User Account

All Pages

Determine how many kilograms of direct material purchased

Assignment Help Managerial Accounting
Reference no: EM132550903

Hi Tech Products manufactures three (3) types of CD players: Cheap, Econo and Deluxe. Hi Tech uses an activity-based product costing system. The company has identified five (5) activities. Each activity, its cost and related activity driver are identified below:

Activity                           Activity Cost                         Activity Driver

Material handling            $225 000                      Number of parts

Material insertion              $2 475 000                Number of parts

Automated machinery        $840 000                 Machine hours

Finishing                          $170 000                  Labour hours

Packaging                           $170 000                Orders shipped

Total manufacturing cost $3 880 000

The following information pertains to each product line of CD players:

                                                Cheap               Econo                    Deluxe

Units to be produced            10 000               5000                2000

Orders to be shipped                1000              500                    200

Number of parts per unit               10               15                    25

Machine hours per unit                    1                3                    5

Labour hours per unit                      2                2                         2

Question 1: Under an activity-based product costing system, what is the cost per unit of Cheap

Question 2: Assume for a firm that budgeted production for July and August is 180 000 and 200 000 units respectively. It takes half a kilogram of direct material to make one unit of finished product. Materials inventory is maintained at 10 per cent of the next month's budgeted production needs. If the 30 June inventory of materials was 5000 kg, how many kilograms of direct material should be purchased during July?

Reference no: EM132550903

Questions Cloud

How do you think it department plays into sarbanes-oxley : Research on the Corporate Fraud at Enron that what happend with them and thn read the sarbanes-oxley act. After that answer the question.
Compute what should be the budgeted sales in units : Compute what should be the budgeted sales in units. The company plans to include a safety margin of $20 000 before tax. Assuming a tax rate of 30%.
What is the margin of safety in dollars and as a ratio : Question - Felde Bucket Co., a manufacturer of rain barrels, had the following data for 2016. What is the margin of safety in dollars and as a ratio
Economic reasoining and appropriate diagram : Explain the following statements with economic reasoining and appropriate diagram(s):
Determine how many kilograms of direct material purchased : Determine how many kilograms of direct material should be purchased during July? If the 30 June inventory of materials was 5000 kg.
Create pseudocode and a flowchart for a modular program : Create pseudocode and a flowchart for a modular program and create both pseudocode and a flowchart to design a modular program
Economic reasoning and appropriate diagram : Explain the following statements with economic reasoning and appropriate diagram(s):
Record collection of dividend from investee : Milani, Inc., acquired 10 percent of Seida Corporation on January 1, 2020, for $196,000. Record collection of dividend from investee
Ad curve is a point of equilibrium between ae and y : Explain the following statements with economic reasoning and appropriate diagram(s):

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Manage budgets and financial plans

Explain the budgeting process and its importance to a business, identifying the components of different budgets, forecast estimates for inclusion in the budgets.

  Prepare a retained earnings statement

Prepare a retained earnings statement for the year and Prepare a stockholders' equity section of given case.

  Prepare a master budget for the three-month period

Prepare a master budget for the three-month period.

  Construct the companys direct labor budget

Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced.

  Evaluate the predetermined overhead rate

Evaluate the Predetermined Overhead Rate

  Determine the company''s bid

Determine the company's bid if activity-based costing is used and the bid is based upon full manufacturing cost plus 30 percent.

  Compute the pool rates for the different activities

Complete the schedule to compute the pool rates for the different activities.

  Prepare Company financial statements

Prepare Company financial statements

  Prepare an analysis of terracycles

This individual assignment is based on the TerraCycle Inc.

  Discuss the ethical issues

Discuss the ethical issues

  Political resources in emerging markets

Calculate the GDP in Income Approach  and Expenditure Approach

  Management accounting - ehsan electronics company

A new plant accountant suggested that the company may be able to assign support costs to products more accurately by using an activity based costing system that relies on a separate rate for each manufacturing activity that causes support costs.

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