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The following data relate to product no. 33 of Volusia Corporation:
Direct labor standard: 5 hours at $14 per hour
Direct labor used in production: 45,000 hours at a cost of $639,000
Manufacturing activity: 8,900 units completed
The direct-labor efficiency variance is:
$7,000 F.
$7,000 U.
$7,100 F.
$7,100 U.
None of the answers is correct.
8,900 × 5 = 44,500 hours; 45,000
−
44,500 = 500; 500 × $14 = $7,000 U.
✓
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Which of the following would be considered if a company desires to establish a series of practical
manufacturing standards?
The productivity loss associated with a short-term worker slowdown.
Normal defect rates in an assembly process.
Highly unusual spoilage rates of direct materials.
Quantity discounts associated with purchases of direct materials.
Both normal defect rates in an assembly process and quantity discounts associated with
purchases of direct materials.
Both normal defect rates in an assembly process and quantity discounts associated with purchases of
direct materials would be considered in establishing practical manufacturing standards.
When the quantity of materials purchased is not equal to the quantity of material used, most companies
base the calculation of the material quantity variance on the:
quantity of direct materials purchased.
quantity of direct materials spoiled.
quantity of direct materials that should have been used in achieving actual production.
quantity of direct materials actually used.
none of the other answers are correct.
Material quantity variance is usually based on quantity of direct materials actually used when quantity
purchased does not equal quantity used.
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When considering whether to investigate a variance, managers should consider all of the following except
the variance's:
size.
pattern of recurrence.
trends over time.
nature, namely, whether it is favorable or unfavorable.
controllability.
Managers should not consider the nature of the variance; in other words, whether it is favorable or
unfavorable when considering an investigation is not a factor.
A direct-labor efficiency variance cannot be caused by:
inexperienced employees.
poor quality raw materials.
employee inefficiency.
an out-of-date labor time standard.
producing fewer finished units than originally planned.
A direct-labor efficiency variance cannot be caused by producing fewer finished units than originally
planned.
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Calculating Capacity
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Periodic Inventory Using FIFO, LIFO, and Weighted Average Cost Methods
The units of an item available for sale during the year were as follows:
Jan. 1
Inventory
8 units at $40
$320
Aug. 13
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Nov. 30
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5 units at $44
220
Available for sale
21 units
$876
There are 8 units of the item in the physical inventory at December 31. The periodic inventory system is used. Determine the inventory
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requires an understanding of the company's operations and the inter-relationship of accounts.
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QUESTION 4
At 1.1.2017, KAZA Bhd grants 80,000 share appreciation rights to employee, with service
condition that the employee will still be employed in KAZA for three years. grant date,
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Value of rights
RM
0
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1
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2017…
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Exercise 17-42 (Algo) Taguchi Quality Loss Function (QLF) Analysis [LO 17-4]
Flextronchip, an OEM manufacturer, has a fifth-generation chip for cell phones, with chip specification of 0.2 ± 0.0002 mm for the
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2. Assume that the quality control manager takes a sample of 100 chips from the production process. The results are as follows:
Measurement
Frequency
3
0.1996
0.1997
5
0.1998
15
0.1999
14
0.2000
35
0.2001
14
0.2002
6
0.2003
5
0.2004
3
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You have the following information for Sheridan Inc. for the month ended June 30, 2022. Sheridan uses a periodic inventory system.
Unit Cost or
Date
Description
Quantity
Selling Price
June
Beginning inventory
40
$34
June
4.
Purchase
135
37
June
10
Sale
110
64
June
11
Sale return
15
64
June
18
Purchase
55
40
June
18
Purchase return
10
40
June
25
Sale
65
70
June
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On January 1, 2018, Maywood Hydraulics leased drilling equipment from Aqua Leasing for a five-year period ending December 31,
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guaranteeing a $92,500 residual value.
Equal payments under the lease are $130,000 and are due on December 31 of each year with the first payment being made on…
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On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $83,
exchange for its common stock to launch the business. On December 31, the company's records show
and amounts.
