The scenario with details is attached (please show calculations):1. Calculate the raw material & factory supplies used by Shades of the Caribbean 2. What is the total manufacturing overhead cost incurred by Shades of the Caribbean during theperiod?3. )Determine the prime cost & conversion cost of the product manufactured. Part 1Shades of the Caribbean design and manufacture sun-glasses for the tourism sector. The accountingrecords of the business reflect the following data at June 30, 2018:Inventory1/7/2017 30/6/2018Raw Materials $230,000 $260,000Factory Supplies$35,000 $24,000Work in Progress $358,000 $213,000Finished Goods $975,400 $585,000Other information:Sales RevenueFactory Supplies PurchasedDirect Factory LaborRaw Materials PurchasedPlant janitorial serviceDepreciation: Plant & EquipmentTotal Utilities 1Production Supervisor's SalaryHiring of Specialized Manufacturing EquipmentInsurance on Plant & EquipmentDelivery Vehicle Drivers' WagesDepreciation: Delivery VehicleProperty Taxes ²Administrative Wages & SalariesAdvertising Expenses$5,675,00064,000792,000560,00037,000186,000481,250450,00068,000112,000189,00053,850240,000850,7501% of Sales Revenue1 Of the total utilities, 80% relates to manufacturing and 20% relates to general and administrative costs.2 The property taxes should be shared: 75% manufacturing & 25% general & administrative costs

The costs incurred can be classified as direct cost and indirect costs. The prime cost comprises of…

The scenario with details is attached (please show calculations): 1. Calculate the raw material & factory supplies used by Shades of the Caribbean 2. What is the total manufacturing overhead cost incurred by Shades of the Caribbean during the period? 3. )Determine the prime cost & conversion cost of the product manufactured.

The scenario with details is attached (please show calculations): 1. Calculate the raw material & factory supplies used by Shades of the Caribbean 2. What is the total manufacturing overhead cost incurred by Shades of the Caribbean during the period? 3. )Determine the prime cost & conversion cost of the product manufactured.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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