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
maks197457 [2]
3 years ago
7

Scrumptious Snacks Inc. manufactures three types of snack foods: tortilla chips, potato chips, and pretzels. The company has bud

geted the following costs for the upcoming period:
Factory depreciation $33,120
Indirect labor 82,800
Factory electricity 8,280
Indirect materials 31,800
Selling expenses 22,000
Administrative expenses 29,000
Total costs $207,000

Factory overhead is allocated to the three products on the basis of processing hours. The products had the following production budget and processing hours per case:

Budgeted Volume (Cases) Processing Hours Per Case
Tortilla chips 3,000 0.25
Potato chips 6,000 0.10
Pretzels 3,500 0.30
Total 12,500

If required, round all per unit answers to the nearest cent.

Required:
a. Determine the single plantwide factory overhead rate.
b. Use the overhead rate in (a) to determine the amount Of total and per-case overhead allocated to each Of the three products under generally accepted accounting principles.
Business
1 answer:
beks73 [17]3 years ago
8 0

Answer:

Results are below.

Explanation:

<u>First, we need to calculate the number of processing hours:</u>

Processing hours= (0.25*3,000) + (0.1*6,000) + (0.3*3,500)

Processing hours= 750 + 600 + 1,050

Processing hours= 2,400

<u>Now, we can calculate the predetermined overhead rate:</u>

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Predetermined manufacturing overhead rate= 207,000 / 2,400

Predetermined manufacturing overhead rate=$86.25 per processing hour

<u>To allocate overhead, we need to use the following formula:</u>

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Tortilla chips= 86.25*75= 64,687.5

Potato chips= 600*86.25= 51,750

Pretzels= 86.25*1,050= 90,562.5

<u>Finally, the unitary cost:</u>

Tortilla chips= 64,687.5 / 3,000= $21.56

Potato chips= 51,750 / 6,000= $8.63

Pretzels= 90,562.5 / 3,500= $25.88

You might be interested in
Sondra thinks the new business contract she signed with her business partner is valid. Both parties are legally competent, the c
DanielleElmas [232]

Answer: Whether consent was voluntary

Explanation:

From the question, we are informed that Sondra thinks the new business contract she signed with her business partner is valid. We are further told that both parties are legally competent, the contract has a legal purpose, an offer was made and accepted, and a fee has been negotiated and documented.

The essential element of a valid contract has Sondra not yet considered is whether consent was voluntary. This is important as they je must not be forced to sign a contract.

7 0
3 years ago
A company paid $150,000, plus a 6% commission and $4,000 in closing costs for a property. The property included land appraised a
Oxana [17]

Answer:

Land $81,500; Land Improvements $32,600; Building $48,900

Explanation:

Calculation for What should be the allocation of this property's costs in the company's accounting records

First step is to calculate the total value

Total value= $87,500 + $35,000 + $52,500

Total value= $175,000

Second step

Land appraised = $87,500 ÷ $175,000

Land appraised= 0.50

Land improvement = $35,000 ÷ $175,000

Land improvement = 0.20

Building appraised = $52,500 ÷ $175,000

Building appraised = 0.30

Third step is to calculate the Total Amount

Total Amount= $150,000 + $150,000 × 0.06 + $4,000

Total Amount= $150,000 + $9,000 + $4,000

Total Amount= $163,000

Last step is to calculate the allocation of this property's costs in the company's accounting records

Land appraised = $163,000 × 50%

Land appraised = = $81,500

Land improvement = $163,000 × 20%

Land improvement= $32,600

Building appraised = $163,000 × 30%

Building appraised = $48,900

Therefore What should be the allocation of this property's costs in the company's accounting records is :

Land $81,500; Land Improvements $32,600; Building $48,900

4 0
3 years ago
Gerald took a break while two of his coworkers completed a task that all three of them volunteered for. This shows a lack of ___
Valentin [98]
This shows a lack of responsibility. This is because he has a job to do and he is a just taking a break and being lazy. I don’t know if this is right. But, I hope so. Hope this helped you!!
5 0
3 years ago
Prompt: Write an e-mail to a government or school official in which you propose an effective solution to a problem in your commu
Irina18 [472]

Answer: how to solve a important problem within your school or govorment,your audience is the school official,  and the problem is to complain about a problem

Explanation:

5 0
3 years ago
Read 2 more answers
Justin’s plan doesn’t cover his costs completely. What are his options for covering the rest of his costs? Select all that apply
spin [16.1K]

Available Options:

He could try to save more money.

He could get a student loan for the extra amount he

needs.

TO He could apply for a scholarship

He could ask his friends to loan him money.

He could ask his family to contribute.

Answer:

All of the above    

Explanation:

The best option is to be self reliant which means that Justin must apply for scholarships, save money now and during the program execution and if still there are any expenses due then he can ask his family to contribute to meet his exense and still if there are unpaid expenses then he can borrow from his friends if he thinks that he can repay the loan to his friends in the mutually agreed time. If Justin can not pay its amount borrowed then he must consider long term loan option to fund his studies.

The order of finance is given as under:

  1. Save Money
  2. Scholarship
  3. Ask his Family
  4. Loan from Friend
  5. Long term Loan
5 0
3 years ago
Read 2 more answers
Other questions:
  • After working for Stafford Automotive Group as an automotive technician for the last 4 years, Stan was promoted to the position
    11·1 answer
  • The starting salaries of individuals with an MBA degree are normally distributed with a mean of $40,000 and a standard deviation
    15·1 answer
  • Xavier opens up a lemonade stand for two hours. He spends $10 for ingredients and sells $60 worth of lemonade. In the same two h
    14·2 answers
  • What are assets ? A. Money and other valuables belonging to an individual or business B. Assessments on a partnership such as ta
    8·1 answer
  • Liquor stores in Tennessee lobby the state legislature, asking that wine shipments from out-of-state be made illegal. They argue
    11·1 answer
  • Beatrice invests $1,320 in an account that pays 4 percent simple interest. How much more could she have earned over a 5-year per
    10·1 answer
  • Claudia sells her highly successful hair salon to Carl. In the sales contract, Claudia agrees never to open a hair salon in the
    11·1 answer
  • Management accounting is accounting for effective management. Explain this statement.​
    11·1 answer
  • If income increases by 10% and, in response, the quantity of housing demanded increases by 7%, then the income elasticity of dem
    5·1 answer
  • In your own words, define Linear Regression. Describe an example of how
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!