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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: Mercon Wurcon Direct materials cost per unit $ 10.00 $ 7.00 Direct labor cost per unit $ 10.00 $ 11.00 Direct labor-hours per unit 0.30 2.25 Number of units produced 5,000 10,000 These products are customized to some degree for specific customers. Required: 1. 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.) 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
Choose companies in which you are interested. Perhaps the company has been featured in the news lately. Perhaps you own stock in the company. Perhaps you would like to own stock in the company.
Create a CVP chart based on the Cost-Volume Profit Analysis completed in the prior step. Place this chart on a separate worksheet named CVP Chart.
In the current year, Raven sold machinery with a fair market value of $200,000. The machinery's original basis was $190,000 and Raven's accumulated depreciation on the machine was $40,000. Raven received $50,000 in the current year and a note paying ..
Which of the following would be shown as a negative number in the Operating section of the SCF under the indirect method?
The effect of information systems may be quantified in every organization. Using specific examples in your own organization, illustrate how does the information system you use make your job easier? Why? How may it be improved?
The December 31, 2012, balance sheet for Thomas Company showed total stockholders’ equity of $73,000. Total stockholders’ equity increased by $42,500 between December 31, 2012, and December 31, 2013. During 2013 Thomas Company acquired $10,700 cash f..
Horrible Inc. issues 10,000, $100 face value, 8% debt with detachable warrants that permit the holder to purchase one share of stock for $18 per share. The bonds were issued at 102. Immediately after issue the bonds were selling for 98 without the wa..
UHF Antennas, Inc., produces and sells a unique television antenna. The company has just opened a new plant to manufacture the antenna,
one of the processing departments at Seidl Corporation had ending work in process inventory of $99,000.
Importance of the SOX Act, but he acknowledged that he does not know much about it. He requested that you explain why the SOX Act was enacted and if you think it has helped the industry.
Assuming a five year time horizon, illustrate what is the internal rate of return of the remodeling project? Should the company invest in the remodel?
Decision #1: Which set of Cash Flows is worth more now? Assme that your grandmother wants to give you generous gift. She wants you to choose which one of the following sets of cash flows you would like to receive:
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