3
Cash
$1,120
12, 940
Accounts receivable.
office supplies
2,640
$14,550 Cash dividends
12,940 Consulting revenue
2,400 Rent expense
17,020 Salaries expense
45,860 Telephone expense
7,820 Miscellaneous expenses
83, 110
office equipment
Land
5,920
800
620
Accounts payable
Common stock
ed
k
Exercise 1-20 (Algo) Preparing a balance sheet LO P2
Use the above information to prepare a December 31 balance sheet for Ernst Consulting.
ERNST CONSULTING
ces
Balance Sheet
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Logan Electrics Inc. has fixed operating costs of $370,000, variable costs of $1.75 per unit produced,
and its product sells for $3.00 per unit. What is the company's break-even point, i.e., at what unit sales
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O 211,000 units
O 296,000 units
O 200,000 units
250,000 units
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Last year Golden Corp. had $410 million in sales, and it had $95 million of fixed assets that were being operated at 8096
capacity. In millions, how large could sales have been if the company had operated at full capacity?
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36
Copy Center pays an average wage of $12 per hour to employees for printing and copying jobs and allocates $18 of overhead for each employee hour worked. Direct materials are
assigned to each job according to actual cost. Jobs are marked up 20% above total manufacturing cost to determine the selling price. If Job M-47 used $350 of direct materials and took
20 direct hours of labor to complete, what is the selling price of the job?
$456
$720
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$1,900,000.
$2,800,000.
Question 13 - E X
B
During its most recent fiscal year, Dover, Incorporated had total sales of $3,200,000. Contribution
margin amounted to $1,500,000 and income was $400,000. What amount should have been
reported as variable costs in the company's contribution margin income statement for the year?
$1,300,000.
$1,100,000.
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1. From the following Trial balance , you are require to prepare the final accounts for the year ended 31st December 2020.
Grades
Particulars
Amount (Dr)
Amount(Cr)
4,80,000
Сapital
Drawings
Land & Building
People
1,35,000
4,50,000
Pages
Account
Creditors
3,15,000
Files
Plant& Machinery
1,20,000
Purchase returns
7,950
Syllabus
Bills receivable
18,000
Dashboard
Sales
6,54,000
Quizzes
Opening stock
1,20,000
1,53,000
78,000
1,500
3,000
1,14,000
10,200
79,800
1,35,000
3,600
6,000
18,000
11,850
Courses
Modules
Purchase
Wages
Carriage outwards
Carriage inwards
Salaries
Calendar
Discount
Inbox
Bank balance
Debtors
Bad debts
Sales returns
Furniture
Advertisements
Total
14,56,950
14,56,950
Adjustments:
Stock on 31st December,2020 is Rs. 1,05,000
Machinery & Furniture to be depreciated @ 10%.
Wages outstanding is Rs. 4,50O
Prepaid Advertisement is Rs.1,500
A…
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Cheyenne Corp. purchased equipment for $13200 on December 1. It is estimated that annual depreciation on the computer will be
$2640. If financial statements are to be prepared on December 31, the company should make the following adjusting entry:
O debit Depreciation Expense, $10560; credit Accumulated Depreciation, $10560.
O debit Equipment, $13200; credit Accumulated Depreciation, $13200.
O debit Depreciation Expense, $2640; credit Accumulated Depreciation, $2640.
O debit Depreciation Expense, $220; credit Accumulated Depreciation, $220.
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Show Me How
apter Nine
Determine Due Date and Interest on Notes
.09-03.BLANKSHEET
Determine the due date and the amount of interest due at maturity on the following notes:
L09-04.BLANKSHEET
Date of Note
Face Amount
Interest Rate
Term of Note
09-03.ALGO
January 10*
$40,000
90 days
a.
b.
March 19
180 days
000
8.
09-04.ALGO
June 5
30 days
000'06
d.
September 8
90 days
90-60
3.
000'9E
e.
November 20
60 days
9-11
4.
000'
*Assume that February has 28 days.
9-12
Assume 360-days in a year when computing the interest.
-19
Note
Due Date
Interest
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(a)
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