Posted: February 19th, 2022
ACC 601 Managerial Accounting Group Case 1 (100 points)
Instructions:
ACC 601 Managerial Accounting Group Case 1 (100 points)
Instructions:
1. As a group, complete the following activities in good form. Use excel or word only. Provide all supporting calculations to show how you arrived at your numbers
2. Add only the names of group members who participated in the completion of this assignment.
3. Submit only one copy of your completed work via Moodle. Do not send it to me by email.
4. Due: No later than the last day of Module 2. Please note that your professor has the right to change the due date of this assignment.
Part A: Schedules of Cost of Goods Manufactured and Cost of Goods Sold; Income Statement Nish Corporation has provided the following data for the month of April:
Sales ……………………………………….. $220,000
Raw materials purchases …………… $50,000
Direct labor cost ………………………. $23,000
Manufacturing overhead cost …….. $59,000
Selling expense ………………………… $18,000
Administrative expense …………….. $43,000
Inventories: Beginning Ending
Raw materials …….. $26,000 $35,000
Work in process ….. $18,000 $22,000
Finished goods ……. $42,000 $29,000 Required:
a. Prepare a Schedule of Cost of Goods Manufactured in good form for April. b. Prepare an Income Statement in good form for April.
Part B: Application of Job Order Costing Scanlon Company has a job-order costing system and applies manufacturing overhead cost to products
on the basis of machine-hours. The following estimates were used in preparing the
predetermined overhead rate for the most recent year:
Machine-hours …………………………. 95,000
Manufacturing overhead cost …….. $1,710,000
During the most recent year, a severe recession in the company’s industry caused a
buildup of inventory in the company’s warehouses. The company’s cost records revealed
the following actual cost and operating data for the year:
Machine-hours ………………………………………………………………….. 75,000
Manufacturing overhead cost ……………………………………………… $1,687,500
Amount of applied overhead in inventories at year-end:
Work in process ……………………………………………………………… $337,500
Finished goods ……………………………………………………………….. $253,125
Amount of applied overhead in cost of goods sold ……………… $759,375
Required:
a. Compute the company’s predetermined overhead rate for the year and the amount of underapplied or overapplied overhead for the year.
b. Determine the difference between net operating income for the year if the underapplied or overapplied overhead is allocated to the appropriate accounts rather than closed directly to Cost of Goods Sold.
Part C: Process Costing using Weighted Average Timberline Associates uses the weighted-average method in its process costing system. The following
data are for the first processing department for a recent month:
Work in process, beginning:
Units in process ……………………………………………….. 2,400
Percent complete with respect to materials ………….. 75%
Percent complete with respect to conversion ……….. 50%
Costs in the beginning inventory:
Materials cost ………………………………………………….. $8,400
Conversion cost ……………………………………………….. $7,200
Units started into production during the month ……….. 20,800
Units completed and transferred out ……………………… 22,200
Costs added to production during the month:
Materials cost ………………………………………………….. $97,400
Conversion cost ……………………………………………….. $129,600
Work in process, ending:
Units in process ……………………………………………….. 1,000
Percent complete with respect to materials ………….. 80%
Percent complete with respect to conversion ……….. 60%
Required:
a. Determine the equivalent units of production. b. Determine the costs per equivalent unit. c. Determine the cost of ending work in process inventory. d. Determine the cost of the units transferred to the next department.
Part D: Process Costing using First-in-First Out (FIFO)
Crone Corporation uses the FIFO method in its processing costing system. The following data concern
the company’s Assembly Department for the month of October.
Cost in beginning work in process inventory …….. $1,920
Units started and completed this month ……………. 3,130
Materials Conversion
Cost per equivalent unit ………………………………….. $9.50 $20.40
Equivalent units required to complete the units in
beginning work in process inventory …………….. 360 140
Equivalent units in ending work in process
inventory …………………………………………………… 330 264
Required:
Determine the cost of ending work in process inventory and the cost of units transferred out of
the department during October using the FIFO method.
Part E: Activity-Based Costing Welk Manufacturing Corporation has a traditional costing system in which it applies manufacturing
overhead to its products using a predetermined overhead rate based on direct labor-hours
(DLHs). The company has two products, H16Z and P25P, about which it has provided the
following data:
H16Z P25P
Direct materials per unit ……………. $10.20 $50.50
Direct labor per unit …………………. $8.40 $25.20
Direct labor-hours per unit ………… 0.40 1.20
Annual production ……………………. 30,000 10,000
The company’s estimated total manufacturing overhead for the year is $1,464,480 and the
company’s estimated total direct labor-hours for the year is 24,000.
The company is considering using a variation of activity-based costing to determine its
unit product costs for external reports. Data for this proposed activity-based costing
system appear below:
Activities and Activity Measures Estimated Overhead Cost
Supporting direct labor (DLHs) …………….. $ 552,000
Setting up machines (setups) ………………… 132,480
Parts administration (part types) ……………. 780,000
Total ………………………………………………….. $1,464,480
H16Z P25P Total
Supporting direct labor …… 12,000 12,000 24,000
Setting up machines ……….. 864 240 1,104
Parts administration ……….. 600 960 1,560
Required:
a. Determine the manufacturing overhead cost per unit of each of the company’s two products under the traditional costing system.
b. Determine the manufacturing overhead cost per unit of each of the company’s two products under activity-based costing system.
—
Case 1 in ACC 601 Managerial Accounting Group (100 points)
Instructions:
1. Complete the following activities in good form as a group. Only use Excel or Word. Provide all supporting computations to demonstrate how you arrived at your figures.
2. Include just the names of group members who helped complete this assignment.
3. Use Moodle to submit only one copy of your completed work. Please do not send it to me by email.
4. Deadline: The last day of Module 2. Please keep in mind that your professor has the authority to change the deadline for this project.
Part A: Cost of Goods Manufactured and Cost of Goods Sold Schedules; Income Statement Nish Corporation has given the following month-end data.
Order | Check Discount
Sample Homework Assignments & Research Topics
Tags:
best college paper writing services,
best nursing essay,
best nursing paper writing service,
best research paper writing services in usa,
cheap paper writing service
