
    1. $2,000,000
    2. $2,666,667
    3. $4,332,666
    4. $6,999,333

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Glencoe Accounting

Authors: McGraw-Hill

1st Edition

0021400881, 9780021400881

More Books

Students also viewed these Accounting questions