The Silver Center (TSC) produces cups and platters. TSC purchases silver and other metals that are processed into silver alloy that is used to make platters and cups. TSC incurred $54,000 of materials cost and $58,000 of labor cost to produce the silver alloy. Platters are made first and the residual alloy is remixed into a lower grade silver plated material that is used to make the cups. Remixing costs amount to $5,500. The recent batch contained 11,000 platters and 4,500 cups. TSC sold the platters for $170,000 and the cups for $26,000. If relative market value is used to allocate the joint cost, what is the income earned for cups? Note: Round intermediate calculation to 2 decimal places. Multiple Choice $(5,680). $73,100. $5,680. $5,500.
Q: Mulberry Street Sportswear as they appear on the adjusted trial balance as of December 31.…
A: The Multistep income statement categories the different expenses uder different heads. The gross…
Q: Compute the following if the corporation avails of the 40% Optional Standard Deduction: 1. Taxable…
A: It has been given in the question that IYA, Incorporation is a domestic corporation and it has been…
Q: Bridgeport Company's reported 2023 net income of $118,200 was based on sales of $578,000, cost of…
A: The cash flows transactions from operating activities are the day to day transactions of the…
Q: 13. The following information are taken from the actuarial valuation report for an entity's defined…
A: The defined benefit pension plan is a kind of pension plan and the main advantage of this plan is…
Q: Harold McWilliams owns and manages a general merchandise store in a rural area of Virginia. Harold…
A: A breakeven point is the production level at which total production revenue equals total production…
Q: Multiple choice question. total fixed manufacturing overhead cost total manufacturing overhead…
A: The total manufacturing costs of the product or job include variable and fixed cost. The variable…
Q: Wee Care is a nursery school for pre-kindergarten children. The school has determined that the…
A: The average cost per student will be the resultant value when the total costs associated with…
Q: units during November. The following production activity in both units and costs refers to the…
A: Using FIFO method, the cost of units completed include the cost of beginning WIP, Cost of completing…
Q: If a commercial real estate asset had produced an annual cash flow of $325,000 in Year 1 and…
A: Calculation of changes in the value at the end of year 2. Working notes:- Formula used: Value of…
Q: hy would a company use multiple overhead ersus a single plantwide rate? Check all that apply) It…
A: The different ways of allocation of overhead to the production are single overhead rate and multiple…
Q: Jul. 6 Jul. 9 Jul. 12 Jul. 15 Jul. 20 Jul. 31 Jul. 31 Stanley contributed $50,000 in the business by…
A: Accounting equation shows the each transaction or event in equation form by showing that assets are…
Q: wed to Diamond Inc. in full. ndosin sa 62 to ne isprsbf 01 blo2 ins): (iskon) 100.02 Expenses.…
A: Journal Entry :— It is an act of recording transaction in books of account when transaction…
Q: Required information [The following information applies to the questions displayed below.] Mustafa,…
A:
Q: Missing Amounts from Balance Sheet and Income Statement Data One item is omitted in each of the…
A: The accounting equation is written as assets equal to sum of liabilities and equity. The equity…
Q: Required information Problem 15-3A (Algo) Debt investments in available-for-sale securities;…
A: A debt or equity security that is available for sale is one that is bought with the intention of…
Q: Wildhorse, Inc. had outstanding $6,180,000 of 12% bonds (interest payable July 31 and January 31)…
A: Bonds seem to be a sort of debt that is normally for a lengthy period of time and is offered by…
Q: Best Bicycles manufactures three different types of bikes: the Tiny Tike, the Adult Aero, and the…
A: Process capacity refers to the technique which states the operators or machines capabilities in the…
Q: What is a job order cost system? Describe a situation in which you would use job order cost…
A: Methods of product costing - are used to ascertain or assign a cost to the product or services…
Q: (QuickBooks Online) A client messaged you saying that there might be something wrong with the bank…
A: Incorrect options:- Option B: This is an incorrect option as this button is used to resolve issues…
Q: Assume that IBM leased equipment that was carried at a cost of $96,000 to Blossom Company. The term…
A: Journal Entry :- The act of logging any transaction, whether or not it is an economic one, is known…
Q: QID 396. How many years would it take an investment of $25,000 to double at 5% annual interest?…
A:
Q: For the movement of the INVEST commodity from 01.01.20X1 to 31.12.20X1 you are given the following…
A: Answer is as fallows below: Calculation of Cost of Sales, Gross Profit , Sales & Ending…
Q: Explain the relationship between the following international bodies: IASB, IASC Foundation, SAC and…
