User Account

All Pages

Calculate the total cost of direct material

Assignment Help Managerial Accounting
Reference no: EM132500331

Goodson Corporation assembles various components used in the telecommunications industry. The company's major product, a relay switch, is the result of assembling three parts: XY634, AA788, and GU321. The following information relates to activities of April:

  1. Beginning work-in-process inventory: 4,000 units, 75 percent complete as to conversion; cost, $286,000 (direct materials, $220,000; conversion cost, $66,000).
  2. Production started: 25,000 units.
  3. Production completed: 24,000 units.
  4. Ending work-in-process inventory: 5,000 units, 40 percent complete as to conversion.
  5. Direct materials used: XY634, $267,000; AA788, $689,000; GU321, $448,000.
  6. Hourly wage of direct laborers, $20; total direct-labor payroll, $126,500.
  7. Overhead application rate: $60 per direct-labor hour.

All parts are introduced at the beginning of Goodson's manufacturing process; conversion cost is incurred uniformly throughout production.

Required:

Question 1. Calculate the total cost of direct material and conversion during April.

Question 2. Determine the cost of goods completed during the month

Question 3. Determine the cost of the work-in-process inventory on April 30.

Question 4. With regard to the ending work-in-process inventory:

a. How much direct-material cost would be added to these units in May?

b. What percentage of conversion would be performed on these units in May?

Question 5. Assume that the relay switch required the addition of another part (HH887) at the 70 percent stage of completion. How many equivalent units with respect to part HH887 would be represented in April's ending work-in-process inventory?

Reference no: EM132500331

Questions Cloud

How might you measure the iv : How might you measure the IV? How might you measure the DV? For each, provide a precise operationalization and its associated level of measurement.
Market equilibrium price and quantity : Consider the market for honey, which is in perfect competition. It costs $5 to make each jar of honey. The demand for honey is given by
Prepare contribution format income statements for may : Compute the break-even point in dollar sales for April. Prepare contribution format income statements for April. Prepare contribution format income statements
Describe the economic rise of europe : Describe the economic rise of Europe and its impact on the Americas and Africa. Regarding the English financial revolution: describe the creation of debt money.
Calculate the total cost of direct material : How many equivalent units with respect to part HH887 would be represented in April's ending work-in-process inventory? Calculate total cost of direct material.
Discuss the welfare effects of government intervention : Discuss the welfare effects of government intervention in the form of legislation that sets the minimum wage rate above equilibrium wage rate.
Compute the cash received from the sale of the equipment : Compute the cash received from the sale of the equipment. Ford Company reports depreciation expense of $47,000 for Year 2. Also, equipment costing $162,000
Surrounding economic development : Why might a profitable motel shut down in the long run if the land on which it is located becomes extremely valuable due to surrounding economic development
How would a low-cost price leader enforce its leadership : How would a low-cost price leader enforce its leadership through implied threats to a rival? How does a firm become a "low cost" price leader?

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Determining the problem of cash conversion cycle

Calculate Coffee Mill's Cash Conversion Cycle. If Coffee Mill were to shorten its inventory conversion period by 10 days, what effect would this have on the Cash Conversion Cycle? What effect (in dollars) would (b) have on Coffee Mill's total worki..

  Steve morgan controller for newton industries was reviewing

steve morgan controller for newton industries was reviewing production cost reports for the year. one amount in these

  Calculate the diluted eps for 20x1

Calculate the diluted EPS for 20X1 and calculate the diluted EPS assuming that the convertible preference shares were receiving a dividend of £6 per share instead of £2.50.

  Badger corporation declared a stock dividend

Badger Corporation declared a stock dividend to all shareholders of record on March 25 of this year. Shareholders will receive one share of Badger stock for each ten shares of stock they already own.

  What is cash payback period for project xr8

Roger Industries is considering two capital investment proposals. Estimates regarding each project are provided below.

  Distinguish among a cost center and a profit center

Distinguish among a cost center, a profit center, and an investment center. Provide an example of each for a multi-hospital corporation.

  Determine the unit product cost for tablets

Determine the unit product cost for Tablets using the traditional costing system - determine the unit product cost for Tablets using the activity-based costing system.

  Determine the cost of preparing one batch of 100 pieces

Unit- and Batch-Level Cost Drivers. How much will the batch costs increase if the government raises the minimum wage to $10 per hour?

  Calculate the missing amounts for each of the following firm

Understanding CVP relationships. Calculate the missing amounts for each of the following firms:

  Formulate a linear program to determine the expected mix

Formulate a linear program to determine the expected mix of conference rooms to ensure the maximum profit for Raymond Co. Show all supporting calculations and derive the optimum solution using a computer package.

  Calculate charleston current contribution margin per unit

Charleston Ltd. manufactures school desks. The company's forecasted income statement for the year, before any special orders, is as follows:

  Determine the amount of net income

Determine the amount of net income that Rhea and Sellevaeg would receive under each of the independent assumptions

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd