SURVEY OF ACCOUNTING 360DAY CONNECT CAR
5th Edition
ISBN: 9781260591811
Author: Edmonds
Publisher: MCG
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Chapter 11, Problem 3E
To determine
Total fixed cost per unit of production
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Q1) A company has the following accounts’ balances at the end of the year:
Building (Net) 20 year life left $ 4,000,000. The replacement cost for the Building is 4,500,000 USD.
Inventory 40,000 unit at $20 each with a replacement cost $22. And cost of goods sold of $500,000 with a replacement cost of 520,000.
Required:
Indicate how the above information would affect the financial statements of the company when adopting the current cost accounting model. You need to determine the realized and unrealized profit.
5)
A production company with an annual normal production capacity of 4,800 units/year calculates its costs according to the normal cost method. The enterprise has actually produced 300 units/month in April 2021. The production costs of the enterprise for the period of April 2021 were realized as follows, according to the full cost method.Direct Raw Material and Material Expenses(D) 3.000.-₺Direct Labor Costs(D) 2.700.-₺General Production Expenses(D) 2.400.-₺General Production Expenses (S) 2.000.-₺Required: Business:a) Calculate the “Unit Cost of Goods Produced” for the period of April 2021.b) If the "Actual Production Amount" for the period of April 2021 was 340 units/month (assuming that other data remain constant and unchanged), calculate the "Unit Cost of Goods Produced".
A. a) 32.88.-₺/br ; b) 32.00.-₺/brB. a) 33,66.-₺/br ; b) 29,70.-₺/brC. a) 32.00.-₺/br ; b) 32.00.-₺/brD. a) 32.00.-₺/br ; b) 32.88.-₺/brE. a) 32.00.-₺/br ; b) 28,82.-₺/brF. a) 27,41.-₺/br ; b) 24,24.-₺/br
Question 6 [Estimating Working Capital Requirement Using Operating Cycle Method]
X Ltd Co. wants to know working capital by operating cycle methods when : Estimated Sales 20,000 units @ $5 P.U.
Production and Sales will remain similar throughout the year. Production costs: M – 2.5 P.U., Labour 1.00 P.U. Overheads $17.500.
Customers are given 60 days credit and 50 days credit from suppliers. 40 days supply of raw materials and 15 days supply of finished goods are kept in store.
Production cycle is 15 days. All materials are issued at the commencement of each production cycle. 1/4 on an Average of working capital is kept as cash balance for contingencies
Chapter 11 Solutions
SURVEY OF ACCOUNTING 360DAY CONNECT CAR
Ch. 11 - 1.Define fixed cost and variable cost and give an...Ch. 11 - Prob. 2QCh. 11 - 3.Define the term operating leverage and explain...Ch. 11 - Prob. 4QCh. 11 - Prob. 5QCh. 11 - 6.If volume is increasing, would a company benefit...Ch. 11 - Explain the risk and rewards to a company that...Ch. 11 - 9.Are companies with predominately fixed cost...Ch. 11 - 10.How is the relevant range of activity related...Ch. 11 - Which cost structure has the greater risk?...
Ch. 11 - 14.The president of Bright Corporation tells you...Ch. 11 - Prob. 12QCh. 11 - Prob. 13QCh. 11 - Prob. 14QCh. 11 - Prob. 15QCh. 11 - Prob. 16QCh. 11 - Prob. 17QCh. 11 - Prob. 1ECh. 11 - Prob. 2ECh. 11 - Prob. 3ECh. 11 - Exercise 2-4A Determining total variable cost The...Ch. 11 - Prob. 5ECh. 11 - Prob. 6ECh. 11 - Prob. 7ECh. 11 - Prob. 8ECh. 11 - Prob. 9ECh. 11 - Prob. 10ECh. 11 - Prob. 11ECh. 11 - Prob. 12ECh. 11 - Prepare an income statement using the contribution...Ch. 11 - Prob. 14ECh. 11 - Prob. 15ECh. 11 - Prob. 16ECh. 11 - Prob. 17ECh. 11 - Prob. 18ECh. 11 - Prob. 19ECh. 11 - Prob. 20ECh. 11 - Prob. 21PCh. 11 - Prob. 22PCh. 11 - Problem 2-19A Context-sensitive nature of cost...Ch. 11 - Prob. 24PCh. 11 - Prob. 25PCh. 11 - Prob. 26PCh. 11 - Prob. 27PCh. 11 - Prob. 28PCh. 11 - Prob. 29PCh. 11 - Prob. 1ATCCh. 11 - Prob. 2ATCCh. 11 - Prob. 3ATCCh. 11 - Prob. 4ATCCh. 11 - Prob. 5ATC
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