A company has established 6 pounds of Material J at $3 per pound as the standard for the material in its Product Z The company has just produced 12007,400 pounds of MaterialI J that cost $21,08O.The direct materlals price varlance is:Multiple Cholce$1,120 unfavorable.$600 unfavorable.$1,120 favorable.$600 favorable.$520 favorable. aterlal J at $3 per pound as the standard for the materlal In its Product Z. The company has just produced 1,200 unlts of this product, uusingD.The direct materlals price variance Is:

Solution: Direct materials price variance is the variance in standard cost of materials and actual…

A company has established 6 pounds of Materlal J at $3 per pound as the standard for the material in Its Product Z The company has just produ 7.400 pounds of Materlal J that cost $21,080.The direct materlals price varlance is: Multiple Cholce

A company has established 6 pounds of Materlal J at $3 per pound as the standard for the material in Its Product Z The company has just produ 7.400 pounds of Materlal J that cost $21,080.The direct materlals price varlance is: Multiple Cholce

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Marigold Corp. supplies its customers with high-quality canvas tents. These canvas tents sell for $170 each, with the following DM and DL usage and price expectations. Direct materials 9 square yards per unit @ $5/square yard Direct labor 1.4 DL hours per unit @ $18/DL hour Variable-MOH Fixed-MOH 1.4 DL hours per unit 1.4 DL hours per unit @ $2.80/DL hour @ $4/DL hour Throughout the year, Marigold used 4,795 DL hours in the process of making 3,500 tents. The company had originally planned to produce and sell 3,250 tents with budgeted fixed-MOH cost of $18,200. Its actual fixed-MOH costs amounted to $17,406 for the year. (a) Determine Marigold's fixed-MOH price and volume variances. Also identify whether the company's fixed-MOH costs were under-or overapplied, and by how much. Fixed-MOH price variance $ Fixed-MOH volume variance Fixed-MOH +A $ $
Grendizer Co. has received an enquiry from a customer for the supply of 500 units of a new product, product B22. Negotiations on the final price to charge the customer are in progress and the sales manager has asked you to supply relevant cost information. The following information is available: 1. Each unit of product B22 requires the following raw materials: a. Raw material type i. X:4kg ii. Y:6kg The company has 5,000 kg of material X currently in stock. This was purchased last year at a cost of $7 per kg. If not used to make product B22, this stock of X could either be sold for $7.50 per kg or converted at a cost of $1.50 per kg, so that it could be used as a substitute for another raw material, material Z, which the company requires for other production. The current purchase price per kilogram for materials is $9.50 for material Z and $8.25 per kg for material X. There are 10,000 kilograms of raw material Y in inventory, valued on a FIFO basis at a total cost of $142,750. Of…
4. If the price of the material is RO 15 per unit and the annual consumption is 4000 units, the interest and store keeping charges are 20% of the value and the cost of placing of an order and receiving the goods is RO 60, how much material should be ordered at one time?
Buggs-Off Corporation produces and sells a line of mosquito repellants that are sold usually all year round. The product sells at $100 per box. The following cost data has been prepared for its estimated upper and lower limits of activity for the year ended December 31, 2020. Lowe Limit Upper Limited Production (# of boxes) 4,000 6,000 Production Costs: Direct Materials …………………… $60,000 $90,000 Direct Labour ………………………. 80,000 120,000 Overhead: Indirect Materials…………... 25,000 37,500 Indirect Labour ……………. 40,000 50,000 Depreciation ………………. 20,000 20,000 Selling & Administrative Expenses: Sales Salaries…
Baird company makes a product that sells for $32 per unit. The company pays $14 per unit for the variable costs of the product and incurs annual fixed costs of $147600. Baird expects to sell 21300 units of product. Required Determine Baird margin of safety expressed as a percentage: Margin of safety%
Keller Company sells product ZR101 for $25 per unit. The cost of one unit of ZR101 is $18. The estimated cost to complete a unit is $4, and the estimated cost to sell is $6. At what amount per unit should product ZR101 be reported, applying lower-of-cost-or-net realizable value?
Suppose that the total cost to produce 200 units of a consumer item is C(200) = $3,315 and that the marginal cost at this production level is C'(200) = 14 dollars per unit made. Use this information to estimate the total cost C(205). Enter the exact integer value of your cost estimate such as 9823 or 12376 for example.
Fruity Pebbles Apparel sells fruit themed shirts at $58.00 per shirt. It incurs monthly fixed costs of $6000. The contribution margin ratio is calculated to be 10%. What is the variable cost per shirt? (Round any intermediate calculations and your final answer to two decimal places.) O$52.20 per shirt O $63.80 per shirt O $58.00 per shirt O $5.80 pcr shirt Next •Previous
Royal Lawncare Company produces and sells two packaged products - Weedban and Greengrow. Revenue and cost information relating to the products follow: \ table[[, Product], [, Weedban,Greengrow], [Selling price per unit,$8.00, $39.00
2. vandolf, inc. produces and sells two products: a ceiling fan and a table fan. vandolf plans to sell 30,000 ceiling fans and 70,000 table fan in the coming year. product price and cost information includes: ceiling fan table fan price p 60 p 15 unit variable cost 12 7 direct fixed cost p 23,600 p 45,000 common fixed selling and administrative expenses total p 85,000. required: a. what is the sales mix estimated for next year (calculated to the lowest whole number for each product)? b. using the sales mix from the first requirement, form a package of ceiling fans and table fans. how many ceiling fans and table fans are sold at break-even? c. prepare a contribution-margin based income statement for vandolf,inc., based on the unit sales calculated in requirement in b. d. what if vandolf, inc., wanted to earn operating income equal to p 14,400? calculate the number of ceiling fans and table fans that must be sold to earn this level of operating income. ( hint: remember to form a package…
Chip Company produces three products, Kin, Ike, and Bix. Each product uses the same direct material. Kin uses 3.7 pounds of the material, Ike uses 2.6 pounds of the material, and Bix uses 5.5 pounds of the material. Selling price per unit and variable costs per unit of each product follow. Selling price per unit Variable costs per unit Ike Kin $ 156.24 $ 115.92 100.00 92.00 Contribution margin per pound (a) Compute contribution margin per pound of material for each product. (b) If demand is limited, list the three products in the order in which management should produce and meet demand. Bix $ 207.60 146.00 Product Contribution Margin Order in which management should produce and meet demand: Kin Ike Bix
Tel Systems manufactures 2 products TLA and BIT. TLA selling price is $20/unit and variable costs are $13/unit. BIT selling price is $22/unit and variable costs are $10/unit. TLA requires 2 machine hours and BIT 4 machine hours. Demand for TLA is 2,000 units and for BIT is 1,600 units. Tel Systems works 5,000 hours. What is the optimal sales mix? O a. 2,000 TLA and 250 BIT O b. 2,000 TLA and 1,250 BIT O c. 0 TLA and 1,250 BIT O d. 2,000 TLA and O BIT O e. not enough data to answer O f. 1,000 TLA and 1,000 BIT O g. 2,000 TLA and 1,600 BIT