User Account

All Pages

Question, Financial Accounting

Assignment Help:
A. Material Sampling -Analyzing Direct Material Costs
You are reviewing a cost proposal, which includes an $800,200 direct material estimate. After
Initial examination of the proposal, you note that there are 500 material items, but you also note
that 20 high-cost items account for $620,000 of the total. The remaining $180,200 is spread
across 480 relatively small purchases.
1. Examination of the 20 high-cost items (estimated at $620,000) shows that all are properly
priced except one item. That item is overpriced by $20,000. What should be your
objective for these 20 items?
2. After analyzing a sample of the remaining 480 items, you find that the sample is
overpriced by six percent. Using this six percent decrement factor, what cost should you
estimate for those items? Remember that the average sample •tern cost is 106 percent of
what it ought to be.
3. Given your answers to Questions 1 and 2, what should you estimate for total material
cost?

Related Discussions:- Question

The deficiency account-bankruptcy accounts, The Deficiency Account Pur...

The Deficiency Account Purpose of deficiency account : The purpose of the deficiency account is to explain the deficit shown on the statement of affairs. The deficiency acc

3 Column Cash Book Transaction, I have tried to answer this assignment wit...

I have tried to answer this assignment with no luck. Balance brought forward : Cash in Hand : $5000 Cash at Bank : $ 90,000 March 2 Received Cash loan of $25 ,0

Compute the maximum profit, Question: Vinak Ltd., which produces three ...

Question: Vinak Ltd., which produces three products provides you the following data for 2008-2009.

Balance sheet and income statement, 1) The detailed information is on the s...

1) The detailed information is on the second tab marked "Financials". Enter summarized Balance Sheet and Income Statement information for Cummins into the template on the "Summary

NON PROFIT ORGANISATIONS, USING PROPER ILLUSTRARTION,ELLOBORATE ON THE REGU...

USING PROPER ILLUSTRARTION,ELLOBORATE ON THE REGULATORY FRAMEWORK THAT SUPPORTS FINANCIAL REPORTING IN NON PROFIT ORGANISATIONS.

Acquisition Merger, Can you combined the PVH & Warnaco Group Balance Sheet ...

Can you combined the PVH & Warnaco Group Balance Sheet after merger?I will an attached the excel worksheet that includes the instructions

Principles of accounting, what are types of accounting concepts

what are types of accounting concepts

Accruals or accrued charges, Define Accruals or accrued charges What are...

Define Accruals or accrued charges What are Accruals or accrued charges - Expenses that are done for the current accounting period which have not yet been paid. These are someti

Explain the favorable variance, Question: The manager of Ben and Jerry's Ic...

Question: The manager of Ben and Jerry's Ice Cream is told that the direct material quantity variance for cherries in Cherries Garcia Ice cream is favorable. What could explain thi

Determine the npv and annual savings, Joe has two children, Sydney age 5 a...

Joe has two children, Sydney age 5 and William age 2, that he wants to provide for their education funding.  Currently, tuition is $10,000 per year and tuition inflation is 6%.  Jo

Write Your Message!

Captcha
Order Assignment

Featured Services

Order Now

Popular Subjects

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: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd