Category: Accounting

Boswell Company manufactures two products, Regular and Supreme. Boswell’s overhead costs consist of machining, $3,000,000; and assembling, $1,500,000. Information on the two products is: Regular Supreme Direct labor hours 10,000 15,000 Machine hours 10,000 30,000 Number of parts 90,000 160,000 Overhead applied to Supreme using activity-based costing is

Managerial Accounting

Average Rating 0 out of 5 stars. 0 votes.You must log in to submit a review.“Boswell Company manufactures two products,[…]

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“Peters, Inc. produces 3 products: P1, Q2, and R3. P1 requires 400 purchase orders, Q2 requires 600 purchase orders, and R3 requires 1,000 purchase orders. Peters has identified an ordering and receiving activity cost pool with allocated overhead of $240,000 for which the cost driver is purchase orders. Direct labor hours used on each product are 50,000 for P1, 40,000 for Q2, and 110,000 for R3. How much ordering and receiving overhead is assigned to each product?”,”$48,000 $72,000 $120

Managerial Accounting

Average Rating 0 out of 5 stars. 0 votes.You must log in to submit a review.“Peters, Inc. produces 3 products:[…]

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“For Eckstein Company, the predetermined overhead rate is 130% of direct labor cost. During the month, Eckstein incurred $100,000 of factory labor costs, of which $85,000 is direct labor and $15,000 is indirect labor. Actual overhead incurred was $115,000.”,”Compute the amount of manufacturing overhead applied during the month.110

Managerial Accounting

Average Rating 0 out of 5 stars. 0 votes.You must log in to submit a review.“For Eckstein Company, the predetermined[…]

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“Windsor Co. incurs $1,050,000 of overhead costs each year in its three main departments, machining ($600,000), inspections ($300,000) and packing ($150,000). The machining department works 4,000 hours per year, there are 600 inspections per year, and the packing department packs 1,000 orders per year. Information about Windsor’s two products is as follows: Product X Product Y Machining hours 1,000 3,000 Inspections 100 500 Orders packed 350 650 Direct labor hours 1,700 1,800 If traditional costing based on direct labor hours is used, how much overhead is assigned to Product X this year?”,”$510

Managerial Accounting

Average Rating 0 out of 5 stars. 0 votes.You must log in to submit a review.“Windsor Co. incurs $1,050,000 of[…]

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“Windsor Co. incurs $1,050,000 of overhead costs each year in its three main departments, machining ($600,000), inspections ($300,000) and packing ($150,000). The machining department works 4,000 hours per year, there are 600 inspections per year, and the packing department packs 1,000 orders per year. Information about Windsor’s two products is as follows: Product X Product Y Machining hours 1,000 3,000 Inspections 100 500 Orders packed 350 650 Direct labor hours 1,700 1,800 Using ABC, how much overhead is assigned to Product X this year?”,”$252

Managerial Accounting

Average Rating 0 out of 5 stars. 0 votes.You must log in to submit a review.“Windsor Co. incurs $1,050,000 of[…]

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