User Account

All Pages

What price per chair should owf quote to the customer

Assignment Help Managerial Accounting
Reference no: EM132992644

The management accountant of OWF quickly collated cost data of making 300 directors' chairs (Job 725). The direct costs data are as follows:

Direct materials costs $40 000
Direct production labour costs $30 000

Problem 1: Indirect costs are allocated based on budgeted factory overhead cost allocation rate. Calculate the total cost of job 725 using normal costing.

Problem 2: Based on the total production cost of Job 725 calculated in the previous question, what is the cost per chair?

Problem 3: OWF uses 'cost-plus' policy for pricing of its products. If the OWF's mark-up is 20% then what price per chair should OWF quote to this customer? (Round the price to nearest dollar)

Reference no: EM132992644

Questions Cloud

Assistant to the deputy minister of finance : You are on the first day of your new role as assistant to the Deputy Minister of Finance. As a fully qualified and experienced CPA, you are very excited about t
Provide an example of a logical fallacy : Provide an example of a logical fallacy. This example can be from the news, from a movie, tv-show. Provide links and discus the particular logical fallacy
How well firms perform in the entertainment industry : -How important is the resource-based model to explain how well firms perform in the entertainment industry? Is this the better model? Why or why not?
How the cost flows differ in a depending on the type : How the cost flows differ in a depending on the type of business (retail organizations, service organizations, and manufacturing organizations).
What price per chair should owf quote to the customer : OWF uses 'cost-plus' policy for pricing of its products. If the OWF's mark-up is 20% then what price per chair should OWF quote to this customer?
Why does owf use direct labour costs as the basis : Office Works Factory (OWF) Ltd., Why does OWF use direct labour costs as the basis for allocating its factory overhead costs to various jobs?
Research trends in the field of information security : Understanding on identifying the risks, vulnerabilities and awareness of current industry and research trends in the field of information security
What controls could management put in place to increase : What controls could management put in place to increase the likelihood that the company actually engages in environmentally and socially responsible activities?
Explain why materiality determination process are key aspect : Explain why materiality and materiality determination processes are a key aspect of the GRI guidelines. How has this approach enabled organisations

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Write a report for managing director of orthodontic clinic

Use visual aids such as tables and graphs to enhance your report presentation. Write a report for the managing director of the orthodontic clinic.

  What are beginning finished goods inventory of jan and feb

What are Beginning Finished Goods Inventory of Jan and Feb? Tyson Chandler Company's sales budget projects unit sales of part 198Z of 9,800 units

  Describe an example where ci has been successfully implement

Describe an example where CI has been successfully implemented and produced bottom line results for the company. Please note results are not always financial!

  Prepare the journal entry to record interest expense

Prepare the journal entry to record interest expense and bond discount amortization on December 31, 2022, assuming no previous accrual of interest.

  What the percentage increase in the value of annual cash

What the percentage increase in the value of this annual cash outflow that would make the project no longer financially viable is closest to

  For what reason would you question validity of these data

The chief financial analyst reported the following current monthly data for the Rocket Man: For what reason would you question validity of these data

  Calculate contribution margin and selling price per unit

Calculate: Contribution Margin, Selling price per unit, Variable labor cost per unit, Variable purchases cost per unit and Breakeven point in units and dollars

  Find siskos breakeven point in number of units is

Find Siskos breakeven point in number of units is. information pertains to Sisko Corporation. Assume that Sisko has the following results last year

  Should xia make or buy the part

Should Xia make or buy the part?Xia Co. currently buys a component part for $8 per unit. Xia believes that making the part would require $4.20 per unit

  What are the operational issues

What are the operational issues and the differences in HRM policies and procedures for a manufacturing firm with a variable output versus a service

  What the amount reported in pharoah income statement

Ignoring income taxes, the amount reported in Pharoah's 2021 income statement as a result of Pharoah's available-for-sale investment in Wildhorse was?

  Compare and contrast managerial accounting with financial

Compare and contrast managerial accounting with financial accounting and distinguish between the informational needs of external and internal users.

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