Hybrid costing Pat Koontz makes necklaces from glass beads, metal beads, and natural beads. After reading about hybrid costing, she realized that the different types of necklaces did not cost the same amount of money to make, even though they took the same amount of time and effort to assemble. Koontz developed the following standard costs for each type of necklace: Beads Direct labor (1.5 hours) Overhead (based on 1.5 hours) Total Glass Metal Natural $24.00 $15.00 $7.00 15.00 15.00 15.00 8.00 8.00 $47.00 $38.00 8.00 $30.00 Koontz began the year with no beginning WIP Inventory after she experienced an extreme holiday rush. During January, 364 necklaces were started: 196 were glass 70 were metal, and 98 were natural. At the end of January, 70 necklaces were not yet complete: 14 glass, 36 metal, and 20 natural. The stage of completion for each cost component for the 70 unfinished necklaces was as follows: Material 100% complete Conversion 60% complete a. Calculate the cost of necklaces completed during January. $0 b. Calculate the cost of necklaces in ending WIP Inventory. $ 0 X x

Please answer parts 5-8 according to the images attached below.   Highland Company produces a lightweight backpack that is popular with college students. Standard variable costs relating to a single backpack are given below:     Standard Quantity or Hours Standard Price or Rate Standard Cost Direct materials ? $ 5.00 per yard $ ? Direct labor ? ?   ? Variable manufacturing overhead ? $ 2 per direct labor-hour ? Total standard cost per unit       $ ?   Overhead is applied to production on the basis of direct labor-hours. During March, 780 backpacks were manufactured and sold. Selected information relating to the month’s production is given below:     Materials Used Direct Labor Variable Manufacturing Overhead Total standard cost allowed* $ 15,600   $ 13,104 $ 2,496 Actual costs incurred $ 13,112   ? $ 5,491 Materials price variance ?       Materials quantity variance $ 790 U     Labor rate variance     ?   Labor efficiency variance     ?   Variable…

Mercedes is assessing which of two windshield suppliersprovides a better environmental design for disassembly. Usingthe tables below, select between PG Glass and Glass Unlimited.

Variable costs:   Direct materials $0.15 Direct labor 0.06 Variable overhead 0.11 Fixed overhead 0.30 Total cost $0.62

None

Oakland Precision Products (OPP) manufactures and sells a variety of scales for the kitchen and office. OPP sells primarily to kitchenware stores, discount stores, and so on. Two of the scales it produces for kitchen use are the Cook and Baker. The Cook is a basic food scale. The Baker has a greater capacity and special features that facilitate adjusting baking recipes for more or fewer people. The following information is available: Costs per unit Direct materials. Direct labor Variable overhead Fixed overhead Total cost per unit Price Units produced and sold The average wage rate is $32 per hour. Variable overhead varies with the quantity of direct labor-hours. The plant has a capacity of 20,000 direct labor-hours, but current production uses only 17,750 direct labor-hours. Required: a. A nationwide kitchenware chain has offered to buy 30,000 Cook models and 15,000 Baker models if the price is lowered to $10.60 and $36.80, respectively, per unit. a-1. If OPP accepts the offer, how…

Veritas is a startup that makes running t-shirts using high-tech fabric. The company has the following cost structure: Total cost = $50,000 + ($25 x number of t-shirts) The amount $50,000 is the: O Cost of Direct Material Cost of Good Sold O Fixed Cost O Overhead Rate O Total Variable Cost

Gerber Clothing Inc. has designed a rain suit for outdoor enthusiasts that is about to be introduced on the market. A standard cost card has been prepared for the new suit, as follows: Standard Quantity or hours Standard price or Rate Standard Direct materials 2.2 metres Direct labour 1.0 hours Manufacturing overhead (1/6 variable) 1.0 hours $ 15 per metre 33 per hour 21 per hour Cost $33.00 Total standard cost per suit 33.00 21.00 $87.00 a. The only variable selling and administrative costs will be $6 per suit for shipping. Fixed selling and administrative costs will be as follows (per year): Salaries Advertising and other Total $ 35,400 157,000 $192,400 b. Since the company manufactures many products, it is felt that no more than 10,500 hours of labour time per year can be devoted to production of the new suits. c. An investment of $550,000 will be necessary to carry inventories and accounts receivable and to purchase some new equipment. The company wants a 20% ROI in new product…

College Life produces sweatshirts for college organizations and uses hybrid costing. It reports the following for its fabrication process. Customers choose screen-printed or embroidered logos. Direct materials Conversion Fabrication process costs Customer choices-Logo types Screen-printed Embroidered Required: a. Compute the cost per unit for both the screen-printed and embroidered sweatshirts. b. If the company has a target markup of 30% above cost, compute the selling price for each type of sweatshirt. c. For the current period, the company added direct materials into production that should have produced 6,700 sweatshirts. Actual production was 6,499 (nondefective) sweatshirts. Compute the yield for this period. Express the answer in percent. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Per Unit $ 46 23 $ 69 $ 6 $ 20 Compute the cost per unit for both the screen-printed and embroidered sweatshirts. Cost per unit $121.00 x $…

A firm makes a range of running shoes. There are three models – Short; Middle; and Long distance. The products are aimed at different segments of the market. Product costs are computed using an overhead rate based on the labour hour method. Selling prices are set on full cost plus 20%. A unit refers to a pair of running shoes. The following information is available:     Short distance Middle distance Long distance Direct material cost per unit $25 $35 $40 Labour hours per unit 2 hrs 2 hrs 2 hrs Labour rate per hour $12 $12 $12 Total labour hours used 120,000 hrs 24,000 hrs 16,000 hrs Total number of units 60,000 units 12,000 units 8,000 units   Cost driver information:     Short distance Middle distance Long distance No. of machine hours 60,000 48,000 48,000 No. of material orders 30 100 200 No. of sales orders 12 48 63   The total overhead costs for the business amount to $1.2…