Q: Give me a model How Efficient is the Engineering Estimation Technique for Cost Estimation?
A: At whatever point we build up a product project, principle addresses that emerge to us is the amount…
Q: What is the predetermined overhead allocation rate?
A:
Q: Define the conversion cycle.
A: Accounting: Accounting is a system, or a process of collecting and organizing economic…
Q: What is the bottleneck cycle time (seconds/job)? Answer as a whole number.
A: Bottleneck cycle time is the longest time taken to complete the prices
Q: Compute the Predetermined Overhead Rate.
A: Predetermined Overhead rate is the rate at which the Overhead is applied to the Product based on the…
Q: What is process capability? Explain the difference between specification limits and process control…
A: A proper order under which various transactions, operations and procedures is known as a process.…
Q: What are the main features of JIT production, and what are its benefits and costs?
A: Just-in-time: Just-in-time system is a “demand pull” system, in which materials are obtained and…
Q: What is the weighted-average method for process costing systems?
A:
Q: What is an overhead absorption rate?
A: Overhead: It refers to an ongoing cost incurred to operate a business. Overheads exclude the…
Q: Calculate how much material A
A: Worth of a product will be decided by the current price to the company i.e it will consider the net…
Q: What is the most crucial aspect of the transition from serial to batch processing?
A: Batch accounting is referred as the transferring system of an items from the ledger, journal, and…
Q: What is the definition of an overhead absorption rate?
A: Overhead: It is an expense that is incurred continuously to run a company. Overheads are expenses…
Q: Calculate the units produced?
A:
Q: Define the term Time-based methods.
A: Allocation method: It is a method in which allocation base is expected to be consumed during the…
Q: Explain manufacturing cycle time.
A: Definition: Product costs: The costs incurred to acquire the merchandise, ship the stock, prepare…
Q: What does the word "overhead application rate" mean?
A: Overhead is a term that refers to a continuous The term "overhead application rate" refers to the…
Q: What are the primary determinants for both materials and operations requirements?
A: Definition: Conversion cycle: A set of all processes that are used to collect inputs and convert…
Q: process productivity
A: Process productivity = Good units produced/Processing time(total hours)
Q: What are the two types of cost centers used in GPK? Explain the difference.
A: GPK is a costing method uses marginal costing method for planning and cost control
Q: Describe the key steps of resource assignment and cost assembly via eTakoff and Sage Estimating.
A: Sage Estimating is an ERP tool that gives you the flexibility, speed, and accuracy to generate…
Q: the PW of machine A is:
A: The correct option is : A
Q: The manufacturing cycle efficiency is:
A: Calculations are as follows
Q: Under what conditions would it be appropriate to use a process costing system?
A: Process Costing: Process Costing is refer as method of costing in which all the cost which are…
Q: How do you find full absorption cost
A: Absorption costing refers to the method of managerial accounting in order to capture all the costs…
Q: Explain Calculating Total P System Costs?
A: Periodic inventory system also known as P system is a method of stock taking, where stock taking is…
Q: What are the levels of operations performance?
A: There are three levels of operations performance is as follows: Societal level: Social activity is…
Q: How are cost structures fundamentally different between the traditional and computer-integrated…
A: Sales order starts the manufacturing process under a traditional manufacturing environment. The…
Q: compute for throughput time
A: Throughput time or the period is the time in days or in hours which are required by the company in…
Q: What is costing system refinement?
A: Broad averaging is also known as peanut butter cost is a costing approach of distributing the…
Q: What is operation costing?
A:
Q: gimzo machine
A: Acquisition cost refers to cost to all the cost for purchasing the asset.
Q: How to compute manufacturing overhead?
A: In order to manufacture the product, various indirect expenses are incurred such as indirect…
Q: What types of products would most likely be manufactured using the process cost system?
A: A process costing system is useful when in a manufacturing unit, large batches are produced. Many…
Q: What is the difference between delivery cycle time and throughput time? What four elements make up…
A: Difference between delivery cycle and throughput time: The delivery cycle is a complete process from…
Q: Describe weighted average method under process costing.
A: Process Costing: Process costing is method of cost accounting in which all the costs that are…
Q: Explain techniques for estimating task completion times and costs
A: Two key features of a project are on- time and on- budget delivery.The project manager can only…
Q: Search about how technique is efficient Engineered estimate of cost to estimate cost.
A: technique is efficient Engineered estimate of cost to estimate cost.
Q: Explain the characteristics of process costing.
