Co. produced 10, 000 units of product CC. Each unit of product CC needs 3kgs of UU materials at standard cost of P5 per unit. Actual amount of materials used for the said production amounted to 33, 000 kilos with cost of P161,700. Compute the productivity ratio of direct materials
Q: Polaski Company manufactures and sells a single product called a Ret. Operating at capacity, the…
A: Calculation of the variable cost for 42000 units: Direct materials 25 Direct Labor 8 Variable…
Q: Martinez Company's relevant range of production is 9,500 units to 14,500 units. When it produces and…
A: We have the following information: Martinez Company's relevant range of production is 9,500 units…
Q: Company XYZ is currently producing and selling 100 units. At this level, the total direct materials…
A: “Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and…
A: Manufacturing Overhead: The cost of manufacturing overhead, often known as MOH, is the aggregate of…
Q: GEM Limited has a single product Flicks. The company normally produces and sells 80,000 units of…
A:
Q: artinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and…
A: calculation of total amounts of direct and indirect manufacturing costs incurred are as follows
Q: Company XYZ is currently producing and selling 100 units. At this level, the total direct materials…
A: Incremental cost = Incremental units×Variable cost per unit
Q: Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and…
A: Prime cost means the addition of direct material and direct labor and other direct expenses.…
Q: Company XYZ is currently producing and selling 100 units. At this level, the total direct materials…
A: Incremental costs are always comprised of Variable costs . Total Variable cost in producing 100…
Q: Polaski Company manufactures and sells a single product called a Ret. Operating at capacity, the…
A: For making decision, the cost incurred in the special order shall be calculated and shall be…
Q: Company XYZ is currently producing and selling 100 units. At this level, the total direct materials…
A: Total variable cost = direct material + direct labor + variable MOH + Variable selling costs…
Q: Polaski Company manufactures and sells a single product called a Ret. Operating at capacity, the…
A: The costs that are incurred to produce additional units when the entity has surplus production…
Q: Company XYZ is currently producing and selling 100 units. At this level, the total direct materials…
A: Total variable cost = direct material + direct labor + variable MOH + Variable selling costs…
Q: (a) GEM has an opportunity to sell 10 000 units to an overseas customer. Import duties and other…
A: Cost: Cost can be defined as the cash and cash equivalent which is incurred against the products…
Q: Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and…
A: Total Cost for 10,000 product = Average cost per unit * 10,000
Q: Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and…
A: Manufacturing cost means the cost incurred to produce the finished goods in factory. Fixed…
Q: Company XYZ is currently producing and selling 100 units. At this level, the total direct materials…
A: Incremental cost can be defined as the increase in the cost of production of goods with the increase…
Q: that costs $5 per pound. The company has the capacity to annually produce 107,000 units of each…
A: The answer has been mentioned below.
Q: Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and…
A: Cost of goods manufactured: Cost of goods manufactured means total manufacturing costs; including…
Q: Schonhardt Corporation's relevant range of activity is 4,800 units to 6,000 units. When it produces…
A: Fixed costs are those costs that do not change when the activity of production changes within the…
Q: Company XYZ is currently producing and selling 100 units. At this level, the total direct materials…
A: Incremental cost = Incremental units×Variable cost per unit
Q: Unit Total Direct materials $ 15 $ 690,000 Direct labor 6 276,000 Variable…
A: Solution: Direct materials $15.00 Direct labor $6.00 Variable manufacturing overhead $3.00…
Q: Ball Company has the following data: Units Produced: 500 finished goods units Direct Materials: $100…
A: Lets understand the basics. There are two type of costing system are followed by the entities which…
Q: Average Cost per Unit Direct materials $ 6.50 Direct labor $ 3.70 Variable manufacturing overhead $…
A: Direct manufacturing cost includes only direct cost incurred during the manufacturing process. In…
Q: Unit Total Direct materials $ 15 $ 690,000 Direct labor 6 276,000 Variable…
A: Solution: Solution 3: Regular selling price $46.00 Less: Vaiable costs : Direct…
Q: Company XYZ is currently producing and selling 100 units. At this level, the total direct materials…
A: Incremental units=102-100=2 units
Q: Cane Company manufactures two products called Alpha and Beta that sell for $150 and $105,…
A: In order to determine the contribution margin per unit, the variable cost per unit is required to be…
Q: Polaski Company manufactures and sells a single product called a Ret. Operating at capacity, the…
A: New contribution margin Selling price $48*(1-.16) $40.32 less: Variable…
Q: Chenwang Manufacturing has 18,000 labor hours and 120,000 grams of material. The cost of labor per…
A: In the present case, the company CM has been involved in the manufacturing of three products in…
Q: Unit Total Direct materials $ 15 $ 690,000 Direct labor 6 276,000 Variable…
A: Solution: Regular Selling price $46.00 Less: Discount 16% Selling price for special order…
Q: Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and…
A: Contribution margin refers to the amount that shows the amount of revenue after deducting the…
Q: Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and…
A: Several type of costs are being incurred and recorded in cost accounting. Direct costs are costs…
Q: Polaski Company manufactures and sells a single product called a Ret. Operating at capacity, the…
A: Requirement 1: Compute the amount of total costs.
