Data related to the inventories of Alpine Ski Equipment is shown below: Skis Boots Apparel Supplies Selling price $180,000 $150,000 $120,000 $60,000 Cost 128,000 133,000 90,000 45,000 Replacement cost 120,000 130,000 110,000 41,000 Sales commission 10% 10% 10% 10% Normal gross profit ratio 20% 20% 15% 15% In applying the LCM rule, the inventory of skis would be valued at: In applying the LCM rule, the inventory of boots would be valued at:

Data related to the inventories of Alpine Ski Equipment is shown below: Skis Boots Apparel Supplies Selling price $180,000 $150,000 $120,000 $60,000 Cost 128,000 133,000 90,000 45,000 Replacement cost 120,000 130,000 110,000 41,000 Sales commission 10% 10% 10% 10% Normal gross profit ratio 20% 20% 15% 15% In applying the LCM rule, the inventory of skis would be valued at: In applying the LCM rule, the inventory of boots would be valued at:

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter5: Process Costing

Section: Chapter Questions

Problem 8MC: What is the conversion cost to manufacture insulated travel cups if the costs are: direct materials,...

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	Skis	Boots	Apparel	Supplies
Selling price	$180,000	$150,000	$120,000	$60,000
Cost	128,000	133,000	90,000	45,000
Replacement cost	120,000	130,000	110,000	41,000
Sales commission	10%	10%	10%	10%
Normal gross profit ratio	20%	20%	15%	15%

Similar questions

13) Data related to the inventories of Alpine Ski Equipment and Supplies is presented below: Skis Boots Apparel Supplies Selling price $ 180,000 $ 140,000 $ 120,000 $ 60,000 Cost 128,000 133,000 90,000 45,000 Replacement cost 120,000 130,000 110,000 41,000 Sales commission 10 % 10 % 10 % 10 % In applying the lower of cost or net realizable value rule, the inventory of skis would be valued at: A) $162,000. B) $128,000 C) $120,000. D) $180,000.
Data related to the inventories of Alpine Ski Equipment and Supplies is presented below: Skis Boots Apparel Supplies Selling price $ 164,000 $ 157,000 $ 116,000 $ 69,000 Cost 138,000 138,000 81,200 44,850 Replacement cost 133,000 112,000 101,200 40,850 Sales commission 10 % 10 % 10 % 10 % In applying the lower of cost or net realizable value rule, the inventory of skis would be valued at:
Management Science: XY Company manufactures and sells LCD monitor at P5000 each. The production officer reported the following: Sale price: P5000 per monitor direct materials cost: P1000 per unit direct labor cost: P550 per unit other overhead cost P950 per unit Fixed costs related to the production are also reported: salary of management: P200,000 rent for the factory: P150,000, other salaries: P140,000 depreciation of equipment: P12,000Compute the profit function
Management Science: XY Company manufactures and sells LCD monitor at P5000 each. The production officer reported the following: Sale price: P5000 per monitor direct materials cost: P1000 per unit direct labor cost: P550 per unit other overhead cost P950 per unit Fixed costs related to the production are also reported: salary of management: P200,000 rent for the factory: P150,000, other salaries: P140,000 depreciation of equipment: P12,000Compute the total fixed cost
A segmented income statement for Smith & Eason’s Armory as shown below: Shield Club Tear Gas Grenade Total Sales Revenue $ 400,000 $ 200,000 $ 300,000 $ 900,000 Less: Variable Expenses 225,000 120,000 250,000 595,000 Contribution Margin $ 175,000 $ 80,000 $ 50,000 $ 305,000 Less Direct Fixed Expenses: Machine Rent (5,000) (20,000) (50,000) (75,000) Supervision (15,000) (10,000) (20,000) (45,000) Depreciation (35,000) (10,000) (25,000) (70,000) Segment Margin $ 120,000 $ 40,000 $ (45,000) $ 115,000 Refer to the information for Smith & Eason’s Armory above. Smith & Eason’s management is deciding whether to keep or drop the Tear Gas Grenade product line. Smith & Eason's’s mob control product line has a contribution margin of $50,000 (sales of $300,000 less total variable costs of $250,000). All variable costs are relevant. Relevant fixed costs associated with this line include 80% of Tear Gas Grenade’s machine rent and all of…
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. Consider the following information: ITEM SALES(Units) SALES VARIABLE COST A 9000 $54000 5.95 B 12000 60000 3.75 C 15000 60000 3.50 D 25000 75000 1.75 Costs of the period are as follows (salaries $45000, rent $10000, depreciation $8000, furniture and computers $24000, raw materials $ 120,000, insurance $5000, periodic maintenance $4000, interest expense $3000, utilities (fixed) $4000, property tax $3000, advertising $9000 (set at the beginning of the year), and new cars $62000). What is the breakeven point for all items? How many units of item A, B, C, & D are needed to breakeven? Calculate the profit of item A.
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Management Science: XY Company manufactures and sells LCD monitor at P5000 each. The production officer reported the following: Sale price: P5000 per monitor direct materials cost: P1000 per unit direct labor cost: P550 per unit other overhead cost P950 per unit Fixed costs related to the production are also reported: salary of management: P200,000 rent for the factory: P150,000, other salaries: P140,000 depreciation of equipment: P12,000Find the break-even quantity
15) Data related to the inventories of Alpine Ski Equipment and Supplies is presented below: Skis Boots Apparel Supplies Selling price $ 180,000 $ 140,000 $ 120,000 $ 60,000 Cost 128,000 133,000 90,000 45,000 Replacement cost 120,000 130,000 110,000 41,000 Sales commission 10 % 10 % 10 % 10 % In applying the lower of cost or net realizable value rule, the inventory of apparel would be valued at: A) $108,000. B) $90,000. C) $110,000. D) $99,000.
What is the conversion cost to manufacture insulated travel cups if the costs are: direct materials, $17,000; direct labor, $33,000; and manufacturing overhead, $70,000? A. $16,000 B. $50,000 C. $103,000 D. $120000
Charter Sports Equipment manufactures round, rectangular, and octagonal trampolines. Sales and expensedata for the past month follow:TrampolineTotal Round Rectangular OctagonalSales ..................................................... $1,000,000 $140,000 $500,000 $360,000Variable expenses ................................. 410,000 60,000 200,000 150,000Contribution margin ............................... 590,000 80,000 300,000 210,000Fixed expenses:Advertising—traceable ...................... 216,000 41,000 110,000 65,000Depreciation of special equipment .... 95,000 20,000 40,000 35,000Line supervisors’ salaries .................. 19,000 6,000 7,000 6,000General factory overhead* ................. 200,000 28,000 100,000 72,000Total fixed expenses ............................. 530,000 95,000 257,000 178,000Net operating income (loss) ................... $ 60,000 $ (15,000) $ 43,000 $ 32,000*A common fixed cost that is allocated on the basis of sales dollars.Management is concerned about…