1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
juin [17]
2 years ago
13

Channing Corporation makes two products (A1 and B2) that require direct materials, direct labor, and overhead. The following dat

a refer to operations expected for next month.
A1 B2 Total
Revenue $100,000 $ 300,000 $400,000
Direct material 30,000 60,000 90,000
Direct labor 40,000 95,000 135,000
Overhead:
Direct-material related 13,500
Direct-labor related 40,500
Required:
Channing uses a two-stage cost allocation system, It uses direct-material costs to allocate direct-materials related overhead and direct-labor costs to allocate direct-labor related overhead costs.
a. Compute the direct-material related overhead rate for next month.
b. Compute the direct-labor related overhead rate for next month.
c. What is the total overhead allocated to product A1 next month?
d. What is the total overhead allocated to product B2 next month?
a. predetermined rate ?? % of direct materials costs
b. predetermined rate ?? % of direct-labor cost
c. Total Overhead (A1) ??
d. Total Overhead (B2) ??
Business
1 answer:
Rudiy272 years ago
5 0

Answer:

a. 15% of direct material cost

b.  30% of direct labor cost

c. $16,500

d. $37,500

Explanation:

The computation is shown below:-

a. Predetermine overhead rate = Direct-material related ÷ Total of direct labor

= 13,500 ÷ 90,000

= 15% of direct material cost

b. Predetermine overhead rate = Direct-labor related ÷ Total of direct labor

= 40,500 ÷ 135,000

= 30% of direct labor cost

c. Total overhead (A1) = Direct material × Predetermine overhead rate of direct material + Direct labor × Predetermine overhead rate of direct labor

= 30,000 × 15% + 40,000 × 30%

= $16,500

d. Total overhead (B2) = Direct material × Predetermine overhead rate of direct material + Direct labor × Predetermine overhead rate of direct labor

= 60,000 × 15% + 95,000 × 30%

= $37,500

You might be interested in
: In 2021, Garret Market remained fully open while conducting inventory, but in 2022 Garrett closed during inventory. In 2023, G
andreev551 [17]

Answer:

The answer is:

  • 2022 most accurate inventory
  • 2021 least accurate inventory

Explanation:

Garret Market uses a periodic inventory system (updates are made on a periodic basis) and in order to carry out this process correctly, the inventory should remain closed. Only in 2022 was the inventory closed, so it should be the most accurate. In 2021 the store remained fully opened and inventory was modified daily, so it should be the least accurate.

8 0
2 years ago
Read 2 more answers
When an organization ties formal succession plans to career paths for employees, it __________. Group of answer choices improves
stealth61 [152]

Answer:

It improves employee retention and performance motivation.

Explanation:

There are few factors that keep employee motivated and loyal toward organization. The basic factors are career path and monetary benefits that keep the energy flow in the employee.

A formal succession plan is a human resource management strategy for identifying the potential successor, it reduces the confusion for the organization and employee in the method of hiring and promotion. These strategies also keep an employee motivated, improve performance and retention in the organization as they find growth and security in the organization.

3 0
3 years ago
Brighton, Inc., manufactures kitchen tiles. The company recently expanded, and the controller believes that it will need to borr
Igoryamba

Answer:

Brighton, Inc.

a) Schedules Computing Inventory Budgets by months

a1) for Production:

                                          April           May          June       Total

Beginning Inventory     120,000    100,000      120,000        120,000

Units Produced            500,000   500,000     500,000     1,500,000

Inventory available      620,000   600,000     620,000     1,620,000

Less Ending Inventory 100,000    120,000      120,000        120,000

Units sold                    520,000    480,000     500,000    1,500,000

a2) Raw Materials Purchases in pounds

                                                   April           May

Ending inventory                    50,000        50,000

Raw materials required        125,000       125,000

Raw materials available        175,000       175,000

Beginning Inventory              58,000        50,000

Purchases                            117,000        125,000

Purchases value $4 per pound $468,000    $500,000

b) Projected Income Statement for May:

Net Sales                                                          $1,970,000

Cost of goods sold:

Finished Beginning Inventory $480,000

Cost of production                   1,460,000

less closing inventory                480,000       $1,460,000

Gross profit                                                        $510,000

Selling expenses                    $200,000

Administrative expenses          155,000         $355,000

Net Income                                                      $155,000

Explanation:

a)    Sales =                             $2,000,000

less cash discounts (1%)            ($20,000)

less bad debts expense (0.5%) ($10,000)

Net Sales =                             $1,970,000

c) Sales Budget

                         April           May            June             July              Total

Sales units   600,000     500,000      600,000       600,000       2,300,000

Sales value$2,400,000 $2,000,000 $2,400,000 $2,400,000$9,200,000

d) Cost of Production:

                                                      May  

Cost of raw materials used   $500,000

Labor                                        390,000

Variable overhead                    180,000

Fixed overhead                       390,000

Total                                    $1,460,000

e) Budgets are financial tools to forecast an entity's projections for sales, production, expenses, and cash balances.  They help to anticipate developments ahead of time in order to plan for them and to prepare for unanticipated occurrences.

4 0
2 years ago
Trina wants to be a nurse practitioner or doctor for her future career. Which CTSO would be best for Trina to join?
natita [175]

Answer: HOSA

Explanation:I just took the test, and it means Health Occupations Student of America . Which prepares student for healthcare careers

3 0
2 years ago
David and his best friend are in a car accident with another vehicle and it is david's fault. david and his friend are both inju
likoan [24]
It depends on what cover he have even full cover or lie ability insurance
3 0
3 years ago
Other questions:
  • A merchandising company's sales budget indicates the following sales: January: $25,000; February: $30,000; March: $35,000. Sales
    12·1 answer
  • Allison engines corporation has established a target capital structure of 40 percent debt and 60 percent common equity. the firm
    7·1 answer
  • A ____________ organization is characterized by direct two-way lines of responsibility, authority, and communication running fro
    14·1 answer
  • In order for "limit pricing" to be effective, the firm practicing such a strategy must be able to charge a price that is:_______
    8·1 answer
  • Reuter Bank loaned Sabean Corporation $500,000 in
    13·1 answer
  • Casey wants to calculate the monthly payments for each loan option that he is considering. Switch to the Loan Options worksheet.
    8·1 answer
  • Bob, a salesperson at a Carpets Galore store, tells Dita, a customer, "Buy your carpet here, and I'll install it for half of wha
    10·1 answer
  • What is meeting the deductible?
    6·1 answer
  • Describe TWO ways in which the above law protects citizens against human<br>rights violations.<br>​
    14·1 answer
  • Compare and contrast the three categories of project resource.
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!