EA5. LO 8.2 Sitka Industries uses a cost system that carries direct materials inventory at a standard cost. The controller has established these standards for one ladder (unit): Standard Standard Standard Quantity Price Cost 3 pounds 2.00 hours $4.50 per pound $12.00 per hour Direct materials $13.50 Direct labor $24.00 Total cost $37.50 Sitka Industries made 3,000 ladders in July and used 8,800 pounds of material to make these units. Smith Industries bought 15,500 pounds of material in the current period. There was a $250 unfavorable direct materials price variance. A. How much in total did Sitka pay for the 15,500 pounds? B. What is the direct materials quantity variance? C. What is the total direct material cost variance? D. What if 9,500 pounds were used to make these ladders, what would be the direct materials quantity variance? E. If there was a $340 favorable direct materials price variance, how much did Sitka for the 15,500 pounds of material? раy

Vogel Corporation’s cost of goods manufactured last month was $136,000. The beginning finished goods inventory was $35,000 and the ending finished goods inventory was $48,000. Overhead was overapplied by $6,000. Any underapplied or overapplied manufacturing overhead is closed out to cost of goods sold.   How much is the cost of goods available for sale on the Schedule of Cost of Goods Sold?   Multiple Choice   A. $171,000   B. $117,000   C. $123,000   D. $136,000

Latta Company provided the following T-accounts for this year. Manufacturing OverheadDebit  Credit(a)  488,448  (b)  407,040Balance  81,408    Work in ProcessDebit  CreditBalance  9,960  (c)  758,000302,000    91,000    (b)  407,040    Balance  52,000    Finished GoodsDebit  CreditBalance  38,000  (d)  664,000(c)  758,000    Balance  132,000    Cost of Goods SoldDebit  Credit(d)  664,000    The overhead applied to production is distributed among Work in Process, Finished Goods, and Cost of Goods Sold at the end of the year as follows: Work in Process, ending  $ 24,960Finished Goods, ending  63,360Cost of Goods Sold  318,720Overhead applied  $ 407,040For example, of the $52,000 ending balance in work in process, $24,960 was applied overhead. Required:Identify reasons for entries (a) through (d).Assume underapplied or overapplied overhead is closed to Cost of Goods Sold. Prepare the necessary journal entry.Assume underapplied or overapplied overhead is closed proportionally to Work in…

ParticularsAmountDirect materialR12Direct laborR50Variable manufacturing overheadR6.50Fixed manufacturing overhead (R81,000/2,550 units)R31.76Unit product cost for the month under absorption costingR100.26 Prepare an income statement for the month using the Marginal costing method

A certain company is selling a specific product with a selling price of P105.00. Data regarding costs incurred are as follows: Direct Materials P600,000   Direct Labor 400,000   Variable Factory Overhead 250,000   Fixed Factory Overhead 850,000   Variable Selling and Other Expenses Per Unit 2.50   Fixed Selling and Other Expenses 250,000   Data regarding units are as follows:   Case A Case B Case C Beginning Inventory 20,000 15,000 5,000 Ending Inventory 10,000 15,000 25,000 Produced 50,000 25,000 40,000 Requirements: Compute for the product cost per unit for each case under both absorption costing and variable costing. Compute for the inventory cost for each case under both absorption costing and variable costing. Prepare an income statement for each case under both absorption costing and variable costing.

If the beginning finished goods inventory 250 000 ID. prime cost 250 000 ID, ending finished goods inventory 160 000 ID, manufacturing overhead expenses 180 000 ID cost of goods manufactured 1224 000 ID, the cost of goods *-: sold are

T2-7 Assign costs to completed units and ending Work in Process Inventory (LO 4) Monk, Inc. reported the following results for the month of November.   Units Materials Conversion Work in Process        Beginning inventory ? $ 5,900 $15,000  Added to production ? 47,300 65,000  Completed and transferred out ? ? ?  Ending inventory 40,000 60% complete 40% complete Cost per equivalent unit   $0.40 $0.64 Questions a.How many units were completed and transferred out of Work in Process Inventory? b.What cost should be assigned to the units transferred out of Work in Process Inventory? c.What cost should be assigned to the ending Work in Process Inventory?

The company OMEGA from 1/1/ to 30/6 had the following cost data: 1/1. direct materials = 7000, 1/1. semi-cat. 11000, 1/1. finished goods = 9000. Purchases of direct materials were made = 49000, direct work amounted to 41000 and GSP was 97000. Sales for the period amounted to 658000 on credit. Administration expenses were 52000, sales expenses were 44000 and financial expenses were 9000. On 30/6 the stocks were: 31.12. direct materials 8000, 31.12 semi-work. Pr. 4000 and 31.12 of finished goods pr. = 9000. Requested: To prepare the report of the cost of production and to calculate the final result internally and out-of-account

Sitka Industries uses a cost system that carries direct materials inventory at a standard cost. The controller has established these standards for one ladder (unit):  Sitka Industries cost standards   Standard Quantity Standard Price Direct materials 3 pounds $4.37 per pound Direct labor 1.08 hours $13.21 per hour Sitka Industries made 2,751 ladders in July and used 8,331 pounds of material to make these units. Smith Industries bought 16,812 pounds of material in the current period. There was a $286 unfavorable direct materials price variance.  How much in total did Sitka pay for the materials purchased? Round to the nearest penny, two decimal places.

44.)ABC Industries employs a standard cost system in which direct materials inventory is carried at standard cost. ABC has established the following standards for the prime costs of one unit of product.Standard Quality       Standard Price             Standard CostDirect materials       6 pounds             P4.00/pound             P24.00Direct labor             1.30 hours             P14.00/hour               18.20 During April, ABC purchased 125,000 pounds of direct materials at a total cost of P475,000. The total factory wages for April were P436,800, 90% of which were for direct labor. ABC manufactured 22,000 units of product during April using 129,600 pounds of direct materials and 28,000 direct labor hours. ABC’s direct materials usage (quantity) variance for April isGroup of answer choices P18,400 F P18,400 U P8,640 U P9,600 F P9,600 U P43,400 U P8,640 FP43,400 F