Exam 2: An Introduction to Cost Terms and Purposes

Reichman Manufacturing Company had the following account balances for the quarter ending September 30, unless otherwise noted: Required: a.Prepare a cost of goods manufactured schedule for the quarter. b.Prepare a cost of goods sold schedule for the quarter.

Factors affecting direct/indirect cost classification include all of the following EXCEPT the

Use the information below to answer the following question(s).The following information pertains to Payton's Shoe Manufacturing: 99,500 pairs of shoes are sold during the year for $18. -What is Payton's manufacturing cost per pair of shoes?

Messinger Manufacturing Company had the following account balances for the quarter ending March 31, unless otherwise noted: Required: a.Prepare a cost of goods manufactured schedule for the quarter. b.Prepare a cost of goods sold schedule for the quarter.

Use the information below to answer the following question(s).Frazer Inc.had the following activities in the year: -Which of the following formulae would determine costs of goods sold in a merchandising entity?

Kym Manufacturing provided the following information for last month: If sales double next month, what is the projected operating income?

Answer the following question(s)using the information below.The Singer Company manufactures several different products.Unit costs associated with Product ICT101 are as follows: -What are the variable costs per unit associated with Product ICT101?

Total variable costs change in direct proportion to changes in cost driver volume.

If each furnace required a hose that costs $20 and 2,000 furnaces are produced for the month, the $40,000 total cost for hoses

Springfield Manufacturing produces electronic storage devices, and uses the following three-part classification for its manufacturing costs: direct materials, direct manufacturing labour, and indirect manufacturing costs.Total indirect manufacturing costs for January were $300 million, and were allocated to each product on the basis of direct manufacturing labour costs of each line.Summary data for January for the most popular electronic storage device, the Big Bertha, was: Required: a.Compute the total manufacturing cost per unit for each product produced in January. b.Suppose production will be reduced to 30,000 units in February.If indirect manufacturing costs include fixed costs then explain if the total cost per unit be higher or lower than in January.

Answer the following question(s)using the information below.The Singer Company manufactures several different products.Unit costs associated with Product ICT101 are as follows: -What are the period costs per unit associated with Product ICT101?

Use the information below to answer the following question(s).Ontario Industries Inc.had the following activities during the year: -What is the amount of the manufacturing overhead incurred at Ontario Industries Inc.?

Manitoba Industries Inc.had the following account balances at the end of the current year: Required: Determine the amounts for direct material purchases, direct manufacturing labour, ending work-in-process inventory, and beginning finished goods inventory.

Find the required amounts, assuming each is an independent case.

Answer the following question(s)using the information below.The West Company manufactures several different products.Unit costs associated with Product ORD203 are as follows: -What are the period costs per unit associated with Product ORD203?

Answer the following question using the information below.Pederson Company reported the following: -What is the average manufacturing cost per unit?

Product costs used for external reporting under ASPE/IFRS include

Use the information below to answer the following question(s).Big Island Coffee Co.produced and sold 120,000 units last year.Per unit revenue and costs were as follows: Fixed manufacturing overhead and administrative salaries are fixed costs.The per unit amounts are based on last year's production. -Fixed costs depend on the

Sheen Manufacturing has four manufacturing cost pools and many types of costs, some of which are e listed below.Match the type of cost with the most appropriate cost pool or as a period cost. A)Period cost B)Cost pool - indirect factory operating costs C)Cost pool - indirect factory labour D)Cost pool - direct factory labour -lubricants for machines

Costing systems that identify the cost of each activity such as testing, design, or setup are called management-based costing systems.