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The Pizza Company makes two types of frozen pizzas: pepperoni and cheese. The Pizza Company allocates overhead to these two products based on the number of direct labor hours. The direct labor hours per unit for making a pepperoni pizza is 5 minutes or 1/12 of an hour. The direct labor hours per unit for making a cheese pizza is 4 minutes or 1/15 of an hour. At the start of the year The Pizza Company expected to make 12,000 pepperoni pizzas and 6,000 cheese pizzas. During the year, The Pizza Company actually made 9,000 pepperoni pizzas and 7,500 cheese pizzas. The time cards indicate that direct laborers worked for 1,300 hours.
What are the total expected direct labor hours, standard direct labor hours, and actual direct labor hours?
You are required to calculate Written down value of eachasset and show working of complete depreciation for the year endingon December 2007.
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U.S. uses accrual basis accounting. For which of the events above should revenue be recorded in November? In each case,how much revenue should be recorded? If an event does not involve revenue, specify why not?
In August direct labor was 60% of conversion cost. If the manufacturing overhead for the month was $54000 and the direct materials cost was $34000, the direct labor cost was:
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Suppose the product manager of a new Flower Mills cereal has determined that the appropriate wholesale price for a carton of the new cereal is $48. The fixed costs for the production and marketing of the new product are $15million.
Venture Company acquired patent rights on January 3, 2005, for$661,500. The patent has a useful life equal to its legal life of 15 years. On January 5, 2008, Venture successfully defended the patent in a lawsuit at a cost of $105,000.
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