Question 16 /1 View Policies Current Attempt in Progress If the required direct materials purchases are 32000 pounds, the direct materials required for production is three times the direct materials purchases, and the beginning direct materials are three and a half times the direct materials purchases, what are the desired ending direct materials in pounds? oport 48000 O 32000 O 80000 O 16000 ) hp prt sc delete home % 6 num backspace lock P home K enter pause tn tn USE YOUR SMARTPHONE FOR M I

Question 16 /1 View Policies Current Attempt in Progress If the required direct materials purchases are 32000 pounds, the direct materials required for production is three times the direct materials purchases, and the beginning direct materials are three and a half times the direct materials purchases, what are the desired ending direct materials in pounds? oport 48000 O 32000 O 80000 O 16000 ) hp prt sc delete home % 6 num backspace lock P home K enter pause tn tn USE YOUR SMARTPHONE FOR M I

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter20: Inventory Management: Economic Order Quantity, Jit, And The Theory Of Constraints

Section: Chapter Questions

Problem 5CE: See Cornerstone Exercise 20.4. Fisher Company has three sequential processes: cutting, welding, and...

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Variable costing income statement and contribution margin analysis for a service company The actual and planned data for Underwater University for the Fall term were as follows: Actual Planned Enrollment 4,500 4,125 Tuition per credit hour 120 135 Credit hours 60,450 43,200 Registration, records, and marketing cost per enrolled student 275 275 Instructional costs per credit hour 64 60 Depreciation on classrooms and equipment 825,600 825,600 Registration, records, and marketing costs vary by the number of enrolled .students, while instructional costs vary by the number of credit hours. Depreciation is a fixed cost. A. Prepare a variable costing income statement showing the contribution margin and income from operations for the Fall term. B. Prepare a contribution margin analysis report comparing planned with actual performance for the Fall term.
QUESTION 4 An organisation manufactures a single product. The following information with regard to the raw material needed in the production process is supplied to you: Normal delivery time: 2.5 weeksMaximum delivery time: 3.5 weeksNormal usage: 52 000 units per yearPurchase price per unit: R8.50Cost of placing an order: R18.00Interest rate: 2% per yearStoring cost per unit: R2.50 Required: Calculate the re-order point if the organisation has a policy to keep safety stock. Calculate the safety stock that should be kept by the organisation.
QUESTION 4 An organisation manufactures a single product. The following information with regard to the raw material needed in the production process is supplied to you: Normal delivery time: 2.5 weeksMaximum delivery time: 3.5 weeksNormal usage: 52 000 units per yearPurchase price per unit: R8.50Cost of placing an order: R18.00Interest rate: 2% per yearStoring cost per unit: R2.50 Required: Calculate the EOQ. Calculate the re-order point if the organisation does not keep safety stock.
QUESTION 5 A) A company sells product X & Y Sales for the year ended 2019 are: X: 5000 units @ ¢10 each Y: 3000 units @ ¢12 each The company expects to sell the following units in 2020: X: 6000 units @ ¢15 each Y: 4500 units @ ¢18 each Additional information: i) Budgeted opening stock X: 1000 units Y: 800 units Budgeted closing stock: X: 2000 units Y: 1500 units ii) Materials A and B are used to produce products X and Y based on the following ratio in order to produce one unit of X & Y Product Material A Material B X 3kg 2kg Y 2kg 1kg Purchase price ¢10 per Kg ¢12 per kg iii) Material A Material B Opening stock 8000 5000 Closing stock 6000 3500 (iv) The company has only one grade of labour and uses 3 hours to produce one unit of X 2 hours to produce one unit of Y Labour rate would be ¢20 per hour Required: Prepare the following budgets for 2020 Sales budget Production budget Direct Material usage budget Direct Material purchase budget Direct labour…
