Requirements1. Compute the standard cost of each of the following inputs per pot: directmaterials, direct labor, variable manufacturing overhead, and fixed manufacturingoverhead.2. Determine the standard cost of one flower pot.X Data tableDirect materials (resin)..Direct labor...Standard variable manufacturing overhead ratePredetermined fixed manufacturing overhead rate...9.6 pounds per pot at a cost of $4.55 per pound1.0 hour at a cost of $15.80 per hour$3.40 per direct labor hour$6.00 per direct labor hourGrow Right allocates variable and fixed manufacturing overhead to production based on standard directlabor hours.IX

A typical manufacturing process's anticipated cost is referred to as the "standard cost," and it is…

Data table Direct materials (resin). Direct labor.. Standard variable manufacturing overhead rate..... $3.40 per direct labor hour Predetermined fixed manufacturing overhead rate... $6.00 per direct labor hour 9.6 pounds per pot at a cost of $4.55 per pound 1.0 hour at a cost of $15.80 per hour Grow Right allocates variable and fixed manufacturing overhead to production based on standard direct labor hours.

Data table Direct materials (resin). Direct labor.. Standard variable manufacturing overhead rate..... $3.40 per direct labor hour Predetermined fixed manufacturing overhead rate... $6.00 per direct labor hour 9.6 pounds per pot at a cost of $4.55 per pound 1.0 hour at a cost of $15.80 per hour Grow Right allocates variable and fixed manufacturing overhead to production based on standard direct labor hours.

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter7: The Master Budget And Flexible Budgeting

Section: Chapter Questions

Problem 12P: Overhead application rate Roll Tide Manufacturing Inc. uses a job order cost system and standard...

