Answer:
1. C.
2. B.
3. D
4.B.
5. B.
Working (5) variable manufacturing cost = direct Material + direct manufacturing labour cost + variable manufacturing overhead
= 200 +70+65
=335
6. D.
7. B.
8. B.
9. D.
Working (9) : manufacturing cost per unit
=$2,437,500/32,500
=$75
Gross margin = (110-75) x 27,500 =$962,500
10. C.
Classifying a cost as either direct or indirect depends upon OA. whether the cost is expensed...
QUESTION 8 When costs can be traced to a particular cost object in an economically feasible way, the cost is a: direct cost indirect cost allocated cost budgeted cost
The cost allocation base O A. are costs related to a particular cost object that cannot be traced to that cost object in an economically feasible way B. is anything for which a measurement of costs is desired O C. is a systematic way to link an indirect cost or group of indirect costs to cost objects D. is a grouping of individual indirect cost items
AS APPROPRIATE, SHOW YOUR CALCULATIONS IF YOU WANT CREDIT. Bring this exam with you to every class until you turn it in. 14. Wee Bee Merchandising Company has the following data pertaining to the year ended December 31, 2016: Purchases $450,000 Beginning inventory 170,000 Ending Inventory 210,000 Freight-in 50,000 Freight-out 75,000 What is the cost of goods sold for the year? A. $385,000 B. $460,000 C. $485,000 D. $536,000 15. The three basic elements of manufacturing cost are direct materials,...
4.an increase in direct labor costs per unit a. Increases the fixed costs b. increases profits C. Increases variable costs d. Increases overhead costs 5.which of the following is true of the work in process control account? a. It tracks all direct material purchases b. Its balance is the sum of amounts from all "in process individual job costs records C. It is an expense account d. It tracks overhead costs in process from beginning through completion 6. The cost...
ubin Company’s relevant range of production is 18,000 to 22,000 units. When it produces and sells 20,000 units, its average costs per unit are as follows: Average Cost per UnitDirect materials$7.00Direct labor$4.00Variable manufacturing overhead$1.50Fixed manufacturing overhead$5.00Fixed selling expense$3.50Fixed administrative expense$2.50Sales commissions$1.00Variable administrative expense$0.50 Required:1. Assume the cost object is units of production:a. What is the total direct manufacturing cost incurred to make 20,000 units?b. What is the total indirect manufacturing cost incurred to make 20,000 units? 2. Assume the cost object is the...
QUESTIONS 2 points Which of the town would be considered an actual cost of a current period The 25 of materials in a manufactured chair that is ready to be shipped to the customer The 5:22 of direct material cost per unit assumed in the actual budget of a manufacturer of chairs The expected cost of materials for a chair as a result of engineering specifications The average of historical material cost data for a chair manufactured in several past...
Average Cost per Unit Direct materials $ 9.00 Direct labor $ 6.00 Variable manufacturing overhead $ 3.50 Fixed manufacturing overhead $ 7.00 Fixed selling expense $ 5.50 Fixed administrative expense $ 4.50 Sales commissions $ 3.00 Variable administrative expense $ 2.50 Required: 1. Assume the cost object is units of production: a. What is the total direct manufacturing cost incurred to make 32,500 units? b. What is the total indirect manufacturing cost incurred to make 32,500 units? 2. Assume the...
Exercise 1-7 Direct and Indirect Costs [LO1-1] Kubin Company’s
relevant range of production is 10,000 to 12,000 units. When it
produces and sells 11,000 units, its average costs per unit are as
follows:
Return to question 1 Exercise 1-7 Direct and Indirect Costs [LO1-1] Kubin Company's relevant range of production is 10,000 to 12,000 units. When it produces and sells 11,000 units, its average costs per 2.5 unit are as follows: points Average Cost per Unit $ 7.10 $ 4.10...
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Exercise 1-7 Direct and Indirect Costs [LO1-1) Kubin Company's relevant range of production is 18,000 to 22,000 units. When it produces and sells 20,000 units, its average costs per unit are as follows: Average Cost per Unit $7.00 $4.00 $1.50 Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense $5.00 $3.50 $2.50 $1.00 $0.50 Required: 1. Assume the cost object is units of production: a....
Exercise 1-7 Direct and Indirect Costs [LO1-1] Kubin Company's relevant range of production is 20,000 to 23,000 units. When it produces and sells 21,500 units, its average costs per unit are as follows: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed achinistrative expense Sales connessions Variable administrative expense Average Cost per | hot $ 8.00 $ 5.00 $ 2.50 $ 6.00 $ 4.50 $ 3.50 $ 2.00 $ 1.50 Required: 1. Assume the cost...