Mema Company makes motorcycles. Management wants to estimate overhead costs to plan its operations. A recent trade publication revealed that overhead costs tend to vary with machine hours. To check this, they collected the following data for the past 12 months. (See the picture for the table) Compute for the: 1. If the plant is planning to operate at a level of 200 machine hours next period, what would be the estimated overhead costs?
Q: Colonels uses a traditional cost system and estimates next year's overhead will be $882,000, with…
A: Predetermined overhead rate = Total Overhead costs / Direct labor hours Predetermined overhead rate…
Q: If a table lamp requires 2 hours of fabrication and 1 hour of assembly, the total amount of factory…
A:
Q: Mudhaiby Co. gathered the following information on power costs and factory machine usage for the…
A: High low method: Variable cost per unit = (Highest activity cost - Lowest activity cost) / (Highest…
Q: 2. Al-Bustan Co. gathered the following information on total costs and factory machine usage for the…
A: Mixed Cost are cost which fluctuates with the level of activity but not in exact proportion.For…
Q: Thorn company forecast that total overhead for the current year will be $15,500,000 with 250,000…
A: Overheads are considered as fixed and common expenses that should be allocated to the products based…
Q: Lichtenstein Imports needs to determine the variable utilities rate per machine hour in order to…
A: High low method The fixed and variable elements of a mixed cost can be separated using the high-low…
Q: Dine City, manufactures pressure Cookers. Based on past experience, Dine City has found that its…
A: Total overhead cost incurred = Fixed Cost + Variable Overhead Cost Variable Overhead Cost =…
Q: The management of Casablanca Manufacturing Corporation believes that machine-hours is an appropriate…
A: Variable cost per machine hour = (Highest activity cost - Lowest activity cost) / (Highest activity…
Q: Barkoff Enterprises, which uses the high-low method to analyze cost behavior, has determined that…
A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…
Q: An analysis of a particular cost incurred in a factory revealed that the cost is averages ₱0.40 per…
A: Machine overhead cost = machine hours * overhead cost per machine hour
Q: The controller of ABC Company that produces face masks has requested a quick estimate of the…
A: Estimated manufacturing expenses would be consisted of total fixed and variable costs.
Q: Topeka Plastics Inc. prepared the following factory overhead cost budget for the Trim Department for…
A: Topeka Plastics Inc. Factory Overhead Cost Variance Report-Trim Department For the Month Ended…
Q: Pinnacle Inc. manufactures curtains to client specifications, It has two cost categories that are…
A: Pinnacle Inc Predetermined Overhead rate = ($144261+134360+135978) / 250000 = 165.84% of Direct…
Q: Custom Engines Company has the following estimated costs for the upcoming year: Direct labor costs…
A: The Numerical has covered the concept of predetermined overhead, The Predetermined overhead rate is…
Q: Anu Ghai was a new production analyst at RHI, Inc., a large furniture factory in North Carolina. One…
A: 1. An ABC system reflects the manner in which the products really use a company's resources…
Q: Home Model Deluxe Model Pro Model $ 80 19 20 $ 65 Selling price Dir ect material Dir ect labor ($10…
A: Contribution margin is the difference between the sales price and variable cost of a product. It…
Q: The Thomlin Company forecasts that total overhead for the current year will be $11,132,000 with…
A: Variance is the difference between expected results and actual results. It can be calculated by…
Q: ZS Co. has so far charged actual factory overhead to production. The system has not been proved…
A: Overhead is an expense which is not directly related to the production of the product or service. It…
Q: 2. Al-Bustan Co. gathered the following information on total costs and factory machine usage for the…
A: Under high-low method, the month having highest activity and the month having lowest activity is…
Q: Units Produced Total Cost 1,600 $66,000 1,300 $57,000…
A: High low method - it is a method in which we separate out Fixed cost and the variable cost with the…
Q: The controller for Tender Bird Poultry, Inc. estimates that the company’s fixed overhead is $100,000…
A: Predetermined overhead rate: It is an application of estimated manufacturing overhead cost over…
Q: Dozier Company produced and sold 1,000 units during its first month of operations. It reported the…