A: Process costing is a method of costing used to determine the cost of the product at each stage of…
Q: Which machine should be purchased? should be purchased.
A: Profitability Index: It is a measure of an investment's or project's attractiveness used in capital…
Q: Explain an example how to calculate total costs.
A: Total c osts represents overall costs incurred to produce or procure a product.
Q: er than the plant-wide (tradit i -keeping. ente sts overhead rate to
A: the correct option is (b) None of the given answer
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- Gumbrecht Company has the following departmental manufacturing layout for one of its plants: A consulting firm has recommended a value stream with the following manufacturing cell: Required: 1. Calculate the total time it takes to produce a batch of 20 units using the traditional departmental manufacturing layout. 2. Using cellular manufacturing, how much time is saved producing the same batch of 20 units? Assuming the cell operates continuously, what is the production rate? Which process controls this production rate? 3. Assume the processing time of Casting is reduced to 9 minutes, while the times of the other processes stay the same. What is the production rate now, and how long will it take to produce a batch of 20 units if the cell is in a continuous production mode?The management of Hartman Company is trying to determine the amount of each of two products to produce over the coming planning period. The following information concerns labor availability, labor utilization, and product profitability: a. Develop a linear programming model of the Hartman Company problem. Solve the model to determine the optimal production quantities of products 1 and 2. b. In computing the profit contribution per unit, management does not deduct labor costs because they are considered fixed for the upcoming planning period. However, suppose that overtime can be scheduled in some of the departments. Which departments would you recommend scheduling for overtime? How much would you be willing to pay per hour of overtime in each department? c. Suppose that 10, 6, and 8 hours of overtime may be scheduled in departments A, B, and C, respectively. The cost per hour of overtime is 18 in department A, 22.50 in department B, and 12 in department C. Formulate a linear programming model that can be used to determine the optimal production quantities if overtime is made available. What are the optimal production quantities, and what is the revised total contribution to profit? How much overtime do you recommend using in each department? What is the increase in the total contribution to profit if overtime is used?Firenza Company manufactures specialty tools to customer order. Budgeted overhead for the coming year is: Previously, Sanjay Bhatt, Firenza Companys controller, had applied overhead on the basis of machine hours. Expected machine hours for the coming year are 50,000. Sanjay has been reading about activity-based costing, and he wonders whether or not it might offer some advantages to his company. He decided that appropriate drivers for overhead activities are purchase orders for purchasing, number of setups for setup cost, engineering hours for engineering cost, and machine hours for other. Budgeted amounts for these drivers are 5,000 purchase orders, 500 setups, and 2,500 engineering hours. Sanjay has been asked to prepare bids for two jobs with the following information: The typical bid price includes a 40 percent markup over full manufacturing cost. Required: 1. Calculate a plantwide rate for Firenza Company based on machine hours. What is the bid price of each job using this rate? 2. Calculate activity rates for the four overhead activities. What is the bid price of each job using these rates? 3. Which bids are more accurate? Why?
- A company is considering a special order for 1,000 units to be priced at 8.90 (the normal price would be 11.50). The order would require specialized materials costing 4.00 per unit. Direct labor and variable factory overhead would cost 2.15 per unit. Fixed factory overhead is 1.20 per unit. However, the company has excess capacity, and acceptance of the order would not raise total fixed factory overhead. The warehouse, however, would have to add capacity costing 1,300. Which of the following is relevant to the special order? a. 11.50 b. 1.20 c. 7.35 d. 8.90Bumblebee Mobiles manufactures a line of cell phones. The management has identified the following overhead costs and related cost drivers for the coming year. The following were incurred in manufacturing two of their cell phones, Bubble and Burst, during the first quarter. REQUIREMENT Review the worksheet called ABC that follows these requirements. You have been asked to determine the cost of each product using an activity-based cost system. Note that the problem information is already entered into the Data Section of the ABC worksheet.Busy-Bee Baking Company produces a variety of breads. The average price of a loaf of bread is 1. Costs are as follows: Other data: Required: 1. Compute the break-even point in units using conventional analysis. 2. Compute the break-even point in units using activity-based analysis. 3. Suppose that Busy-Bee could reduce the setup cost by 100 per setup and could reduce the number of maintenance hours needed to 1,000. How many units must be sold to break even in this case? (Round answer up to whole units.)
