FUND.ACCT.PRIN.
25th Edition
ISBN: 9781260247985
Author: Wild
Publisher: RENT MCG
expand_more
expand_more
format_list_bulleted
Question
Chapter 20, Problem 29QS
To determine
Concept Introduction:
Cost per unit: Cost per unit refers to the cost incurred by the company for producing one unit which can be determined by dividing the total production cost by the total number of units produced or transferred by the manufacturing department to the sales department.
Yield: The yield of the process refers to the measure of production efficiency which can be determined by dividing the output by the input.
The yield of the process.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
Identify Cost Graphs
The following cost graphs illustrate various types of cost behavior:
Cost Graph One
Cost Graph Two
0
Total Units Produced
0
Total Units Produced
Cost Graph Three
Cost Graph Four
0
Total Units Produced
Total Units Produced
A. Prepare a cost estimate for a volume level of 128,000 units of product this year.
B. Determine the costs per unit for last year and for this year.
Crane Company collected the following production data for the past quarter:
Units
Month Produced
March
April
May
5000
4000
3400
Total
Cost
$190000
170000
142000
If Crane uses the high-low method to project costs for the next quarter, what total cost equation will the company use?
Total cost $0+ $100/unitx Quantity
O Total cost $74000+ $20/unit x Quantity
Q Total cost-$57000+ $25/unit x Quantity
O Total cost $40000+ $30/unit x Quantity
Chapter 20 Solutions
FUND.ACCT.PRIN.
Ch. 20 - Prob. 1QSCh. 20 - Prob. 2QSCh. 20 - Process vs. job order operations C1 For each of...Ch. 20 - Physical flow reconciliation C2 Prepare a physical...Ch. 20 - Prob. 5QSCh. 20 - A FIFO: Computing equivalent units C4 Refer to QS...Ch. 20 - Prob. 7QSCh. 20 - Prob. 8QSCh. 20 - Prob. 9QSCh. 20 - Prob. 10QS
Ch. 20 - Prob. 11QSCh. 20 - Prob. 12QSCh. 20 - Prob. 13QSCh. 20 - Prob. 14QSCh. 20 - Prob. 15QSCh. 20 - Prob. 16QSCh. 20 - A FIFO: Journal entry to transfer costs P4 Refer...Ch. 20 - Prob. 18QSCh. 20 - Weighted average: Assigning costs to output C3...Ch. 20 - Prob. 20QSCh. 20 - Prob. 21QSCh. 20 - Prob. 22QSCh. 20 - Recording costs of materials P1 Hotwax mates...Ch. 20 - Prob. 24QSCh. 20 - Recording costs of factory overhead P1 P3 Prepare...Ch. 20 - Recording transfer of costs to finished goods P4...Ch. 20 - Prob. 27QSCh. 20 - Prob. 28QSCh. 20 - Prob. 29QSCh. 20 - Exercise 20-1 Process vs. job order operations C1...Ch. 20 - Exercise 20-2 Comparing process and job order...Ch. 20 - Prob. 3ECh. 20 - Prob. 4ECh. 20 - Prob. 5ECh. 20 - Prob. 6ECh. 20 - Prob. 7ECh. 20 - Exercise 20-8 Weighted average: Computing...Ch. 20 - Prob. 9ECh. 20 - Prob. 10ECh. 20 - Prob. 11ECh. 20 - Prob. 12ECh. 20 - Exercise 20-13A
FIFO: Completing a process cost...Ch. 20 - Exercise 20-14 Production cost flow and...Ch. 20 - Exercise 20-15 Recording product costs P1 P2 P3...Ch. 20 - Prob. 16ECh. 20 - Prob. 17ECh. 20 - Prob. 18ECh. 20 - Prob. 19ECh. 20 - Prob. 20ECh. 20 - Prob. 21ECh. 20 - Exercise 20-22 Recording costs of labor P2 Prepare...Ch. 20 - Prob. 23ECh. 20 - Prob. 24ECh. 20 - Exercise 20-25 Recording cost flows in a process...Ch. 20 - Exercise 20-26 Interpretation of journal entries...Ch. 20 - Prob. 27ECh. 20 - Prob. 28ECh. 20 - Prob. 29ECh. 20 - Prob. 30ECh. 20 - Prob. 1PSACh. 20 - Prob. 2PSACh. 20 - Prob. 3PSACh. 20 - Problem 20-4A Weighted average: Process cost...Ch. 20 - Problem 20-5AA FIFO: Process cost summary:...Ch. 20 - Prob. 6PSACh. 20 - Prob. 7PSACh. 20 - Prob. 1PSBCh. 20 - Prob. 2PSBCh. 20 - Prob. 3PSBCh. 20 - Prob. 4PSBCh. 20 - Problem 20-5BA FIFO: Process cost summary;...Ch. 20 - Problem 20-6BAFIFO: Costs per equivalent unit;...Ch. 20 - Problem 20-7BA FIFO: Process cost summary,...Ch. 20 - Prob. 20SPCh. 20 - Prob. 20CPCh. 20 - Prob. 1GLPCh. 20 - Apple has entered into contracts that require the...Ch. 20 - Apple and Google work to maintain high-quality and...Ch. 20 - Prob. 3AACh. 20 - Prob. 1DQCh. 20 - Prob. 2DQCh. 20 - Prob. 3DQCh. 20 - Prob. 4DQCh. 20 - Prob. 5DQCh. 20 - Explain in simple terms the notion of equivalent...Ch. 20 - Prob. 7DQCh. 20 - Prob. 8DQCh. 20 - Direct labor costs flow through what accounts in a...Ch. 20 - Prob. 10DQCh. 20 - Prob. 11DQCh. 20 - Prob. 12DQCh. 20 - Prob. 13DQCh. 20 - Companies such as Apple commonly prepare a process...Ch. 20 - Prob. 15DQCh. 20 - Prob. 16DQCh. 20 - Prob. 17DQCh. 20 - How could a company manager use a process cost...Ch. 20 - Explain a hybrid costing system. Identify' a...Ch. 20 - Prob. 1BTNCh. 20 - Prob. 2BTNCh. 20 - Many companies use technology to help them improve...Ch. 20 - Prob. 4BTN
Knowledge Booster
Similar questions
