Reference no: EM132452416
Problem - Creating and Using a Cost Formula
Big Thumbs Company manufactures portable flash drives for computers. Big Thumbs incurs monthly depreciation costs of $14,200 on its plant equipment. Also, each drive requires materials and manufacturing overhead resources. On average, the company uses 13,800 ounces of materials to manufacture 6,900 flash drives per month. Each ounce of material costs $3.00. In addition, manufacturing overhead resources are driven by machine hours. On average, the company incurs $41,400 of variable manufacturing overhead resources to produce 6,900 flash drives per month.
In your calculations, round variable rate per flash drive to the nearest cent. If required, round final answers to the nearest cent.
Required -
1. Create a formula for the monthly cost of flash drives for Big Thumbs.
2. If the department expects to manufacture 6,000 flash drives next month, what is the expected fixed cost (assume that 6,000 units is within the company's current relevant range)?
3. What is the total variable cost (assume that 6,000 units is within the company's current relevant range)?
4. What is the total manufacturing cost (i.e., both fixed and variable) (assume that 6,000 units is within the company's current relevant range)?
Determine the cost of merchandise sold for the sale of May
: Assuming that the company uses the perpetual inventory system, determine the cost of merchandise sold for the sale of May 20 using FIFO inventory cost method
|
Discuss about technology improvement plan
: What dangers, if any, confront community developers as they seek new technological means to provide linkages between citizens and between government
|
Analyze contemporary social issues using the sociological
: The primary goal of this exercise is to apply your developing sociological knowledge and skills to the analysis of the process of socialization.
|
Examinethe score on each assignment
: Explain what assignments you think you are doing well at (e.g. quizzes, discussion, papers, etc...). What factors have enabled you to do well
|
What is the total manufacturing cost
: What is the total manufacturing cost (i.e., both fixed and variable) (assume that 6,000 units is within the company's current relevant range)
|
Calculate the total conversion cost for last week
: Manufacturing overhead equaled $58,000. By the end of the week, the company had manufactured 4,100 hockey sticks. Calculate the total conversion cost
|
Describe element of the marketing mix
: Select one element of the Marketing mix and discuss how marketing research could help that area.which is more detrimental to a firm, pricing
|
Calculate the total product cost for last week
: Slapshot Company makes ice hockey sticks. Last week, direct materials costing $26,000, Calculate the total product cost for last week
|
What is the quick ratio
: Inventory of $28,700, and Prepaid Expenses totaling $7,200. Total Current Liabilities are $48,800 and Total Assets are $195,500. What is the quick ratio
|