Question 3 In a coach building factory a group of ten workers work on a group incentive scheme, and wage rate of each worker is the same which is $ 2.50 per hour. The standard output for a month of 25 days, each day being of 8 hours, is 25 new bus bodies. A bonus of $ 200 is paid to the ground for efficiency above 100%. Between 80% and 99% of efficiency, bonus of $ 150 is paid, and below 80% efficiency hourly rate is guaranteed. During the months of Match, April and May 2018, the actual output had been as under: No.of bus bodies March 15 April 22 May 31 Bonus to the group is shared equally by the workers in the group. You are required to calculate total earnings per worker for March, April and May, 2018 and also the effective rate of earnings per hour per worker. Assume all the workers in a group were present for all the working days given as under : March 25 days April 24 days May 26 days

Question 3 In a coach building factory a group of ten workers work on a group incentive scheme, and wage rate of each worker is the same which is $ 2.50 per hour. The standard output for a month of 25 days, each day being of 8 hours, is 25 new bus bodies. A bonus of $ 200 is paid to the ground for efficiency above 100%. Between 80% and 99% of efficiency, bonus of $ 150 is paid, and below 80% efficiency hourly rate is guaranteed. During the months of Match, April and May 2018, the actual output had been as under: No.of bus bodies March 15 April 22 May 31 Bonus to the group is shared equally by the workers in the group. You are required to calculate total earnings per worker for March, April and May, 2018 and also the effective rate of earnings per hour per worker. Assume all the workers in a group were present for all the working days given as under : March 25 days April 24 days May 26 days

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter11: Performance Evaluation And Decentralization

Section: Chapter Questions

Problem 49P: (Appendix 11A) Cycle Time and Velocity, Manufacturing Cycle Efficiency A company like Kicker...