A: Since you have posted a question with multiple sub-parts , we will do the first three sub-parts for…
Q: A company estimates that it has $400,000 in variable overhead costs annually and $265,000 in fixed…
A: Here in this question, we are required to calculate the predetermine overhead rate. Predetermine…
Q: Hot'lanta, Inc., which uses the high-low method to analyze cost behavior, has determined that…
A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…
Q: Maxwell Company makes treadmills. The company controller wants to calculate the fixed and variable…
A: Regression table by least square method…
Q: The Thomlin Company forecasts that total overhead for the current year will be $11,778,000 with…
A: Predetermined overhead rate = Estimated overhead/ Estimated total machine hours = $11,778,000 /…
Q: Cogswell Cogs, Inc. estimates its overhead for the upcoming year to be $1,693,500 and will use…
A: ABC (Activity Based Costing) : This is a method of allocating Overheads to the product based on the…
Q: The following information is available regarding the total manufacturing overhead costs of Paymore,…
A: Variable cost per unit=High MOH-Low MOHHigh machine hours-Low machine…
Q: Cozy, Inc., manufactures small and large blankets. It estimates $350,000 in overhead during the…
A: Definition: Predetermined overhead allocation: Manufacturing overhead cost is the pool of all…
Q: The Janesky Company has collected data on the manufacture of 6,071 robot grippers last month. The…
A: The aim of the company will be to increase the profits of the company. The profit of the company can…
Q: Adriana Corporation manufactures football equipment. In planning for next year, the managers want to…
A: a. Calculation of fixed and variable of overhead costs based on machine hours : High low method :…
Q: The Thomlin Company forecasts that total overhead for the current year will be $11,628,000 with…
A: Overhead costs refers to all indirect expenses required to run a business. It helps in determining…
Q: he Thomlin Company forecasts that total overhead for the current year will be $11,385,000 with…
A: Formula: Predetermined overhead rate = Estimated overheads / Estimated labor hours Division of…
Q: Custom Engines Company has the following estimated costs for the upcoming year: Direct labor costs…
A: Introduction Predetermined manufacturing overhead rate: Manufacturing overhead is the predetermined…
Q: The controller for Tender Bird Poultry, Inc., estimates that the company’s fixed overhead is…
A: Predetermined overhead rate = Fixed overhead rate per unit + Variable overhead rate per unit
Q: K Company estimates that overhead costs for the next year will be $3,500,000 for indirect labor and…
A: Planned overhead rate = Total manufacturing overhead / Number of labor hour
Q: National Pottery makes handmade clay pots. The company anticipates $3,187,219 of manufacturing…
A: Overhead costs: These are the indirect costs associated with the production. These costs are…
Q: The Thomlin Company forecasts that total overhead for the current year will be $11,764,000 with…
A: Variance is the difference between the expected value and the actual results. It can be calculated…
Q: 8. 150 4,200 5,475 4,760 4,325 3,975 9. 210 10 180 11 170 12 145
A: Solution: variable cost per machine hour = (Total cost at high level - total cost at lowest level) /…
Q: The company produced 4000 units in July. The production manager was asked to review these costs and…
A: Hi student Since there are multiple questions, we will answer only first question.
Q: Next year, Manny’s Mowing Service expects to use 31,200 direct labor hours and have a total…
A: The predetermined overhead rate is calculated as estimated overhead cost divided by estimated base…
Q: K Company estimates that overhead costs for the next year will be $5,125,000 for indirect labor and…
A: Answer:- Overhead rate meaning:- A cost assigned to the manufacturing of a product or service is…
Q: Hot'lanta, Inc., which uses the high-low method to analyze cost behavior, has determined that…
A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…
Q: The Janesky Company has collected data on the manufacture of 6,473 robot grippers last month. The…
A: Variable cost per unit=Material+Labor+Variable overheadUnits=$142,853+$379,071+$267,4256,473=$121.94
Q: AirQual Test Corporation provides on-site air quality testing services. The company has provided the…
A:
Mema Company makes motorcycles. Management wants to estimate
(See the picture for the table)
Compute for the:
1. If the plant is planning to operate at a level of 200 machine hours next
period, what would be the estimated overhead costs?