Q: Company XYZ is currently producing and selling 100 units. At this level, the total direct materials…
A: Variable Costs and fixed costs are the two main types of costs that a company incurs when producing…
Q: Cane Company manufactures two products called Alpha and Beta that sell for $140 and $100,…
A: Financial Advantage (Disadvantage) :— It is the increase or decrease in profit due to the additional…
Q: Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and…
A: Fixed manufacturing cost will not change even though their is a change in production. Fixed…
Q: CIRCLES Co. Produced 10, 000 units of product CC. Each unit of product CC needs 3kgs of UU materials…
A: Standard quantity of materials required = No. of units produced x Standard quantity per unit = 10000…
Q: Company XYZ is currently producing and selling 100 units. At this level, the total direct materials…
A: Incremental Cost per unit = Sum of Variable Cost / Units produced Incremental Cost of additional…
Q: Company XYZ is currently producing and selling 100 units. At this level, the total direct materials…
A: Variable cost of 100 units : Direct material cost 500 Direct labor cost 1800 Variable…
Q: CIRCLES Co. produced 10, 000 units of product CC. Each unit of product CC needs 3kgs of UU materials…
A: Standard quantity of materials required = No. of units produced x Standard quantity per unit = 10000…
Q: Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and…
A: Manufacturing cost indicates the number of costs spent by the corporation for the aim of making a…
Q: Company XYZ is currently producing and selling 100 units. At this level, the total direct materials…
A: Increase in units=102-100=2 units
Q: Company XYZ is currently producing and selling 100 units. At this level, the total direct materials…
A: Fixed cost remains constant at all levels of production. Only variable cost is taken for the…
Q: Bricktan Incorporated makes three products, Basic, Classic, and Deluxe. The maximum Bricktan can…
A: Limiting factors in cost accounting relate to limits in the supply of manufacturing inputs (such as…
Q: Polaski Company manufactures and sells a single product called a Ret. Operating at capacity, the…
A: Decision making is a process or an act of deciding something using rational thinking, intuition and…
Q: Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and…
A: The variable cost per unit remains constant and total variable cost changes with level of production…
Q: a) GEM has an opportunity to sell 10 000 units to an overseas customer. Import duties and other…
A: Cost: Cost can be defined as the cash and cash equivalent which is incurred against the products…
Q: Kubin Company's relevant range of production is 11,000 to 14,000 units. When it produces and sells…
A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…
Q: GEM Limited has a single product Flicks. The company normally produces and sells 80,000units of…
A: a) This is a situation of acceptance of additional offer of 10,000 units. Since even on…
HELP! Co. produced 10, 000 units of product CC. Each unit of product CC needs 3kgs of UU materials at
Compute the productivity ratio of direct materials
Step by step
Solved in 2 steps
- Carsen Company produces handcrafted pottery that uses two inputs: materials and labor. During the past quarter, 24,000 units were produced, requiring 96,000 pounds of materials and 48,000 hours of labor. An engineering efficiency study commissioned by the local university revealed that Carsen can produce the same 24,000 units of output using either of the following two combinations of inputs: The cost of materials is 8 per pound; the cost of labor is 12 per hour. Required: 1. Compute the output-input ratio for each input of Combination F1. Does this represent a productivity improvement over the current use of inputs? What is the total dollar value of the improvement? Classify this as a technical or an allocative efficiency improvement. 2. Compute the output-input ratio for each input of Combination F2. Does this represent a productivity improvement over the current use of inputs? Now, compare these ratios to those of Combination F1. What has happened? 3. Compute the cost of producing 24,000 units of output using Combination F1. Compare this cost to the cost using Combination F2. Does moving from Combination F1 to Combination F2 represent a productivity improvement? Explain.Cool Pool has these costs associated with production of 20,000 units of accessory products: direct materials, $70; direct labor, $110; variable manufacturing overhead, $45; total fixed manufacturing overhead, $800,000. What is the cost per unit under both the variable and absorption methods?Box Springs. Inc., makes two sizes of box springs: queen and king. The direct material for the queen is $35 per unit and $55 is used in direct labor, while the direct material for the king is $55 per unit, and the labor cost is $70 per unit. Box Springs estimates it will make 4,300 queens and 3,000 kings in the next year. It estimates the overhead for each cost pool and cost driver activities as follows: How much does each unit cost to manufacture?
