es Company makes flanges for its main product of widgets. The cost of making each widget is as follows: Another company has offered to sell to James Company the flanges for a price of $19.00 each. Should James Company buy the flanges from the other company or
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James Company makes flanges for its main product of widgets. The cost of making each widget is as follows:
Another company has offered to sell to James Company the flanges for a price of $19.00 each. Should James Company buy the flanges from the other company or continue to make the flanges themselves? Show your computations.
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- Direct material costs $3 per unit, direct labor costs $5 per unit, and overhead is applied at the rate of 100% of the direct labor cost. What is the value of the Inventory transferred to the next department if beginning inventory was 2,000 units; 9,000 units were started; and 1.000 units were in ending inventory? A. $1,000 B. $13,000 C. $130.000 D. $20.000the prime cost 70 700 ID , manufacturing overhead 12 000 ID , beginning work inproces inventory 4 000 ID ,ending work inproces inventory 6 000 ID ,the cost of goods manufactured areDirect materials = $10 per unitDirect labor = $5 per unitVariable manufacturing overhead = $2 per unitFixed manufacturing overhead = $1,000Units produced is 1,000 units What is the cost per unit using the absorption method? What is the cost per unit using the variable method?
- · Manufacturing overhead 30,800· Increase in direct materials 13, 000· Increase in work in process 9, 000· Decrease in finished goods 32,040Manufacturing overhead amounts to 50% of direct labor, and the direct labor and manufacturing overhead combined equal 50% of the total cost of manufacturing.How much is the costs of direct materials purchased?Subject: Cost management & accounting Q.9) Compute: i) Factory Overhead ii) Conversion CostPrime Cost = Rs. 600,000 which is 75% of Factory CostDirect Labour = 250,000Q.10) Compute: i) Factory Overhead ii) Conversion CostPrime Cost = Rs. 540,000 which is 60% of Factory CostDirect Labour = 240,000Inventories 4/1 4/30 Direct Materials $ 19,000 $ 15,800 Work in Process 9,400 6,300 Finished Goods 28,400 38,000 Additional information for the month of April: Direct materials purchased $ 33,600 Direct labor 32,000 Direct labor rate per hour 10 Factor overhead incurred 42,400 Overhead is applied at $12 per direct labor hour. For the month of April, prime cost incurred was:
- Direct materials issued to production $170,000Indirect materials issued to production $45,000Other manufacturing overhead $255,000Overhead allocated $240,000Direct labour costs $80,000 Is the manufacturing overhead under- or over-applied? By how much?Hd.4. Manufacturing cost data for Salte Company are presented below. Case A Case B Case C Direct materials used (a) $65,600 $132,000 Direct labor $ 56,000 78,000 (g) Manufacturing overhead 48,500 81,900 103,000 Total manufacturing costs 196,650 (d) 263,900 Work-in-process, 1/1/12 (b) 14,500 (h) Total cost of work in process 224,500 (e) 325,000 Work-in-process, 12/31/12 (c) 8,000 70,000 Cost of goods manufactured 182,275 (f) (i) InstructionsIndicate the missing amount for each letter (a) through (c). CASE A ONLY.Question 6: Your company currently produces a range of three products, D, E, and F to which the following details relate for Period 2. D E F Production (units) 1,500 2,500 14,000 Material cost per unit Br. 18 Br. 10 Br. 20 Labor hours per unit 1 3 2 Machine hours per unit 3 2 6 Labor costs are Br. 8 per hour and production overheads are currently absorbed in the conventional system by reference to machine hours. Total production overheads for Period 2 have been analyzed as follows: Set-up cost 327,250 Handling cost 187,000 Machine cost 140,250 Inspection cost 280,500 935,000 Calculate the cost per unit for each product using conventional The introduction of an ABC is being considered and to that end the following volume…