What price should it charge for kits produced

Assignment Help Financial Accounting

Reference no: EM131262297

latemir company expects to make 7200 travel sewing kits in 2015. In january the company made 1800 kits. material and labor cost for january eas 7200 and 9000 respectively. in february they produced 2200 kits material and labor costs were 8800 and 11000 respectively. the company paid 144000 for annual factory insurance on january 10 2015.

A. assuming latimer desires to sell its sewing kits for 20% of cost what price should it charge for kits produced in january and february. Part

b. oigly company makes two products from soybeans , cooking oil and cattle feed.from a 100000 batch of soybeans they produce 20000 pounds of cooking oil and 80000 pounds of feed. producing a standard batch costs them 27000 the sales prices are $3 per pound for cooking oil and $1.50 for feed.

a. allocate the joint product cost to the two products using weight and allocation base

b. allocate the joint product cost to the two products using market value as allocation base.

Reference no: EM131262297

Questions Cloud

Calculate amount of revenue-gross profit to be recognized : In 2016, the Westgate Construction Company entered into a contract to construct a road for Santa Clara County for $10,000,000. The road was completed in 2018. Calculate the amount of revenue and gross profit to be recognized in each of the three year..

What journal entries should clemens record for completion : Clemens Cars' job cost sheet for job A40 shows that the cost to add security features to a car was $19,500. The car was delivered to the customer, who paid $24,200 in cash for the added features. What journal entries should Clemens record for the com..

Possibility of making and selling paging equipment : Magneficent modems has excess productuction capacity and is considering the possibility of making and selling paging equipment. The following esimates are based on a production and sales volume of 1000 pagers. Unit levels manufacturing costs are expe..

Assume at-risk limitation equals the tax basis limitation : Jessica is a one-third owner in Bikes-R-Us, an S corporation that experienced a $45,000 loss this year (year 1). If her stock basis is $10,000 at the beginning of the year, how much of this loss clears the hurdle for deductibility (assume at-risk lim..

What price should it charge for kits produced : latemir company expects to make 7200 travel sewing kits in 2015. In january the company made 1800 kits. material and labor cost for january eas 7200 and 9000 respectively. assuming latimer desires to sell its sewing kits for 20% of cost what price sh..

Cell phone company offers two different plans : A cell phone company offers two different plans. Plan A costs $95 per month for unlimited talk and text. Plan B costs $0.20 per minute plus $0.10 per text message sent. What is your sister’s total cost under each of the two plans? Suppose your sister..

Uses the straight-line method of amortization : On November 1, 2014, Horton Company purchased Lopez, Inc., 10-year, 9%, bonds with a face value of $600,000, for $540,000. An additional $15,000 was paid for the accrued interest. Interest is payable semiannually on January 1 and July 1. The bonds ma..

Compute the net income to be earned under each alternative : Barnes Company reports the following operating results for the month of August: sales $315,000 (units 5,000); variable costs $213,000; and fixed costs $71,600. Management is considering the following independent courses of action to increase net inco..

Complementary club-fitting services : O’Hara Associates sells golf clubs and with each sale of a full set of clubs provides complementary club-fitting services. A full set of clubs with the fitting services sells for $1,500. O’Hara estimates that it incurs $60 of staff compensation and o..

User Account

All Pages