A granary allocates the cost of unprocessed wheat to the production of feed, flour, and starch. For the current period, unprocessed wheat was purchased for S 140,000, and the following quantities of product and sales revenues were produced. Product Pounds Price per pound Feed 110, 000 $ 0.80 Flour 50,000 2.20 Starch 20,000 1.10 How much of the $140, 000 cost should be allocated to flour if the value basis is used?

A granary allocates the cost of unprocessed wheat to the production of feed, flour, and starch. For the current period, unprocessed wheat was purchased for S 140,000, and the following quantities of product and sales revenues were produced. Product Pounds Price per pound Feed 110, 000 $ 0.80 Flour 50,000 2.20 Starch 20,000 1.10 How much of the $140, 000 cost should be allocated to flour if the value basis is used?

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter20: Inventory Management: Economic Order Quantity, Jit, And The Theory Of Constraints

Section: Chapter Questions

Problem 8E: Melchar Company uses 78,125 pounds of oats each year. The cost of placing an order is 18, and the...

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A granary allocates the cost of unprocessed wheat to the production of feed, flour, and starch. For the current period, unprocessed wheat was purchased for $240,000, and the following quantities of product and sales revenues were produced. Product Sales Value Feed $ 90,000 Flour 110,000 Starch 20,000 Total $ 220,000 How much of the $240,000 cost should be allocated to feed if the value basis is used? (Round your intermediate percentage to the nearest whole percent.) Multiple Choice $0. $98,400. $90,000. $133,333. $240,000. A company has sales of $109,000; cost of goods sold of $69,870; and total direct expenses of $7,620. The department' contribution to overhead is: Multiple Choice $101,380. $77,490. $62,250. $31,510. $39,130. Marks Corporation has two operating departments, Drilling and Grinding, and an office. The three categories of office expenses are allocated to the two operating departments using different allocation bases. The following information is available for the current…
SITUATION: Your team will purchase 10,000 kilograms of flour at Php120.00 per kilogram. It will then be repacked in containers of = kilogram each and be sold for Php40.00 per container. Your department 4. supervisors asked you to report the number of repacked flour to be sold and the fractional part that the gross profit represent as compared to the cost of purchasing the flour and to the total sales assuming all the repacked flours will be sold. PRODUCT, PERFORMANCE AND PURPOSE: The gross profit report must include the data on the following concerns given by the department supervisors: (a) the number of repacked flour to be sold; (b) the total sales; (c) the gross profit per pack; (d) the total gross profit; (e) the fractional part that the gross profit represents as compared to the cost of purchasing the flour; and (f) the fractional part that the gross profit represents as compared to the total sales. The report must be neat and presentable and must include correct and valid…
The Toowoomba Produce Suppliers packages and distributes three grades of animal feed. The material cost per tonne and estimated annual sales for each of the products are: Product Material cost Estimated sales Super Premium $16 1000 tonnes Premium $12 1500 tonnes Economy $10 2500 tonnes The indirect cost of operating the machinery used to package all three products is $20 000 per year. In the past, prices have been set by allocating the indirect costs to products on the basis of estimated sales in tonnes. The resulting total costs (material costs plus allocated fixed overhead) are then marked up by 100 per cent. a. allocate total indirect cost to each product. b. Determine the total cost for each product. c. Calculate the selling price per unit for each product, using the method described for setting prices. d. Does the price in part C, take into account how much customers are willing to pay for the product? explain.
Calculate the cumulative VAT on a loaf of bread in Canada. Show the VAT generated at each stage of production. Stage of Production Selling Price Value Added at 15% Cumulative VAT FARMER $ .50 MILLER $2 .75 WHOLESALER $3.10 RETAILER $3.90