A: The International Accounting Standards Board (IASB) is the international body responsible for…
Q: Emily Moore is a licensed dentist. During the first month of opera Apr. 1 Invested $18,000 cash in…
A: When a business enters into a transaction, it records the event in the form on journal entry in the…
Q: Assets Liabilities Stock Year One $50,000 $25,000 $10,000 $15,000 Retained Earnings Suppose in year…
A: The accounting equation states that assets equals to sum of liabilities and shareholders equity. The…
Q: Required: 1. Prepare a cash budget for the 3-month period, July through September. Also add one…
A: Cash Budget for 3 months Particulars July August September Opening balance (A) 60000 53000 50000…
Q: A food manufacturing company intends to make a new product. However, its present facilities are…
A: Net present value is calculates by subtracting present value of cash outflows from present value of…
Q: 12.9A (LO 6) AP On December 31, the capital balances and profit and loss ratios in FJA Company are…
A: The partnership comes into existence when two or more persons agree to do the business and further…
Q: You have recently been appointed as the cost accountant for Carla Vista Hair Co. Ltd., a…
A: Answer: In the above question part a requirement is not given Properly: I have answered only for…
Q: The following data from the just completed year are taken from the accounting records of Mason…
A: Cost of goods manufactured is the total production cost of a company during a specific period of…
Q: Journalizing and posting closing entries is a required step in the accounting cycle. Discuss why it…
A: Accounting Process The method that allows a company to recognize their business transactions in the…
Q: The following is a December 31, 2024, post-closing trial balance for Almway Corporation. Debits $…
A: Balance sheet is prepared by the business entities so that the investors and other stakeholders…
Q: Indicate the effects of the following business transactions on the accounting Use the following…
A: The accounting equation states that the transactions of the business effect the two or more accounts…
Q: Eric Lafleur makes billiard balls in his New Brunswick plant. With recent increases in his costs, he…
A: Formula : Productivity = Output / Input Change in Productivity (%) = [(New productivity - Old…
Q: Discuss state and local governments financial statements and what are the potentials changes to…
A: The financial statement is prepared for showing the results of the business and non-business…
Q: Big City Bank processes the checks its customers write at Riverdale Operations Center (ROC). ROC…
A: Lets understand the basics. Banks need to calculate cost per process in order to understand the cost…
Q: Income Statement Pietro Frozen Foods, Inc., produces frozen pizzas. For next year, Pietro predicts…
A: Total Manufacturing Cost = Direct Material + Direct Labour + Factory Overheads Cost of Goods…
Q: Exercise no. 2 During the first part of the current year, Luzon Inc. begins a branch operation in…
A: ANSWER: Please fallow the answer below: All business transactions are recorded in journal entries.…
Q: Howell Petroleum, Incorporated, is trying to evaluate a generation project with the following cash…
A: •Calculation of NPV: = Present value of cash inflow - Present value of cash outflow = 36,990,000…
Q: Mark’s Consulting experienced the following transactions for Year 1, its first year of operations,…
A: Statement of cash flow: It implies to one of the financial statements of the company that shows all…
Q: Janes Company provided the following information on intangible assets: A patent was purchased from…
A: Intangible assets are defined as assets that cannot be physically seen or touched. These assets…
Q: Discuss the following profitability ratios: Profit Margin, ROA-Return on Assets, ROI-Return on…
A: Answer: Please fallow the answers below: Here let us know about the profitability ratios:…
Q: These items are taken from financial statements of Beaulieu Limited for the year ended December 31,…
A: Working Note : Profit after Tax = Profit before tax - Tax expenses
Q: Activity based costing is likely a more advantageous costing methold versus traditonal costing, to…
A: The costing uses different method in order to consider all the cost that are involve the…
Q: Compute the total ble predetermined overhead rates The job cost sheet records which of the…
A: The direct costs of production are direct materials, direct labor, etc. The indirect costs are…
Q: Ravine Corporation purchased 40 percent ownership of Valley Industries for $115,600 on January 1,…
A:
Q: Trumball Catering served 5,000 meals last month. Trumball recorded the following costs with those…
A: Total variable costs includes the cost of ingredients used, direct labor, indirect material and…
Q: I need help in calculating the answers for c and d. The answers for a and b already done. I have…
A: Answer: Please fallow the ANSWER below: In the above given question they have asked only part c…