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Overhead costs are assigned to each product based on __________________. A. the proportion of that products use of the cost driver B. a predetermined overhead rate for a single cost driver C. price of the product D. machine hours per product
Overhead application rate Roll Tide Manufacturing Inc. uses a job order cost system and standard costs. It manufactures one product, whose standard cost follows: The standards are based on normal capacity of 2,700 direct labor hours. Actual activity for March follows: Required: 1. Compute the variable and fixed factory overhead rates per unit. 2. Compute the variable and fixed overhead rates per direct labor hour. 3. Determine the total fixed factory overhead based on normal capacity.
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Way Cool produces two different models of air conditioners. The company produces the mechanical systems in their components department. The mechanical systems are combined with the housing assembly in its finishing department. The activities, costs, and drivers associated with these two manufacturing processes and the production support process follow. (Loss amounts should be indicated with a minus sign. Round your intermediate calculations and round "Cost per unit and OH rate" answers to 2 decimal places.) Process Activity Components Changeover Machining Overhead Cost $ 500,000 279,000 225,000 $1,004,000 Driver Quantity Number of batches Machine hours Number of setups 800 6,000 Setups 120 Finishing Welding Inspecting $ 180,300 210,000 75,000 $ 465,300 135,000 32,000 65,000 $ 232,000 Welding hours Number of inspections J,000 700 Rework Rework orders 300 Support Purchasing Providing apace Providing utilities Purchase orders Number of units 450 5,000 5,000 Number of units Additional…
Puvd, Inc manulactures a single product in which varlable manufacturing overthead is assigned on the basis of standard direct labor-hours. The company uses a standard cost system and has established the following standards for one unit of product Standard Cost Standard Price Direct materials Direct labor Variable manufacturing overhead Standard Quantity 1.5 pounds 0.5 hours or Rate $ 6.75 per pound $21.00 per hour $ 5.00 per hour $ 10.12 $ 10.50 $ 2.50 0.5 hours During March, the following activity was recorded by the company: • The company produced 6,000 units during the month. A total of 12.500 pounds of material were purchased at a cost of $35.000. • There was no beginning inventory of materials on hand to start the month; at the end of the month, 2.500 pounds of material remainedhe warehouse • During March, 3.200 direct labor-hours were worked at a rate of $21.50 per hour. • Varlable manufacturing overhead costs during March totaled $8,200. The direct materials purchases variance…
-S average costs per unit are as follows: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense Average Cost per Unit $7.10 $4.10 $ 1.60 $ 5.10 $ 3.60 $ 2.60 1. Total amount of product cost 2. Total amount of period cost incurred 3. Total amount of product cost 4. Total amount of period cost $ 1.10 $ 0.60 Exercise 1-8 (Algo) Product Costs and Period Costs; Variable and Fixed Costs [LO1-3, LO1-- Required: 1. For financial accounting purposes, what is the total amount of product costs incurred to make 11,000 units? 2. For financial accounting purposes, what is the total amount of period costs incurred to sell 11,000 units? 3. For financial accounting purposes, what is the total amount of product costs incurred to make 12,000 units? 4. For financial accounting purposes, what is the total amount of period costs incurred to sell 10,000 units? (For all…
Ramsey Company produces speakers (Model A and Model B). Both products pass through two producing departments. Model A's production is much more labor-intensive than that of Model B. Model B is also the more popular of the two speakers. The following data has been gathered for the two products: Units produced per year Prime costs Direct labor hours Machine hours Production runs Inspection hours Maintenance hours Overhead costs: Setup costs Inspection costs Machining Maintenance Total Model A 10,000 $153,000 144,000 17,000 30 900 9,000 $216,000 220,000 172,000 300,000 $908,000 Product Data Model B 100,000 $1,530,000 310,000 204,000 60 1,300 91,000
Stargate Corporation has established the following standards for the costs of one unit of its product. The standard production overhead costs per unit are based on direct-labor hours. Calculation for standard per unit cost is as follows: Std Cost Std Qty Std Price/Rate Direct Material $ 14.40 6.00 kg $ 2.40 per kg Direct Labor $ 3.00 0.40 hour $ 7.50 per hour Variable Overhead $ 4.00 0.40 hour $ 10.0 per hour Fixed Overhead $ 4.80 0.40 hour $ 12.0 per hour Total $ 26.20 *based on practical capacity of 2,500 direct-labor hour per month During December 2020, Henry purchased 30,000 kg of direct material at a total cost of $75,000. The total wages for December were $20,000, 75% of which were for direct labor. Henry manufactured 4,500 units of product during December 2020, using 28,000kg of the direct material purchased in December and 2,100 direct-labor hours. Actual variable and fixed overhead cost were $23,100…
Stargate Corporation has established the following standards for the costs of one unit of its product. The standard production overhead costs per unit are based on direct-labor hours. Calculation for standard per unit cost is as follows: Std Cost Std Qty Std Price/Rate Direct Material $ 14.40 6.00 kg $ 2.40 per kg Direct Labor $ 3.00 0.40 hour $ 7.50 per hour Variable Overhead $ 4.00 0.40 hour $ 10.0 per hour Fixed Overhead $ 4.80 0.40 hour $ 12.0 per hour Total $ 26.20 *based on practical capacity of 2,500 direct-labor hour per month During December 2020, Henry purchased 30,000 kg of direct material at a total cost of $75,000. The total wages for December were $20,000, 75% of which were for direct labor. Henry manufactured 4,500 units of product during December 2020, using 28,000kg of the direct material purchased in December and 2,100 direct-labor hours. Actual variable and fixed overhead cost were $23,100…
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Check out the image for the questionDenton Company manufactures and sells a single product. Cost data for the product are givenbelow: 10Variable costs per unit:Direct materials . . . . . . . . . . . . . . . . . . . . . . . . $ 7Direct labor . . . . . . . . . . . . . . . . . . . . . . . . . . 10Variable manufacturing overhead . . . . . . . . . . 5Variable selling and administrative . . . . . . . . . 3Total variable cost per unit . . . . . . . . . . . . . . . $25Fixed costs per month:Fixed manufacturing overhead . . . . . . . . . . . . $315,000Fixed selling and administrative . . . . . . . . . . . 245,000Total fixed cost per month . . . . . . . . . . . . . . . $560,000The product sells for $60 per unit. Production and sales data for July and August, the first twomonths of operations, follow: Units Produced Units SoldJuly . . . . . . . . . . . . . 17,500 15,000August . . . . . . . . . . . .17,500 20,000 The company’s Accounting Department has prepared absorption costing income statements…
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