QUESTION 6 Eric Clothing Limited’s annual demand for materials X is 50 000 units, and the ordering cost is P10 000 per order and each unit costs P3 000. The estimated cost of holding unit of stock is 15% of the purchase cost.Required:a. Calculate the economic order quantity (EOQ) and; b. Calculate the total annual costs of material X.
eBook Problem 19-01 Management believes it can sell a new product for $7.50. The fixed costs of production are estimated to be $5,500, and the variable costs are $3.50 a unit. Complete the following table at the given levels of output and the relationships between quantity and fixed costs, quantity and variable costs, and quantity and total costs. Round your answers to the nearest dollar. Enter zero if necessary. Use a minus sign to enter losses, if any. Quantity Total Revenue Variable Costs Fixed Costs Total Costs Profits (Losses) 0 $ $ $ $ $ 500 $ $ $ $ $ 1,000 $ $ $ $ $ 1,500 $ $ $ $ $ 2,000 $ $ $ $ $ 2,500 $ $ $ $ $ 3,000 $ $ $ $ $ Determine the break-even level using the above table and use the Exhibit 19.5 to confirm the break-even level of output. Round your answers for the break-even level to the nearest whole number. Round your answers for the fixed costs, variable…
QUESTION 13 According to cost formula Y = $20,000 + $4X, total cost at an activity level of 15,000 units would be: $35,000 $60,000 $20,000 $80,000
Problem 10-09 (Algorithmic) Cress Electronic Products manufactures components used in the automotive industry. Cress purchases parts for use in its manufacturing operation from a variety of different suppliers. One particular supplier provides a part where the assumptions of the EOQ model are realistic. The annual demand is 5,500 units, the ordering cost is $80 per order, and the annual holding cost rate is 22%. If the cost of the part is $16 per unit, what is the economic order quantity? If required, round your answer to the nearest whole number.Q* = fill in the blank 1 Assume 250 days of operation per year. If the lead time for an order is 12 days, what is the reorder point? If required, round your answer up to the nearest whole number.r = fill in the blank 2 If the lead time for the part is five weeks (25 days), what is the reorder point? If required, round your answer up to the nearest whole number.r = fill in the blank 3 What is the reorder point for part (c) if the reorder…
QS 22-17B Determining transfer prices with excess capacity LO C2 The Windshield division of Fast Car Co. makes windshields for use in Fast Car’s Assembly division. The Windshield division incurs variable costs of $200 per windshield and has capacity to make 500,000 windshields per year. The market price is $450 per windshield. The Windshield division incurs total fixed costs of $3,000,000 per year.If the Windshield division has excess capacity, what is the range of possible transfer prices that could be used on transfers between the Windshield and Assembly divisions?
Exercise 22-17 a-d Carla Vista Bucket Co., a manufacturer of rain barrels, had the following data for 2019. Sales 2,960 units Sales price $60 per unit Variable costs $42 per unit Fixed costs $26,640 What is the contribution margin ratio? Contribution margin ratio % LINK TO TEXT LINK TO TEXT LINK TO TEXT What is the break-even point in dollars? Break-even point $ LINK TO TEXT LINK TO TEXT LINK TO TEXT What is the margin of safety in dollars and as a ratio? Margin of safety $ Margin of safety ratio % LINK TO TEXT LINK TO TEXT LINK TO TEXT If the company wishes to increase its total dollar contribution margin by 30% in 2020, by how much will it need to increase its sales if selling price per unit, variable price per…
Question 15 of 20 Moving to another question will save this response. Question 15 The estimated unit costs for a company to produce and sell a product at a level of 12,000 units per month are as follows: Cost Item EstimatedUnit Cost Direct material $ 32 Direct labor 20 Variable manufacturing overhead 15 Fixed manufacturing overhead 6 Variable selling expenses 3 Fixed selling expenses 4 What are the estimated prime costs per unit? $73 $52 $67 $32
Question Content Area Carmen Co. can further process Product J to produce Product D. Product J is currently selling for $20.10 per pound and costs $14.15 per pound to produce. Product D would sell for $44.80 per pound and would require an additional cost of $9.70 per pound to produce. The differential cost of producing Product D is a.$11.64 per pound b.$5.82 per pound c.$9.70 per pound d.$7.76 per pound