Q: Sandy and Dave formed a law partnership, agreeing to split the income 50:50. The partnership had net…
A: Answer Given that profit sharing ratio of sandy and Dave is 50 : 50 ( equal share ) During the year…
Q: Maritime Corp. is a junior mining company listed on the TSX. The common share price of Maritime…
A: Journal entry: - Entries recorded in the journal book are known as journal entries. Journal is the…
Sh28
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
- Otero Fibers, Inc., specializes in the manufacture of synthetic fibers that the company uses in many products such as blankets, coats, and uniforms for police and firefighters. Otero has been in business since 1985 and has been profitable every year since 1993. The company uses a standard cost system and applies overhead on the basis of direct labor hours. Otero has recently received a request to bid on the manufacture of 800,000 blankets scheduled for delivery to several military bases. The bid must be stated at full cost per unit plus a return on full cost of no more than 10 percent after income taxes. Full cost has been defined as including all variable costs of manufacturing the product, a reasonable amount of fixed overhead, and reasonable incremental administrative costs associated with the manufacture and sale of the product. The contractor has indicated that bids in excess of 30 per blanket are not likely to be considered. In order to prepare the bid for the 800,000 blankets, Andrea Lightner, cost accountant, has gathered the following information about the costs associated with the production of the blankets. Direct machine costs consist of items such as special lubricants, replacement of needles used in stitching, and maintenance costs. These costs are not included in the normal overhead rates. Otero recently developed a new blanket fiber at a cost of 750,000. In an effort to recover this cost, Otero has instituted a policy of adding a 0.50 fee to the cost of each blanket using the new fiber. To date, the company has recovered 125,000. Lightner knows that this fee does not fit within the definition of full cost, as it is not a cost of manufacturing the product. Required: 1. Calculate the minimum price per blanket that Otero Fibers could bid without reducing the companys operating income. 2. Using the full-cost criteria and the maximum allowable return specified, calculate Otero Fibers bid price per blanket. 3. Without prejudice to your answer to Requirement 2, assume that the price per blanket that Otero Fibers calculated using the cost-plus criteria specified is greater than the maximum bid of 30 per blanket allowed. Discuss the factors that Otero Fibers should consider before deciding whether or not to submit a bid at the maximum acceptable price of 30 per blanket. (CMA adapted)Taylor Company produces two industrial cleansers that use the same liquid chemical input: Pocolimpio and Maslimpio. Pocolimpio uses two quarts of the chemical for every unit produced, and Maslimpio uses five quarts. Currently, Taylor has 6,000 quarts of the material in inventory. All of the material is imported. For the coming year, Taylor plans to import 6,000 quarts to produce 1,000 units of Pocolimpio and 2,000 units of Maslimpio. The detail of each products unit contribution margin is as follows: Taylor Company has received word that the source of the material has been shut down by embargo. Consequently, the company will not be able to import the 6,000 quarts it planned to use in the coming years production. There is no other source of the material. Required: 1. Compute the total contribution margin that the company would earn if it could import the 6,000 quarts of the material. 2. Determine the optimal usage of the companys inventory of 6,000 quarts of the material. Compute the total contribution margin for the product mix that you recommend. 3. Assume that Pocolimpio uses three direct labor hours for every unit produced and that Maslimpio uses two hours. A total of 6,000 direct labor hours is available for the coming year. a. Formulate the linear programming problem faced by Taylor Company. To do so, you must derive mathematical expressions for the objective function and for the materials and labor constraints. b. Solve the linear programming problem using the graphical approach. c. Compute the total contribution margin produced by the optimal mix.Blakes Blacksmith Co. produces two types of shotguns, a 12-gauge and 20-gauge. The shotguns are made through a joint production process that ultimately produces 30 12-gauge shotguns and 20 20-gauge shotguns and costs a total of 4,000 per batch. After the split-off point, each type of shotgun goes through an additional crafting process before it is sold. The additional production process of the 12-gauge shotgun costs 30 per gun, after which it is sold for 180 per gun. The additional production process of the 20-gauge shotgun costs 25 per gun, after which it is sold for 150 per gun. Determine the amount of joint production costs allocated to each type of shotgun using the physical units method.