See similar textbooks

Similar questions

(Appendix 11A) Cycle Time and Velocity, Manufacturing Cycle Efficiency A company like Kicker performs warranty repair work on speakers in a manufacturing cell. The typical warranty repair involves taking the defective speaker apart, testing the components, and replacing the defective components. The maximum capacity of the cell is 1,000 repairs per month. There are 500 production hours available per month. Required: 1. Compute the theoretical velocity (per hour) and the theoretical cycle time (minutes per unit repaired). 2. Speaker repair uses 4 minutes of move time, 10 minutes of wait time, and 6 minutes of inspection time. Calculate the MCE. 3. Using the information from Requirement 2, calculate the actual cycle time and the actual velocity for speaker repair.
The Reward One Company manufactures windows. Its manufacturing plant has the capacity to produce 12,000 windows each month. Current production and sales are 10,000 windows per month. The company normally charges $250 per window. Variable costs that vary with number of units produced Direct materials $ 600,000 Direct manufacturing labor 700,000 Variable costs (for setups, materials handling, quality control, and so on) that vary with number of batches, 100 batches × $1,500 per batch 150,000 Fixed manufacturing costs 250,000 Fixed marketing costs 400,000 Total costs $ 2,100,000 Reward One has just received a special one-time-only order for 2,000 windows at $225 per window. Accepting the special order would not affect the company's regular business or its fixed costs. Reward One makes windows for its existing customers in batch sizes of 100 windows (100 batches × 100 windows per batch = 10,000 windows). The special order requires Reward One to make the windows in 25 batches of 80…
PSb 2-9 Calculate Gross Pay Based on an Incentive Plan Calculate gross pay for each of the following four employees of Person Mover Corp. The company offers a regular wage rate of $9.90/hour to all employees. Under an incentive plan in place for all employees, this rate increases for any employee who can meet weekly production goals. The increased rates and corresponding thresholds that must be met are as follows: $7.30/hour for producing at least 550 units $9.70/hour for producing at least 720 units $5.20/hour for producing at least 1,000 units $7.70/hour for producing at least 1,310 units All employees are paid an overtime wage rate that is 1.5 times their respective regular wage rates. 1:wiel jon worked 42 hours and produced 882 units. Gross pay= Gross Pay = $
The Reward One Company manufactures windows. Its manufacturing plant has the capacity to produce 12,000 windows each month. Current production and sales are 10,000 windows per month. The company normally charges $250 per window. Requirement 1. Should Reward One accept this special order? Show your calculations. Begin by completing an analysis, and start by showing the computation of the company's operating income without the special order. Next, calculate operating income with the special order, and then calculate the differences between the two columns. (Complete all input fields. For amounts with no change, make sure to enter "0" in the appropriate cells of the Difference column.) Variable costs that vary with number of units produced Direct materials $600,000 Direct manufacturing labor 700,000 Variable costs (for setups, materials handling, quality control, and so on) that vary with number of batches, 100 batches × $1,500 per batch…
suppose, Wage rate:$25/hr Standard of production: 5 units/hr Work shift: 10 hrs/day Work week: 6 days Overtime policy rate is: 45/hr Let’s say an employee has worked 80 hrs in a week and produced 285 units of a product but 35 units failed (Q.C) Q: What will be his week’s pay check if the firm pays wages and incentives ?
1.1 ) A steel bar manufacturer business can make 15000 bar a week. It is determined that to achieve this production, the company need to spend 90000 pesos weekly for materials, utilities and transportation. The manager also pays a fixed cost of 10000 pesos per week. HOW MUCH per steel bar should they sell to gain a profit of 40% of the total cost?
QUESTION 9 You plan on starting a lawn mowing business by investing $700 of your own money and purchase $500 of equipment. You plan to work 260 hours per month and charge your customers $22 per hour. Your anticipated costs include: Depreciation Advertising Gas Assistant's Wages Miscellaneous Expenses $25.00 per month $26.00 per month $1.20 per hour $8.00 per hour $20.00 per month Calculate your Variable cost per hour on the budgeted contribution margin income statement. 1
Hrs.7 PT corp makes 300 units of A per year. At this level, the cost per unit includes $360 in direct materials, $1,000 in direct labor, $240 in variable overhead, and $900 in fixed overhead. An outside supplier has offered to make all 300 units for $2,100 per unit. If PT accepts this offer, two thirds of the fixed overhead would persist, but would be defrayed by renting out the floor space for $72,000 per year. What is the total fixed costs from the original estimate of production costs per unit? How much of the total fixed costs will persist (including defrayal by renting the space)?
Part 1: Giselle Rodriguez owns Rodriguez Art Studio in Havana, Cuba. It has fixed overhead costs of $3,000 per month. The variable cost is $5 and the price is $20, per person per art lesson. There are typically 500 customers each month. a) Construct a fully labeled break even chart for Rodriguez Art Studio Part 2: Using the following figures from Rodriguez Art Studio's. Figures are: Interest $8,000, Tax $9,200, Cost of Goods Sold $200,000. Net Profit before Interest and tax $100,000. Slaes Revenue $450,000. b) Construct a fully labeled Income Statement for Rodriguez Art Studio as of 31 December 2018. Part 3: Using the following figures from Rodriguez Art Studio's Balance Sheet. Figures are Sales Revenue $91,000, Stock $20,000, Current liabilities $35,000 and Current Assets $110,000. c) Comment on the liquidity position the the Studio. Part 4: Using the following data: - Sales revenue: $10,000 March, $10,000 April, $9,000 May, $11,000 June - Payment from customers is 50% paid in…
PROBLEM: The Norman Company recently adopted an incentive plan. Factory workers are paid P7.50 per unit with a guaranteed minimum wage of P2,000 per week. Following is a report on employee’s productivity for the week ending May 19, 2019. All employees worked the full 40-hour week. WEEKLY SUMMARY Employee's Name Units ProducedCruz R. Cruz 240 J. Briones 286 C. David 275 A. Mendoze 240 F. Rivera 225 R. Tolentino 285 Required: 1.Compute each employee’s gross pay Work in Process Factory Overhead Control Employee’s Name Units Produced Piece Rate Total Pay Guaranteed Wage Difference (FOC) Total Gross Pay R. Cruz…
7. At Aspen Trucking Company, the average driver out of its 200 driver employees travels 1,600 miles per week (50 weeks per year) and it charges customers $2.15 per mile. Aspen provides each driver a $95,000 big rig and pays the driver $0.58 per mile. It estimates that the direct cost, other than the driver, for operating a truck is $0.75 per mile. Jack, the sales manager has been working on several ways to grow the revenue of the business by 10%. Since he has had to turn away business, Jack has now decided that the best way to do that is a combination of adding drivers and equipment along with a price increase of 2.5% next year. He knows that a first time driver will only be 75% productive in his or her first year and it will cost $5,500 to recruit each one. Assuming he can get all needed drivers hired by the first working day of the year, what will Aspen’s first year approximate cash flow be from this growth initiative? Please solve with excel. Group of answer choices a.…
Magnolia Manufacturing makes wing components for large aircraft. Kevin Choi is the production manager, responsible for manufacturing, and Michelle Michaels is the marketing manager. Both managers are paid a flat salary and are eligible for a bonus. The bonus is equal to 1 percent of their base salary for every 10 percent profit that exceeds a target. The maximum bonus is 5 percent of salary. Kevin’s base salary is $180,000 and Michelle’s is $240,000. The target profit for this year is $6 million. Kevin has read about a new manufacturing technique that would increase annual profit by 20 percent. He is unsure whether to employ the new technique this year, wait, or not employ it at all. Using the new technique will not affect the target. Required: a. Suppose that profit without using the technique this year will be $6 million. By how much will Kevin’s and Michelle’s bonus change if Kevin decides to employ the new technique? b. Suppose that profit without using the technique this year…