cost accounting homework
TRANSCRIPT
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Type of Cost Variable
38. LO.2 (Cost Behavior)
a.
1 Batch = 500 Boxes
Cost of paper for each batch
cost of ink and glue for each batch
Cost of 1,000 gold boxes for each batch
Direct labor for producing each batch
cost of designing each batch
Cost per batch
Overhead Charges
Total Cost
Total Cost
No. of boxes
Cost per box of stationery
b.
Boxes per month
No. of boxes/ batchNo. of Batches
*Same cost behavior pattern in June
Cost of paper for each batch
cost of ink and glue for each batch
Cost of 1,000 gold boxes for each batch
Direct labor for producing each batch
37. LO.1-LO.3 (Cost Classifications)
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cost of designing each batch
Cost per batch
Overhead Charges
Total Cost
Total Cost
No. of boxes
Cost per box of stationery
c.
d.
120,000 boxes of stationery
No. of boxes per month
Sales price per box
Sales
Cost of Goods Sold
Gross Margin
Gross Margin (120,000 boxes)
Gross Margin (80,000 boxes)
Excess of Gross Margin of 120,000 boxes over 80,000 boxes
Boxes
Excess of Sales price per box(120,000 boxes)
120,000 boxes of stationery
Sales price per box
Excess in Sales Price to equate with Gross Margin of 80,000 boxes
Should be price per box
No. of boxes per month
Sales price per box
Sales
Cost of Goods Sold
Gross Margin
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e.
No. By producing more boxes per batch, PlumView Printers would als
incur higher Cost of paper, Cost of ink and glue, Cost of gold boxes,
direct labor and cost of designing per batch which will not result to lo
49. LO.4-LO.7 (Cost Flows; CGM; CGS)
Case 1
Sales 9,300
Direct Materials Used 1,200
Direct Labor 2,500
Prime Cost 3,700
Conversion Cost 4,800
Manufacturing Overhead
Cost of Goods Manufactured 6,200
Beginning Work In Process Inventory 500
Ending Work In Process Inventory
Beginning Finished Goods Inventory
Ending Finished Goods Inventory 1,200
Cost of Goods Sold
Gross Profit 3500
Operating Expenses
Net Income 2200
Solutions:
CASE 1
Sales
Cost of Goods Sold
Gross Margin
Operating Expenses
Income from Operations
Beginning Work In Process Inventory
Manufacturing Costs for the Period
Direct Materials Used 1,200
Direct Labor 2,500
Manufacturing Overhead 2,300
Total Costs to account for
Ending Work In Process Inventory
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Cost of Goods Manufactured
Beginning Finished Goods Inventory
Cost of Goods Manufactured
Cost of Goods Available for Sale
Ending Finished Goods InventoryCost of Goods Sold
CASE 2
Sales 19700
Cost of Goods Sold 12200
Gross Margin 7500
Operating Expenses 3500
Income from Operations 4000
Beginning Work In Process Inventory
Manufacturing Costs for the Period
Direct Materials Used 6,100
Direct Labor 4,900
Manufacturing Overhead 3300
Total Costs to account for
Ending Work In Process Inventory
Cost of Goods Manufactured
Beginning Finished Goods Inventory 1900
Cost of Goods Manufactured 14000
Cost of Goods Available for Sale 15900
Ending Finished Goods Inventory 3700
Cost of Goods Sold 12200
CASE 3
Sales
Cost of Goods Sold
Gross Margin
Operating Expenses
Income from Operations
Beginning Work In Process Inventory
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Manufacturing Costs for the Period
Direct Materials Used
Direct Labor
Manufacturing Overhead
Total Costs to account for
Ending Work In Process Inventory
Cost of Goods Manufactured
Beginning Finished Goods Inventory
Cost of Goods Manufactured
Cost of Goods Available for Sale
Ending Finished Goods Inventory
Cost of Goods Sold
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Fixed Direct Indirect Period Product
80,000 boxes
/ 500 boxes/batch
160 batches
10,000
1,000
32,000
16,000
20,000
79,000
x 160 batches
12640000408,000
13,048,000
13,048,000
/ 80,000
163.1
120,000
/ 500240
10,000
1,000
32,000
16,000
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20,000
79,000
x 240 batches
18960000
408,000
19,368,000
19,368,000
/ 120,000
161.4
80,000 boxes of statio
120,000 No. of boxes per mont
x 195 Sales price per box
23400000 Sales
19368000 Cost of Goods Sold
4032000 not equal to Gross Margin
4032000
2552000
1480000
/ 120,000
12.33333333
195
12.33333333
182.6666667
120,000 No. of boxes per mont
x 182.6666667 Sales price per box
21920000 Sales
19368000 Cost of Goods Sold
2552000 is equal to Gross Margin
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er cost.
Case 2 Case 3
19700 112000
6,100 18200
4900 32100
11000 50300
8200 49300
3300 17200
14000
900 5600
1200 4200
1900 7600
3700
12200 72200
7500
3500 18000
4000
9,300
2200
500
6,000
6,500
300
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6,200
6,200
1,200
900
14300
15200
1200
14000
112000
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ery
80,000
x 195
15600000
13048000
2552000
80,000
x 195
15600000
13048000
2552000