- Required information [The following information applies to the questions displayed below] This Applying Excel worksheet includes an explanation of the Data Table What-if Analysis Tool. On the Data Tables - Student tab in your Excel spreadsheet, update the given information section of the Income Statement for Hello Company with the data below. Income Statement Units Price per unit Variable expense per unit Total Fixed Costs Product A 32,000 $ 12.00 $5.00 $15,000 Product B 6,000 $6.00 $ 1.00 $30,000 Product C 2,000 $50.00 $15.00 $7,500 Required: 2. Using the Data Table What-if Analysis tool in Excel, determine the Units and Operating Income (Loss) for each product based on the following scenarios. (Hint. Don't forget that the warehouse can only hold up to 40,000 units.). < Prev Scenario 1 Pete wants to find the mix of units that will result in the highest overall Operating Income, perform this analysis using a two variable data table. Product A can vary between 29,000 units and a maximum…arrow_forwardQuestion 1: Estimation of WC The management of ABC Company Limited has called for a statement showing the WC needed to finance a level of activity of 3,00,000 units of output per year. The cost statement of the company's product, for the above-mentioned activity level, is given below: Cost per unit TK 20 Direct material Direct labor Overhead Total cost Target profit Target selling price 5 TK 15 40 10 TK 50 1. Past records show that raw materials are held in stock, on an average, for two (2) months; 2. Work in process (WIP) will approximate to 15 days production; 3. Finished goods remain in warehouse on average for 1 month; 4. Suppliers for materials extend one month's credit; 5. Two months credit is normally allowed to customers (assume all sales are on credit) 6. A minimum cash balance of TK 5,00,000 is expected to be maintained; 7. The production pattern is assumed to be even during the year. Prepare a Statement of Working Capital Requirementsarrow_forwardAssume that a company has the following data for one of its manufacturing cells: Theoretical velocity – 40 units per hour; Productive minutes available (per year) – 1,200,000; Annual conversion costs - $4,800,000; and Actual velocity – 30 units per hour. choose the correct letter of answer Calculate the actual conversion cost per unit using actual cycle time and the standard cost per minute.a.$6b.$8c.$7d.$3 calculate the ideal conversion cost per unit using theoretical cycle time and the standard cost per minute.a.$6b.$8c.$7d.$3arrow_forward
- solve the given mcqs: Truo Corporation produces a single product. Last year, the company had net operating income of $100,000 using variable costing. Beginning and ending inventories were 13,000 units and 18,000 units, respectively. If the fixed manufacturing overhead cost was $4 per unit both last year and this year, what would have been the net operating income using absorption costing? A $120,000 B $80,000 C $100,000 D $172,000 2) Elison Corporation, which has only one product, has provided the following data concerning its most recent month of operations: Selling price $ 111 Units in beginning inventory 0 Units produced 7,500 Units sold 7,200 Units in ending inventory 300 Variable costs per unit: Direct materials $ 24 Direct labor $ 34 Variable manufacturing overhead $ 1 Variable selling and administrative expense $ 5 Fixed costs: Fixed manufacturing overhead $ 217,500 Fixed…arrow_forwardCalculating Manufacturing Cycle Efficiency Indy Company has the following data for one of its manufacturing plants: Maximum units produced in a quarter (3-month period): 250,000 units Actual units produced in a quarter (3-month period): 192,000 units Productive hours in one quarter: 25,000 hours The actual cycle time for Indy Company is 7.81 minutes, and the theoretical cycle time is 6 minutes. Required: 1. Calculate the amount processing time and the amount of nonprocessing time. required, rour your answers to wo ecimal places. Processing time minutes Nonprocessing time minutes 2. Calculate the MCE. If required, round your answer to nearest whole number. %arrow_forwardIn manufacturing its products, a company uses three raw materials A,B and C as follows: Raw Usage Reorder Price Delivery period in weeks Order level Minimum level materials per unit quantity per kg. $ A 10 1 to 2 10,000 5,000 10,000 10 8,000 4,750 B 4 30 3 to 5 6 15 2 to 4 2,000 Weekly production varies from 175 to 225 units, averaging 200. What would you expect the quantities of the following to be? (1) (II) (III) Minimum stock of A; Maximum stock of B; and Average stock of A;arrow_forward
