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3 years ago

The Cutting Department of Sheridan Company has the following production and cost data for July.

Business

1 answer:

alina1380 [7]3 years ago

5 0

Answer:

1. Materials Conversion Costs

Total equivalent units of production 17,200 15,800

2. Cost per Equivalent Unit $ 4.05 $ 2.6

Explanation:

Cutting Department

Weighted-Average Method

1. Equivalent Units

Particulars Units % of Completion Equivalent Units

Materials Conversion Materials Conversion

Transferred Out 13,700 100 100 13,700 13,700

Ending Inventory 3500 100 60 3500 2100

Total Equivalent Units 17,200 15,800

The Ending Inventory units are 3500 which are not yet complete.

Materials Conversion Costs

Total equivalent units of production 17,200 15,800

2. Cost Per Equivalent Units

Materials Conversion

Cost Added 69,660 18,480 + 22,600

Total Costs 69,660 41,080

Equivalent Units 17,200 15,800

Cost per Equivalent Unit 69,660 / 17,200 41,080/ 15,800

$ 4.05 $ 2.6

Cost of Ending Work In Process $ 19635

Materials = 3500 * $ 4.05= $ 14175

Conversion = 2100 * $ 2.6= $ 5460

We multiply the equivalent number of units with the cost per unit to find the cost.

Cost Of Units Transferred Out = $ 91,105

Materials = 13,700 * $ 4.05= $ 55,485

Conversion = 13,700 * $ 2.6 = $ 35620

B. A Cost Reconciliation Report

Materials Conversion

Ending WIP $ 14175 $ 5460

Transferred Out $ 55,485 $ 35620

Total $ 69660 41080

These calculated costs reconcile with the costs given in the above data.

Materials Conversion

Cost Added 69,660 18,480 + 22,600

Total Costs 69,660 41,080

These costs reconcile with the given costs.

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In the U.S., between 1990 and 2007, capital stock and the level of technology increased dramatically. During the same period, em

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Explanation:

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3 years ago

Kava Inc. manufactures industrial components. One of its products, which is used in the construction of industrial air condition

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Answer:

D. $38

Explanation:

The minimum price at which the company should not go below is the price that covers both manufacturing and non manufacturing cost , to meet the special and one time order only.

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Unit cost of the special order

Direct materials

$29

Direct labor

Variable manufacturing overhead

Total cost

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Therefore, the minimum price per unit on the special order below which the company shouldn't go is $38.

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3 years ago

The Lady Eagles won 70% of their 30 basketball games this season How many games did they win?

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They won 21 out of their 30 basketball games.

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3 years ago

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The total value of the goods exported by Maulini, a South American country, in the last fiscal year was lower in comparison to t

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Answer: Trade deficit

Explanation: In simple words, trade deficit is the excess of a country's imports over its exports. The excess of imports means the country has done expenditure more than it has made revenue. This is seen as a negative sign for an economy. The trade deficit is usually calculated for one financial year.

Hence, from the above we can conclude that the answer to the given problem is trade deficit.

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4 years ago

The Ferre Publishing Company has three service departments and two operating departments. Selected data from a recent period on

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Answer:

The Ferre Publishing company

Service Costs Assigned to each Operating Department:

Service Departments Operating Departments

Admin. Janitorial Mainten. Binding Printing Total

Costs $168,000 $126,000 $57,600 $330,000 $516,000 $1,197,600

Admin (168,000) 100,800 67,200 0

Janitorial (126,000) 36,000 90,000 0

Maintenance (57,600) 19,200 38,400 0

Total cost $486,000 $711,600 $1,197,600

Explanation:

a) Data and Calculations:

Service Departments Operating Departments

Administration Janitorial Maintenance Binding Printing Total

Costs $168,000 $126,000 $57,600 $330,000 $516,000 $1,197,600

Number of

employees 60 35 140 315 210 760

Square feet of

space occupied 15,000 10,000 20,000 40,000 100,000 185,000

Hours of

press time 30,000 60,000 90,000

Allocation bases:

Administration cost = Number of employees 525

Janitorial cost = Square feet 140,000

Maintenance cost = Hours of press time 90,000

Allocation Rates and to Operating Departments:

Administration $168,000/525 = $320 per employee

Binding = 315 * $320 = $100,800

Printing = 210 * $320 = $67,200

Janitorial costs = $126,000/140,000 = $0.90 per square feet

Binding = 40,000 * $0.90 = $36,000

Printing = 100,000 * $0.90 = $90,000

Maintenance costs = $57,600/90,000 = $0.64 per press hour

Binding = 30,000 * $0.64 = $19,200

Printing = 60,000 * $0.64 = $38,400

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3 years ago