- Tucariz Company processes Duo into two joint products, Big and Mini. Duo is purchased in 1,000-gallon drums for 2.000. Processing costs are 3,000 to process the 1,000 gallons of Duointo 800 gallons of Big and 200 gallons of Mini. The selling price is 9 per gallon for Big and4 per gallon for Mini. If the physical units method is used to allocate joint costs to the finalproducts, the total cost allocated to produce Mini is: a. 500. b. 4,000. c. 1,000. d. 4,500.The Silver Center (TSC) produces cups and platters. TSC purchases silver and other metals that are processed into silver alloy that is used to make platters and cups. TSC incurred $74,000 of materials cost and $78,000 of labor cost to produce the silver alloy. Platters are made first and the residual alloy is remixed into a lower grade silver plated material that is used to make the cups. Remixing cost amount to $10,500. The recent batch contained 21,000 platters and 9,500 cups. TSC sold the platters for $270,000 and the cups for $46,000. 1.Based on this information the total amount of joint cost is what 2.If number of units is used to allocate the joint cost, what is the income earned for platters?The Silver Center (TSC) produces cups and platters. TSC purchases silver and other metals that are processed into silver alloy that is used to make platters and cups. TSC incurred $74,000 of materials cost and $78,000 of labor cost to produce the silver alloy. Platters are made first and the residual alloy is remixed into a lower grade silver plated material that is used to make the cups. Remixing cost amount to $10,500. The recent batch contained 21,000 platters and 9,500 cups. TSC sold the platters for $270,000 and the cups for $46,000. If relative market value is used to allocate the joint cost, what is the income earned for cups? (Round intermediate calculation to 2 decimal places.) Multiple Choice $(13,420). $140,400. $13,420. $10,500. 2.The Silver Center (TSC) produces cups and platters. TSC purchases silver and other metals that are processed into silver alloy that is used to make platters and cups. TSC incurred $74,000 of materials cost…
- The Silver Center (TSC) produces cups and platters. TSC purchases silver and other metals that are processed into silver alloy that is used to make platters and cups. TSC incurred $74,000 of materials cost and $78,000 of labor cost to produce the silver alloy. Platters are made first and the residual alloy is remixed into a lower grade silver plated material that is used to make the cups. Remixing cost amount to $10,500. The recent batch contained 21,000 platters and 9,500 cups. TSC sold the platters for $270,000 and the cups for $46,000. If relative market value is used to allocate the joint cost, what is the income earned for cups? (Round intermediate calculation to 2 decimal places.)The Silver Center (TSC) produces cups and platters. TSC purchases silver and other metals that are processed into silver alloy that is used to make platters and cups. TSC incurred $40,000 of materials cost and $44,000 of labor cost to produce the silver alloy. Platters are made first and the residual alloy is remixed into a lower grade silver plated material that is used to make the cups. Remixing cost amount to $2,000. The recent batch contained 4,000 platters and 1,000 cups. TSC sold the platters for $100,000 and the cups for $12,000. Based on this information the total amount of joint cost is ? Please explain your work $40,000. $44,000. $84,000. $86,000.The Silver Center (TSC) produces cups and platters. TSC purchases silver and other metals that are processed into silver alloy that is used to make platters and cups. TSC incurred $40,000 of materials cost and $44,000 of labor cost to produce the silver alloy. Platters are made first and the residual alloy is remixed into a lower grade silver plated material that is used to make the cups. Remixing cost amount to $2,000. The recent batch contained 4,000 platters and 1,000 cups. TSC sold the platters for $100,000 and the cups for $12,000. If number of units is used to allocate the joint cost, what is the income earned for platters? a)$67,200. b)$32,800. c)$12,000. d)$(4,800).
- Lamont Industries produces chemicals for the swimming pool industry. In one joint process, 10,000 gallons of GSX are processed into 7,000 gallons of xenolite and 3,000 gallons of banolide. The cost of the joint process, including the GSX, is $19,000. The firm allocates $13,300 of the joint cost to the xenoliteand $5,700 of the cost to the banolide. The 3,000 gallons of banolide can be sold at the split-off point for $2,500, or be processed further into a product called kitrocide. The sales value of 3,000 gallons of kitrocide is $10,000, and the additional processing cost is $8,100. Required: Lamont’s president has asked your consulting firm to make a recommendation as to whether the banolide should be sold at the split-off point or processed further. Write a letter providing an analysis and a recommendation.To automate one of its production processes, Milwaukee Corporation bought three flexible manufacturing cells at a price of $400,000 each. When they were delivered, Milwaukee paid freight charges of $30,000 and handling fees of $15,000. Site preparation for these cells cost $50,000. Six employees, each earning $15 an hour, worked five 40-hour weeks to set up and test the manufacturing cells. Special wiring and other materials applicable to the new manufacturing cells cost $2,000. Determine the cost basis (the amount to be capitalized) for these cells.Penagos Corporation is presently making part Z43 that is used in one of its products. A total of 5,000 units of this part are produced and used every year. The company's Accounting Department reports the following costs of producing the part at this level of activity: Per Unit Direct materials $ 1.10 Direct labor $ 3.10 Variable overhead $ 6.90 Supervisor's salary $ 5.80 Depreciation of special equipment $ 5.20 Allocated general overhead $ 5.60 An outside supplier has offered to produce and sell the part to the company for $20.80 each. If this offer is accepted, the supervisor's salary and all of the variable costs, including direct labor, can be avoided. The special equipment used to make the part was purchased many years ago and has no salvage value or other use. The allocated general overhead represents fixed costs of the entire company. If the outside supplier's offer were accepted, only $4,000 of these allocated general overhead costs would be avoided. In…