Q16. The Ralston Company manufactures a special line of graphic tubing items. The company estimates it...

Q16. The Ralston Company manufactures a special line of graphic tubing items. The company estimates it will sell 75,000 units of this item for the next several years. The beginning 2020 finished goods inventory contains 15,000 units. The target for each year's ending inventory is 10,000 units. Each unit requires five feet of plastic tubing. The tubing inventory currently includes 70,000 feet of the required tubing. Materials on hand are targeted to equal three months’ production. Any shortages of materials are made up by the immediate purchase of materials. Sales take place evenly throughout the year. What are the total feet of tubing budgeted to be used in manufacturing for 2020?

Q17. Rocket Plating Company plans to sell 120,000 units of its GidgetSpinners at a price of $6 per unit. There are 10,000 units in finished goods inventory on January 1 and management wants to increase this inventory by 20% during the year. What is the budgeted number of units to be manufactured in the upcoming year?

Q18. The following data pertains to the month of October for ElmCo. when production was budgeted to be 5,000 units of P90. P90 has standard costs per unit of: 3lbs. of Direct Materials at a cost of $7.00 per lb; 0.20 hours of Direct Labor at $18.00 per hour; and Variable Overhead assigned on the basis of 0.05 machine hours at a rate of $50 per machine hour. Actual production of P90 for October was 4,600 units. In October the production of P90 totaled 4,600 units, using 828 direct labor hours costing a total of $15,732. Determine the direct labor variance. (Negative numbers indicate a favorable variance.)

Expert Solution

ekkarill92 answered 2 years ago

Ralston Company has four product lines. The Machining product line produces specialized equipment for Oil and...

Ralston Company has four product lines. The Machining product line produces specialized equipment for Oil and Gas exploration companies. Currently, a plant-wide rate is used to allocate overhead based on $1,000,000 total budgeted overhead and 20,000 machine hours budgeted for the year. Mike Bryer, product line controller, has heard about ABC and would like to see if using ABC would make a difference compared to the plant-wide allocation method in use now. The accounting staff has provided the following information...

A Company manufactures a product A. The company estimates the cost function for the total costs.

A Company manufactures a product A. The company estimates the cost function for the total costs. The cost driver is number of units. The following informations were collected: Month Units Total CostsJanuary 3,560 $242,400February 3,800 $252,000March 4,000 $260,000April 3,600 $244,000May 3,200 $228,000June 3,040 $221,600 Compute a cost function using the high-low method.

In your company, you have a practice of preparing your own estimates of the items to...

In your company, you have a practice of preparing your own estimates of the items to be procured or services to be availed. This helps you conduct procurements to select seller. Is it a right action? Discuss? subject : Project mangement

1- Special Order Pope Company manufactures a variety of hiking boots and has received a special...

1- Special Order Pope Company manufactures a variety of hiking boots and has received a special one-time-only order from a new customer. Pope has sufficient idle capacity to accept the special order to manufacture 500 pairs of boots at a price of $45.00 per pair. Pope’s normal selling price is $65.00 per pair of boots. Variable manufacturing costs are $35.00 per pair and fixed manufacturing costs are $12.00 a pair. Pope’s variable selling expense for its normal line of boots...

4) A company manufactures household items sold at trade shows. The items, classified as either Trinkets...

4) A company manufactures household items sold at trade shows. The items, classified as either Trinkets or Widgets are manufactured on a common assembly line. Although different direct materials are used, the direct labour cost is the same for each product line. The plant-wide rate for allocating manufacturing overhead to its products is no longer acceptable. The production manager has heard about activity-based costing and has assembled some information for use in changing the cost system to a cost driver...

Special Order Pope Company manufactures a variety of hiking boots and has received a special one-time-only...

Special Order Pope Company manufactures a variety of hiking boots and has received a special one-time-only order from a new customer. Pope has sufficient idle capacity to accept the special order to manufacture 1,000 pairs of boots at a price of $50.00 per pair. Pope’s normal selling price is $65.00 per pair of boots. Variable manufacturing costs are $35.00 per pair and fixed manufacturing costs are $12.00 a pair. Pope’s variable selling expense for its normal line of boots is...

a. A company manufactures small and large blankets. It estimates $324,000 in overhead during the manufacturing...

a. A company manufactures small and large blankets. It estimates $324,000 in overhead during the manufacturing of 72,000 small blankets and 24,000 large blankets. What is the predetermined overhead rate if a small blanket takes 1 machine hour and a large blanket takes 2 machine hours? b. They make two types of blankets: polyester (poly) and silk. There are two cost pools: setup, with an estimated $100,000 in overhead, and inspection, with $25,000 in overhead. Poly is estimated to have...

A manufacturing company uses an acceptance scheme on items from a production line before they are...

A manufacturing company uses an acceptance scheme on items from a production line before they are shipped. Boxes of 20 items are readied for shipment. An inspector takes one item at random, inspects it, and then replaces it in the box; the next 8 inspectors do likewise. Finally, a tenth inspector goes through the same procedure. Find the probability that 3 inspectors find defective in the box containing 2 defectives. (Round from the fifth decimal place to the fourth decimal...

The Donut Stop acquired equipment for $23,000. The company uses straight-line depreciation and estimates a residual...

The Donut Stop acquired equipment for $23,000. The company uses straight-line depreciation and estimates a residual value of $3,400 and a four-year service life. At the end of the second year, the company estimates that the equipment will be useful for four additional years, for a total service life of six years rather than the original four. At the same time, the company also changed the estimated residual value to $2,000 from the original estimate of $3,400. Required: Calculate how...

Missouri Can Company Develop a five-year strategic plan with cost estimates and a time line. It...

Missouri Can Company Develop a five-year strategic plan with cost estimates and a time line. It should be 5-7 double-spaced, typed (12 point) pages plus exhibits. Your plan should include/address the following points: 2. List your specific recommendations for the firm in detail. Analyze and address all four divisions. Explain why each recommendation was made including the information used and the logic (or analysis) applied to reach your conclusion. As you prepare your analysis, remember that no decision is complete...

Question