Tambi Corporation produce its product which requires an input for $72,30 per kilogram from the supplier. By paying cash, the corporation get 5% discount. Shipping cost amounted for $5,75 per kilogram. Receiving cost is $0,85 per kilogram. Each unit of output requires 0,45 kilogram of this input. The allowance for the waste and spoilage is 0,08 kilogram of this input for each unit. The allowance for the reject is 0,14 kilogram from each output.Based on this information, what is the standard price per kilogram of this input? Select one: a. $75,285 b. $67,555 c. $73,450 d. $70,655
A truckload of materials was purchased for $ 36,000. They were sorted out into the following grades whose Market rate is shown as under: No. of Units Selling rate per unit Grade X 5,000 $ 4.80 Grade Y 3,000 $ 4.00 Grade Z 2,000 $ 2.00 Find out the purchase rate per unit of each grade of the material assuming all grades yield the same rate of profit.
Wesley Utility Company uses 2,500 units per year which it stores at $0.50 per unit per annum. The cost to place an order is $100. a) Calculate: i. The economic order quantity (EOQ) b) If the company decides to make the items on its own machine with a potential capacity of 5,000 units per year, calculate: i. The economic order quantity (EOQ) ii. The annual ordering cost iii. The annual carrying cost
Division A sells soybean paste internally to Division B, which in turn, produces soybean burgers that sell for $5 per pound. Division A incurs costs of $0.75 per pound while Division B incurs additional costs of $2.50 per pound. What is Division A's operating income per pound, assuming the transfer price of the soybean paste is set at $1.25 per pound?
Underground Food Store has 4,000 pounds of raw beef nearing its expiration date. Each pound has a cost of $4.50. The beef could be sold “as is” for $3.00 per pound to the dog food processing plant, or roasted and sold in the deli. The cost of roasting the beef will be $2.80 per pound, and each pound could be sold for $6.50. A) What is the gross profit/loss per pound if the raw beef is sold "as is" to the dog food processing plant? If it is negative, use a dash - not parentheses ( ). B) What is the gross profit/loss per pound if the raw beef is roasted and sold in the deli? If it is negative, use a dash - not parentheses ( ). C) Should the beef be sold "as is" or roasted and sold in the deli?
Glam company offers customers a pottery cereal bowl if they send in three boxtops from its products and P10. The entity estimated that 60% of the boxtops will be redeemed. During the current year, the entity sold 675,000 boxes and customers redeemed 330,000 boxtops receiving 110,000 bowls. The cost of each bowl is P25. 1a. What is the premium expense for the current year? a. 1,650,000 b. 2,025,000 c. 4,550,000 d. 6,075,000 1b. What is the liability for outstanding premiums at year-end? a. 250,000 b. 375,000 c. 625,000 d. 875,000
The JYD Company processes apples into pies, spread, and dressing. During the second quarter of 2021, the joint cost of processing the apples was P750,000. There were no beginning inventories for the quarter. Production and sales value information for the quarter were as follows: Assume the use of the estimated net realizable value method. Products Units Produced SV @ split-off Separable costs Final Selling Price Ending Units Pies 20,000 P12/unit P20/unit P35/unit 7,000 Spread 50,000 15/unit 10/unit 28/unit 24,000 Dressing 25,000 9/unit 8/unit 20/unit 10,000 The allocated joint cost for product Spread at the end of the quarter is: Group of answer choices c. P250,000 b. P450,000 d. Not given a. P150,000
The JYD Company processes apples into pies, spread, and dressing. During the second quarter of 2021, the joint cost of processing the apples was P750,000. There were no beginning inventories for the quarter. Production and sales value information for the quarter were as follows: Assume the use of the estimated net realizable value method. Products Units Produced SV @ split-off Separable costs Final Selling Price Ending Units Pies 20,000 P12/unit P20/unit P35/unit 7,000 Spread 50,000 15/unit 10/unit 28/unit 24,000 Dressing 25,000 9/unit 8/unit 20/unit 10,000 The total value of ending inventory at the end of the quarter is: Group of answer choices b. P1,140,000 d. P788,500 c. P721,500 a. P750,000