- Identify cost graphs The following cost graphs illustrate various types of cost behavior: For each of the following costs, identify the cost graph that best illustrates its cost behavior as the number of units produced increases: A. Total direct materials cost B. Electricity costs of 1,000 per month plus 0.10 per kilowatt-hour C. Per-unit cost of straight-line depreciation on factory equipment D. Salary of quality control supervisor, 20,000 per month E. Per-unit direct labor costHatch Manufacturing produces multiple machine parts. The theoretical cycle time for one of its products is 65 minutes per unit. The budgeted conversion costs for the manufacturing cell dedicated to the product are 12,960,000 per year. The total labor minutes available are 1,440,000. During the year, the cell was able to produce 0.6 units of the product per hour. Suppose also that production incentives exist to minimize unit product costs. Required: 1. Compute the theoretical conversion cost per unit. 2. Compute the applied conversion cost per minute (the amount of conversion cost actually assigned to the product). 3. Discuss how this approach to assigning conversion cost can improve delivery time performance. Explain how conversion cost acts as a performance driver for on-time deliveries.Patz Company produces two types of machine parts: Part A and Part B, with unit contribution margins of 300 and 600, respectively. Assume initially that Patz can sell all that is produced of either component. Part A requires two hours of assembly, and B requires five hours of assembly. The firm has 300 assembly hours per week. Required: 1. Express the objective of maximizing the total contribution margin subject to the assembly-hour constraint. 2. Identify the optimal amount that should be produced of each machine part and the total contribution margin associated with this mix. 3. What if market conditions are such that Patz can sell at most 75 units of Part A and 60 units of Part B? Express the objective function with its associated constraints for this case and identify the optimal mix and its associated total contribution margin.
- The controller for Muir Companys Salem plant is analyzing overhead in order to determine appropriate drivers for use in flexible budgeting. She decided to concentrate on the past 12 months since that time period was one in which there was little important change in technology, product lines, and so on. Data on overhead costs, number of machine hours, number of setups, and number of purchase orders are in the following table. Required: 1. Calculate an overhead rate based on machine hours using the total overhead cost and total machine hours. (Round the overhead rate to the nearest cent and predicted overhead to the nearest dollar.) Use this rate to predict overhead for each of the 12 months. 2. Run a regression equation using only machine hours as the independent variable. Prepare a flexible budget for overhead for the 12 months using the results of this regression equation. (Round the intercept and x-coefficient to the nearest cent and predicted overhead to the nearest dollar.) Is this flexible budget better than the budget in Requirement 1? Why or why not?Assume that at the beginning of 20x2, Cicleta trained the 2 assembly workers in a new approach that had the objective of increasing the efficiency of the assembly process. Cicleta also began moving toward a JIT purchasing and manufacturing system. When JIT is fully implemented, the demand for expediting is expected to be virtually eliminated. It is expected to take two to three years for full implementation. Assume that receiving cost is a step-fixed cost with steps of 1,500 orders. The other three activities employ resources that are acquired as used and needed. At the end of 20x2, the following results were reported for the four activities: Required: 1. Prepare a trend report that shows the non-value-added costs for each activity for 20x1 and 20x2 and the change in costs for the two periods. Discuss the reports implications. 2. Explain the role of activity reduction for receiving and for expediting. What is the expected value of SQ for each activity after JIT is fully implemented? 3. What if at the end of 20x2, the selling price of a competing product is reduced by 27 per unit? Assume that the firm produces and sells 20,000 units of its product and that its product is associated only with the four activities being considered. By virtue of the waste-reduction savings, can the competitors price reduction be matched without reducing the unit profit margin of the product that prevailed at the beginning of the year? If not, how much more waste reduction is needed to achieve this outcome? In this case, what price decision would you recommend?Advent Software uses standards to manage the cost of the programming staff. There are two programmer levels, Level 1 and Level 2. Level 1 programmers normally work on the easier projects. Level 1 and Level 2 programmers are paid 25 and 35 per hour, respectively. It has been determined from experience that Level 2 programmers can complete 50 lines of code per hour. If a Level 1 programmer is assigned to a Level 2 task, the programming work will be slower than the Level 2 time standard, but will be accomplished at a lower labor rate. During a recent week, a Level 2 project was assigned to a Level 1 programmer. The programmer worked 40 hours and completed 1,400 lines of code. a. Determine the direct labor time variance for this worker. b. Determine the direct labor rate variance for this worker. c. Using the information in (a) and (b), is it more cost effective to use a Level 1 worker or a Level 2 worker on a Level 2 project?