Review View Help Paragraph 2 Normal No Spacing Heading 1 Heading 2 Rollins and Cohen, CPAS Professional Labor Cost Budget For the Year Ending December 31, 20Y7 Audit department hours Tax department hours Small business accounting department hours Total hours Average compensation per hour Total professional labor cost $ X Staff Styles x $ Partners I

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Exercise 4-1B Direct versus indirect costs Tilley Professional Services is composed of two separate divisions: (1) tax services as provided by the tax department and (2) auditing services as provided by the audit department. Each department has numerous clients. Engagement with each individual client is a separate service (i.e., product) and each department has several engagements in each period. Cost items of the firm follow: Salary of the partner in charge of the audit department Salary of the managing partner of the firm Cost of office supplies such as paper, pencils, erasers, etc. Depreciation of computers used in the tax department License fees of the firm Professional labor for a tax engagement Office assistant labor supporting both departments Professional labor for an audit engagement Depreciation of computers used in the audit department Salary of the partner in charge of the tax department Travel expenditures for an audit engagement Page 194 Required a. Identify each cost as…

* 00 %24 %24 D. Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not indicate comple Re Developing). Management has decided to allocate maintenance costs on the basis of machine-hours in each department and personnel costs on the basis of labor-hours worked by the employees in each. The following data appear in the company records for the current period: Maintenance Personnel Printing Developing Machine-hours 006 3,100 Labor-hours 00E T 006 006 Department direct costs $15,200 009 $ 009'ET$ 009 Required: Use the direct method to allocate these service department costs to the operating departments. (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations.) XAnswer is not complete. Maintenance Personnel Printing Developing 3,600 X $ X 009 13,600 X Service department costs 13,600 Maintenance allocation (3,600) 13,600 X (009) Personnel allocation Total costs allocated $ 17.200 17,200 Mc Graw K…

Exercise 17-15 (Algo) Computing activity rates, overhead allocation, and cost per unit LO P3 Lucern Company reports the following for its overhead cost for the year.  Activity Budgeted Cost Budgeted Activity Usage Engineering support $ 34,300 70 design changes Electricity 35,400 3,540 machine hours Setup 58,800 490 setups 1. Compute the activity rate for each activity using activity-based costing.2. The company’s Pro model used these activities to produce 1,200 units during the year: 2 design changes, 130 machine hours, and 10 setups. Allocate overhead cost to the Pro model and compute its overhead cost per unit using activity-based costing.

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CH 19 Q10 Entry for Factory Labor Costs A summary of the time tickets for the current month follows: Job No. Amount 100 $3,780 101 3,140 104 5,750 108 6,460 Indirect labor 20,150 111 3,940 115 2,580 117 17,510 Journalize the entry to record the factory labor costs. If an amount box does not require an entry, leave it blank.

--/1 Question 22 View Policies Current Attempt in Progress The predetermined overhead rate for Coronado Industries is $5, comprised of a variable overhead rate of $3 and a fixed rate of $2. The amount of budgeted overhead costs at normal capacity of $150000 was divided by normal capacity of 30000 direct labor hours, to arrive at the predetermined overhead rate of $5. Actual overhead for June was $12680 variable and $8040 fixed, and standard hours allowed for the product produced in June was 4000 port hours. The total overhead variance is O $720 F. O $4040 F. O $4040 U. O $720 U. hp ins f12 f11 f10 prt sc f9 144 f8 f7 f6 f5 4+ 8 %3D C 60 To 96

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