Compute the unit product costs for the two products using

Assignment Help Accounting Basics
Reference no: EM131002708

Kunkel Company makes two products and uses a conventional costing system in which a single plantwide predetermined overhead rate is computed based on direct labor-hours. Data for the two products for the upcoming year follow:

These products are customized to some degree for specific customers.

 

Mercon  

Wurcon  

  Direct materials cost per unit

$

8.00   

$

6.00   

  Direct labor cost per unit

$

13.00   

$

16.00   

  Direct labor-hours per unit

 

0.40   

 

2.80   

  Number of units produced

 

4,000   

 

8,000   

 

Required:

The company's manufacturing overhead costs for the year are expected to be $720,000. Using the company's conventional costing system, compute the unit product costs for the two products. (Do not round intermediate calculation. Round your final answers to 2 decimal places.)

Unit product cost:    Mercon    Wurcon  

2. Management is considering an activity-based costing system in which half of the overhead would continue to be allocated on the basis of direct labor-hours and half would be allocated on the basis of engineering design time. This time is expected to be distributed as follows during the upcoming year:  

 

Mercon

Wurcon

Total

  Engineering design time (in hours)

2,000

2,000

4,000

 

Compute the unit product costs for the two products using the proposed ABC system. (Do not round intermediate calculation. Round your final answers to 2 decimal places.)

Unit Product Cost:  Mercon    Wurcon 

Reference no: EM131002708

Questions Cloud

Stress and the neuroendocrine response : As you work through this SLP assignment, you will learn more about the flexibility, or plasticity, of the brain. You have learned about how the spinal nerves can deliver messages directly to effector organs from the CNS through peripheral nerves that..
Calculating the maximum height that such a jump would attain : They claim that he is able to jump and remain in the air for two full seconds from launch to landing. Evaluate this claim by calculating the maximum height that such a jump would attain. For comparison, Jordan's maximum jump height has been estim..
Compare the two p-values associated : Compare the two p-values associated with each test and interpret your result. Had the coin been tossed only 5 times with 2 heads resulting (so that the same pˆ would have been obtained), what will change in how t..
Estimate the population parameter : A random sample of 50 observations from a binomial population was used to estimate the population parameter p as pˆ = 0.63. (i) Construct a 95% con?dence interval for p.
Compute the unit product costs for the two products using : The company's manufacturing overhead costs for the year are expected to be $720,000. Using the company's conventional costing system, compute the unit product costs for the two products. Compute the unit product costs for the two products using the p..
Determine spring constant that technician oils calculate : She fires a 0.0100kg bullet at a 500.0g wooden block that is attached to a massless spring;the bullet is traveling at 1000m/s when it strikes the block.The bullet lodges inside the block and the combination compresses the spring by 0.200m before i..
Logarithmic transformation of the data : A logarithmic transformation of the data is postulated to yield Y1 and Y2, random samples from normal populations with respective postulated means 0 and 0.25, and postulated equal standard deviation 0.25.  Is  there  evidence  in  the  log-transfo..
Prepare the journal entries for 2011 and 2012 : Prepare the journal entries for 2011 and 2012 to record the cash contribution to plan assets and benefit payments to retirees.
Problem regarding the independent normal populations : Samples are to be taken from two independent normal populations, one with variance σ2 = 10, the other with a variance twice the magnitude of the ?rst one.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Prepare a revenue table for pizza

prepare a Revenue table for pizza, for each month - prepare a Profit Summary per month, for each pizza type.

  What are some advantages and disadvantages of this practice

There has been a trend across corporate America of promoting financial officers to CEO. What are some advantages and disadvantages of this practice?

  Statement of cash flows a summary of cash flows for

ex 2- 1 chart of accounts the following accounts appeared in recent financial statements of continental airlines

  Calculate reid & company''s cost of goods sold

Reid & Company uses the periodic inventory system.

  Give an example code for an anonymous inner class discuss

provide an example code for an anonymous inner class. highlight what makes your example inner anonymous and

  Absorption-costing income statement

The gross margin that the company would disclose on an absorption-costing income statement is:

  Equivalent units and related costs

Equivalent Units and Related Costs; Cost of Production Report; Entries

  The accompanying record equalizations

From the accompanying record equalizations, set up a trial parity of Anuradha Traders as on March 31, 2009:

  Ethically dubious conduct please respond to the following

ethically dubious conduct please respond to the following from the case study assess the following items to determine

  Develop a table listing five popular internet sites

Develop a table listing five popular Internet sites for a job search. The table should include columns on any costs of using the site, any requirements such as salary and job type, important features, advantages, and disadvantages.

  Capitaliztion of the tooling supplies

Describe wether you agree that capitaliztion of the tooling supplies is the preferable method of accounting for Auto parts ,Inc.

  Prepare adjusting entries for the company

The following information was used to prepare adjusting entries for the company as of August 31, the end of the company's fiscal year.

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!

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