Step by step
Solved in 2 steps
- fixed cost=650000.00 variable cost per procedure=20 total procedures for the year=12500 what is the total variable cost?CH11_HW_QA2_LA Required 1: 1-a. Compute the throughput time for each month. 1-b. Compute the manufacturing cycle efficiency (MCE) for each month. 1-c. Compute the delivery cycle time for each month. (Round your answers to 1 decimal place.) Throughput Time Manufacturing Cycle Efficiency (MCE) Delivery Cycle Time Month 1 days % days Month 2 days % days Month 3 days % days Month 4 days % days Required 3: 3-a. (Month 5) Refer to the inspection time, process time, and so forth, given for month 4. Assume that in month 5 the inspection time, process time, and so forth, are the same as for month 4, except that the company is able to completely eliminate the queue time during production using Lean Production. Compute the new throughput time and MCE. 3-b. (Month 6) Refer to the inspection time, process time, and so forth, given for month 4. Assume that in month 6 the inspection time, process time, and so…SCRUMPTIOUS CUPCAKESProfit and loss accountfor the year ended 30 April 20202020£SalesSales 220,000Cost of sales 120,000Gross Profit 100,000ExpensesSalaries 24,000Other Fixed cost 4,800Distribution 3,000Advertising 4,500Rent 13,200AHUtilities 3,600Other Cost 4,00057,100Operating Profit 42,900 SCRUMPTIOUS CUPCAKESBalance Sheetas at 30 April 20202020£Fixed assetsIntangible assets -Tangible assets 35,000Investments -35,000Current assetsStocks 3,000Debtors 10,000Cash at bank and in hand 6,30019,300Written ReportsCreditors: amounts falling duewithin one year (11,300)Net Current Assets 8,000Total assets less currentliabilities 43,000Net Assets 43,000Capital and reservesCalled up share capital 100Profit and loss account 42,900Shareholders' funds 43,000 please calculate the folliwing ratios: Profitability Ratios – Gross Profit Margin, Net Profit Margin and ROCE● Liquidity – Current Test and Acid Test● Gearing● Activity/Performance – Stock Turnover, Debtors’ Collection Period and AssetTurnover…
- Given the NYSE advancing/declining (Num) and volume (Vol) Advancing DecliningDay Num Vol Num Vol1 492 346 2493 35072 2244 2587 714 6803 1940 1725 979 12764 2035 2169 904 10765 743 823 2143 2431 What is the Advance-Decline Volume (AD Volume) for day 4?In applying the high-low method, what is the fixed cost? Month Miles Total Cost January 86000 $182000 February 60000 150000 March 78000 178000 April 92000 200000 $22000 $28000 $56250 $32000Cash 72000 Ending WIP 54000 Beginning WIP 85000 DM used 40000 DL used 61000 Factory overhead 50000 What will be the total manufacturing cost?Required to answer. Single choice.
- 1001. Question 36 In applying the high-low method, data from which months should be used? Month Total Cost May June July Aug Miles 51,000 $119,000 50,000 120,000 70,000 141,000 90,000 195,000 O June and August O June and July O May and June O May and August25. The following information pertains to the production of Beautiful Company for the month of January 2022: SHOWN IN PICTURE a. • P999,750 b.• P970,000 c. • P996,502 d. • P1,005,000Q5b) Contribution statement for Chiyeyeye furniture manufacturing LtdProduct A(ZMW) Product B(ZMW)Sales 1000 500Variable costs 600 300Contribution 400 200Fixed costs 200 200Profit 100 -Calculatei) Break-even point for each productii) Contribution ratio for each productiii) Can you close product B and why? Explain
- Q7. c) Contribution statement for komfwe dry cleaning Ltd Product A(ZMW) Product B(ZMW) Unit budgeted 1000 1000 Sales 1000 500 Variable costs 600 300 Contribution 400 200 Fixed costs 200 200 Profit 100 - Calculate i) Break-even point for each product ii) Contribution ratio for each product iii) Can you close product B and why? Explain. 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.Month Machine Hours OH costs February 1700 P20500 March 2800 22500 April 1000 19950 May 2500 21500 June 3500 23950 July 250 3400 August 1200 19800 Using the High low method and method of least squares, determine the fixed and variable cost per unit. Compute also the variable costs per month using the two methods.