- Table 8: THE ROGER COMPANY CASE The Roger Company produces product NRV by heating materials X, Y, and Z. Normal evaporation loss is 20%; thus, 1,000 gallons of input are anticipated to yield an output of 800 gallons. STANDARDS for 800 gallons of NRV: Material X Material Y Material Z Totals/Weighted Average OUTPUT of 40,000 gallons, actual costs: Material X Material Y Material Z Totals/Weighted Average GALLONS 600 300 100 1,000 GALLONS 26,000 18,200 7,800 52,000 PRICE PER GALLON $0.80 $1.20 $1.60 $1.00 PRICE PER GALLON $0.82 $1.23 $1.67 $1.091 TOTAL $480 360 160 $1,000 TOTAL $21,320 22,386 13,026 $56,732 Use the above information to calculate the materials price and efficiency variances. Then break down the efficiency variance into the mix and yield variances. Explain any computational similarities as compared to the calculations of any of those variances you calculated for thearrow_forwardFollowing information relating to a type of raw material is available: Annual demand 2,400 units, Unit price OMR .2.400, Ordering cost per order OMR.4.000, Storage cost 2% per annum, Interest rate 10% per annum. Calculate Economic Order Quantity.arrow_forwardII. Process Costing Our company manufactures Chemical X. Assume the company uses weighted average. Separate direct materials and conversion costs. Chemical X is comprised of two liquids, Liquid A and Liquid B. The formula of Chemical Xis 60% Liquid A, 40% Liquid B. 70% of the mixed liquid is added at the beginning of the process: 30% added at the very end. The average cost of the raw materials is $35 per gallon. At the beginning of the month, there was 1,500 gallons in process, 40% through the process (as to conversion costs). The total costs in beginning WIP is $36,750 for materials and $97,440 for conversion costs. During the month, 15,000 gallons were started. Conversion costs were $455,400 for the month. Compute direct material costs (hint use DM EUP under FIFO). At the end of the month, there were 1,200 gallons in process, 80% through the process. Answer each question separately. DO NOT just complete a table - this will result in a zero! How many units were started AND completed?…arrow_forward
- Identify cost graphsThe following cost graphs illustrate various types of cost behavior For each of the following costs, identify the cost graph that best illustrates its costbehavior as the number of units produced increases:A. Total direct materials costB. Electricity costs of $1,000 per month plus $0.10 per kilowatt-hourC. Per-unit cost of straight-line depreciation on factory equipmentD. Salary of quality control supervisor, $20,000 per monthE. Per-unit direct labor costarrow_forwardQuestion 5: The Information below is taken from production department of Salalah Company for April: The number of units produced is 10000. All amounts are in OMR. Total Costs Variable Cost Fixed Cost Direct material cost 500000 ? Total labor cost Manufacturing Overhead ? 400000 100000 90000 30000 ? Calculate: A. B. Calculate cost per unit B. Describe the production costs in the equation form Y = f+ vX. C. Assume Salalah intends to produce 10000 units next month. Calculate total production costs for the montharrow_forwardIdentify cost graphs The following cost graphs illustrate various types of cost behavior: For each of the following costs, identify the cost graph that best illustrates its cost behavior as the number of units produced increases: A. Total direct materials cost B. Electricity costs of 1,000 per month plus 0.10 per kilowatt-hour C. Per-unit cost of straight-line depreciation on factory equipment D. Salary of quality control supervisor, 20,000 per month E. Per-unit direct labor costarrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Managerial Accounting: The Cornerstone of Busines...AccountingISBN:9781337115773Author:Maryanne M. Mowen, Don R. Hansen, Dan L. HeitgerPublisher:Cengage Learning
Managerial AccountingAccountingISBN:9781337912020Author:Carl Warren, Ph.d. Cma William B. TaylerPublisher:South-Western College Pub
Financial And Managerial AccountingAccountingISBN:9781337902663Author:WARREN, Carl S.Publisher:Cengage Learning,
Essentials of Business Analytics (MindTap Course ...StatisticsISBN:9781305627734Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. AndersonPublisher:Cengage Learning
Managerial Accounting: The Cornerstone of Busines...
Accounting
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Cengage Learning
Managerial Accounting
Accounting
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:South-Western College Pub
Financial And Managerial Accounting
Accounting
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:Cengage Learning,
Essentials of Business Analytics (MindTap Course ...
Statistics
ISBN:9781305627734
Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Publisher:Cengage Learning