The following is total monthly budgeted cost and activity information for the four activity centers in the billing department of Oregon Power Company:
| Activity Center |
Variable |
Fixed |
Cost Driver |
| Account inquiry |
$82,926 |
$167,000 |
3,400 labor hours |
| Correspondence |
$9,396 |
$25,000 |
2,700 letters |
| Account billing |
$147,000 |
$88,000 |
2,450,000 lines |
| Bill verification |
$11,890 |
$77,000 |
20,500 accounts |
In September, actual costs and activity were as follows:
| Activity Center |
Total Costs |
Driver Amount |
| Account inquiry |
$252,913 |
3,540 labor hours |
| Correspondence |
$34,868 |
2,630 letters |
| Account billing |
$226,812 |
2,330,000 lines |
| Bill verification |
$88,468 |
20,470 accounts |
Required
Compute the flexible-budget variances for the following two
activity cost items (round all answers to the nearest dollar and
enter favorable variances as positive numbers and unfavorable
variances as negative numbers):
Bill verification: _________
Account inquiry: _________
In: Accounting
| Helmet Head Construction (HHC) is building a bridge for $12 million at a total cost of $10 million over the next three years. The company uses percentage of completion method to recognize revenue. Below is a summary of the contract: | |||
| 2016 | 2017 | 2018 | |
| Costs to Date | 3,600,000 | 7,450,000 | 10,450,000 |
| Estimated Costs to Complete | 6,400,000 | 3,000,000 | - |
| Progress Billings During the year | 4,000,000 | 4,000,000 | 4,000,000 |
| Cash collected during the year | 3,250,000 | 3,250,000 | 5,500,000 |
|
Record the necessary journal entries to account for the contract in 2016, 2017 and 2018 |
|||
In: Accounting
a tool and a die company owns several models of lathes that have a total cost of $15,000.000.00 a salvage value of $2750,000.00 and a life of five years.
A.)Develop a table of depriciation and book values using double declining balance depriciation
In: Economics
8. What is the value of total cost of ownership systems and when should a buyer use the tool?
In: Operations Management
what is the formula of minimum total cost in the EOQ model with quantity discount .I want examples and definitions of this
In: Accounting
the Differentiated approach and the Total Cost approach are two different methods of decision analysis, these two styles when done correctly are supposed to come to the same correct answer. In what circumstances is it better to use the Differentiated approach as apposed to the Total Cost approach? If they provide the same answer, why are there two different ways to calculate it?
In: Accounting
Irwin, Inc., constructed a machine at a total cost of $41 million. Construction was completed at the end of 2012 and the machine was placed in service at the beginning of 2013. The machine was being depreciated over a 10-year life using the straight-line method. The residual value is expected to be $3 million. At the beginning of 2016, Irwin decided to change to the sum-of-the-years’-digits method. Ignoring income taxes, prepare the journal entry relating to the machine for 2016.
In: Accounting
At the end of June, the job cost sheets for Monson Manufacturing show the following total costs accumulated on three custom jobs.
| Job 203 | Job 204 | Job 205 | |
| Direct materials | $32,000 | $47,000 | $43,000 |
| Direct labor | 18,000 | 22,000 | 25,000 |
| Overhead | 26,100 | 31,900 | 36,250 |
Job 203 was started in production in May and the following costs were assigned to it in May: direct materials, $12,000; direct labor, $6,000; and overhead $8,700. Jobs 204 and 205 are started in June. Overhead cost is applied with a predetermined rate based on direct labor cost. Jobs 203 and 204 are finished in June, and Job 205 will be finished in July. No raw materials are used indirectly in June. Using this information, answer the following questions assuming the company's predetermined overhead rate did not change.
a. What is the cost of the raw materials requisitioned in June for
each of the three jobs? Blank 1
b. How much direct labor cost is incurred during June for each of
the three jobs? Blank 2
c. What predetermined overhead rate is used during June? Blank
3
d. How much total cost is transferred to finished goods during
June? Blank 4
In: Accounting
In a slow year, Deutsche Burgers will produce 2.4 million hamburgers at a total cost of $3.9 million. In a good year, it can produce 4.2 million hamburgers at a total cost of $4.8 million. a. What are the fixed costs of hamburger production? (Do not round intermediate calculations. Enter your answer in millions rounded to 3 decimal places.) b. What is the variable cost per hamburger? (Do not round intermediate calculations. Round your answer to 2 decimal places.) c. What is the average cost per burger when the firm produces 1 million hamburgers? (Do not round intermediate calculations. Round your answer to 2 decimal places.) d. What is the average cost per burger when the firm produces 2 million hamburgers? (Do not round intermediate calculations. Round your answer to 2 decimal places.) e. Why is the average cost lower when more burgers are produced?
In: Finance
Irwin, Inc., constructed a machine at a total cost of $23 million. Construction was completed at the end of 2012 and the machine was placed in service at the beginning of 2013. The machine was being depreciated over a 10-year life using the straight-line method. The residual value is expected to be $3 million. At the beginning of 2016, Irwin decided to change to the sum-of-the-years’-digits method. Ignoring income taxes, prepare the journal entry relating to the machine for 2016.
In: Accounting