- Five Card Draw manufactures and sells 10,000 units of Aces, which retails for $200, and 8,000 units of Kings, which retails for $170. The direct materials cost is $20 per unit of Aces and $15 per unit of Kings. The labor rate is $30 per hour, and Five Card Draw estimated 64000 direct labor hours. It takes 4 direct labor hours to manufacture Aces and 3 hours for Kings. The total estimated overhead is $128,000. Five Card Draw uses the traditional allocation method based on direct labor hours. A. How much is the gross profit per unit for Aces and Kings? B. What is the total gross profit for the year?The following product Costs are available for Haworth Company on the production of chairs: direct materials, $15,500; direct labor, $22.000; manufacturing overhead, $16.500; selling expenses, $6,900; and administrative expenses, $15,200. What are the prime costs? What are the conversion costs? What is the total product cost? What is the total period cost? If 7,750 equivalent units are produced, what is the equivalent material cost per unit? If 22,000 equivalent units are produced, what is the equivalent conversion cost per unit?The following product costs are available for Stellis Company on the production of erasers: direct materials, $22,000; direct labor, $35,000; manufacturing overhead, $17,500; selling expenses, $17,600; and administrative expenses; $13,400. What are the prime costs? What are the conversion costs? What is the total product cost? What is the total period cost? If 13,750 equivalent units are produced, what is the equivalent material cost per unit? If 17,500 equivalent units are produced, what is the equivalent conversion cost per unit?
- Remarkable Enterprises requires four units of part A for every unit of Al that it produces. Currently, part A is made by Remarkable, with these per-unit costs in a month when 4,000 units were produced: Variable manufacturing overhead is applied at $1.60 per unit. The other $0.50 of overhead consists of allocated fixed costs. Remarkable will need 8,000 units of part A for the next years production. Altoona Corporation has offered to supply 8,000 units of part A at a price of $8.00 per unit. If Remarkable accepts the offer, all of the variable costs and $2,000 of the fixed costs will be avoided. Should Remarkable accept the offer from Altoona Corporation?Five Card Draw manufactures and sells 24,000 units of Diamonds, which retails for $180, and 27,000 units of Clubs, which retails for $190. The direct materials cost is $25 per unit of Diamonds and $30 per unit of Clubs. The labor rate is $25 per hour, and Five Card Draw estimated 180,000 direct labor hours. It takes 3 direct labor hours to manufacture Diamonds and 4 hours for Clubs. The total estimated overhead is $720,000. Five Card Draw uses the traditional allocation method based on direct labor hours. A. What is the gross profit per unit for Diamonds and Clubs? B. What is the total gross profit for the year?Colonels uses a traditional cost system and estimates next years overhead will be $480,000, with the estimated cost driver of 240,000 direct labor hours. It manufactures three products and estimates these costs: If the labor rate is $25 per hour, what is the per-unit cost of each product?
- Gent Designs requires three units of part A for every unit of Al that it produces. Currently, part A is made by Gent, with these per-unit costs in a month when 4.000 units were produced: Variable manufacturing overhead is applied at $1.00 per unit. The other $0.30 of overhead consists of allocated fixed costs. Gent will need 6,000 units of part A for the next years production. Cory Corporation has offered to supply 6,000 units of part A at a price of $7.00 per unit. It Gent accepts the offer, all of the variable costs and $1,200 of the fixed costs will be avoided. Should Gent Designs accept the offer from Cory Corporation?Wyandotte Company provided the following information for the last calendar year: During the year, direct materials purchases amounted to 256,900, direct labor cost was 176,000, and overhead cost was 308,400. There were 40,000 units produced. Required: 1. Calculate the total cost of direct materials used in production. 2. Calculate the cost of goods manufactured. Calculate the unit manufacturing cost. 3. Of the unit manufacturing cost calculated in Requirement 2, 6.62 is direct materials and 7.71 is overhead. What is the prime cost per unit? Conversion cost per unit?Boarders estimates overhead will utilize 160,000 machine hours and cost $80,000. It takes 4 machine hours per unit, direct material cost of $5 per unit, and direct labor of $5 per unit. What is the cost of each unit produced?