Samsung manufactures cellular phones at a processing cost of $204 per unit.
Currently, the company produces an average of 2011 phones per day, 88 percent of which are good-quality phones, resulting in 12 percent defective phones, 66 percent of which can be reworked. The cost of reworking a defective phone is $74.

They also consider a quality improvement initiative: They can replace a plastic component with a metal one which increases the initial cost of processing phone to $210, but the percentage of defective items decreases to 12 percent. With this quality improvement option, nothing else would be different from the current situation (for example the cost of rework and the percentage of defectives that can be reworked stay the same).

Calculate the followings:

Number of units reworked daily with current situation

Daily product yield with current situation

Effective production cost per unit with current situation

With the current situation, if the company wants the yield to be 2000, how many phones they should process daily?

Number of units reworked daily with suggested quality improvement option

Daily product yield with suggested quality improvement option

Effective production cost per with suggested quality improvement option

Should Samsung should take the suggested quality improvement initiative?
Yes
No

A company producing plastic cell-phone cases uses a $5,000 blower, a $2,000 processor, and $4,200 worth of molds. The rent paid for their space in an industrial park is $5,000 per production period. The cost of materials (resins and compounds) is $10 per unit. The cell phone case market is competitive, with a market price of $25. Each unit of labor is paid $5,000 per production period. The production technology is described by Table 2.

Table 2: The Total Product Schedule for a Cell-Phone Case Company

Labor (L) Output (Q)

0 0

1 374

2 1000.80

3 1761.8

4 2589.08

5 3427.1

6 4226.66

7 4941.62

8 5528.13

9 5943.72

10 6147.00

1(a).How many cell-phone cases will the company produce to maximize profit? What is the maximum amount of profit?

1(b). Using the company's short-run cost curves (ATC, AVC, and MC) and the MR curve, demonstrate how you found your answer to Question 1(a).

1(c). What is the company's break-even price?

THIS IS ALL THE INFO GIVEN.

On January 1, 2018, the Mason Manufacturing Company began construction of a building to be used as its office headquarters. The building was completed on September 30, 2019.

Expenditures on the project were as follows:

On January 1, 2018, the company obtained a $3,800,000 construction loan with a 15% interest rate. The loan was outstanding all of 2018 and 2019. The company’s other interest-bearing debt included two long-term notes of $4,000,000 and $6,000,000 with interest rates of 8% and 10%, respectively. Both notes were outstanding during all of 2018 and 2019. Interest is paid annually on all debt. The company’s fiscal year-end is December 31.

Required:
1. Calculate the amount of interest that Mason should capitalize in 2018 and 2019 using the specific interest method.
2. What is the total cost of the building?
3. Calculate the amount of interest expense that will appear in the 2018 and 2019 income statements.

1 & 3. Calculate the amount of interest that Mason should capitalize in 2018 and 2019 using the specific interest method and interest expense that will appear in the 2018 and 2019 income statements. (Enter your answers in dollars.)

Calculate the amount of interest that Mason should capitalize in 2018 and 2019 using the specific interest method and interest expense that will appear in the 2018 and 2019 income statements. (Enter your answers in dollars.)

2. What is the total cost of the building? (Enter your answer in dollars.)

Write paraphrase of this:

Task1:
Highway alignment is the center line of the highway or the road on the ground. The road alignment is very important because when they not prepare it carefully it will cause high building cost, high maintenance cost and also, an increase in accident. There are requirement of high alignment like safe, easy, short and economical. And there are also factors that should be considered when choosing road alignment. These factors differ and depend on the type of road and the areas through which these roads pass. In this part we will concentrate on or obligatory points which is defined the highway alignment. It is separated into two parts, negative and positve obligatory points.
positve obligatory points:
these are those points through which the alignment should pass.
Existing road: the alignment should be fixed such the newly construction road should link to the existing road.
Intermediate town: if it is possible to have a straight road between point A&B and the intermediate town located at c, then the street need to link the intermediate town reducing the change in highway alignment.

Bridge site/Existing Bridge:
This is not adivicable to cross the river in a curve position, we have to change the alignment in such a way that it crosses the river in straight line, it should locate in right angle(90o) to the river flow and not locate in curve position. There are some reasons for this, the curve position they keep changing, when you make the right angle the length of the barge it will be short. So, the cost of this construction it will be less.   

Negative obligatory points:
When I went to the site and I saw lake or water body , I have to change this aligment to avoided the lake area. From the stragth line to curve line because of the water body. So, this water body is a Negative obligatory

Q.2 Babloo Toys, manufactures and sells 15,000 units of Teddy Bear toy (TB), in 2015. The full cost per unit is USD 200. Babloo Toys earns a 20% return on an investment of USD 1800,000 in 2015. Required: (1) Calculate the selling price and the markup percentage on the full cost per unit of TB toy in 2015. (2) If the selling price in requirement 1 represents a markup percentage of 40% on variable cost per unit, calculate the variable cost per unit of TB toy in 2015. (3) Calculate Babloo Toys's operating income if it had increased the selling price to USD 230. At this price Babloo Toys would have sold 13,500 units of TB toy. Assume no change in total fixed costs. Should Babloo Toys increase the selling price of TB toy to USD 230? (4) In response to competitive pressures, Babloo Toys must reduce the price of TB toy to USD 210 in 2016, in order to achieve sales of 15,000 units. Babloo Toys plans to reduce its investment to USD 1,650,000. If Babloo Toys wants to maintain a 20% return on investment, what is the target cost per unit in 2016?

1. Within a given distribution channel, the following information is available concerning trade margins and costs. A wholesaler has a unit selling price of $230 and a unit cost of $140. The retailer requires a 42% markup on selling price. The manufacturer has unit variable costs of $34. Calculate the wholesaler percent markup on cost. Report your answer as a percentage and round to the nearest percent.

2. Within a given distribution channel, the following information is available concerning trade margins and costs. A wholesaler has a unit selling price of $241 and a unit cost of $115. The retailer requires a 27% markup on selling price. The manufacturer has unit variable costs of $59. Calculate the manufacturer's dollar margin per unit. Round your answer to the nearest dollar.

3. Within a given distribution channel, the following information is available concerning trade margins and costs. A wholesaler has a unit selling price of $820 and a unit cost of $477. The retailer requires a 52% markup on selling price. The manufacturer has unit variable costs of $278. Calculate the manufacturer's percent markup on cost. Report your answer as a percentage and round to the nearest percent.

PLEASE EXPLAIN ALL STEPS

1. Let X be a random variable that represents the weights in kilograms (kg) of a healthy adult female deer (doe) from Mesa Verde National Park. X has a distribution that is approximately normal with µ = 63.0 kg and standard deviation σ = 7.1 kg. A doe is considered to be malnourished if it weighs less than 54 kg.

a. If the doe population is healthy, what is the probability that a single doe captured weighs less than 54 kg?

b. What is the probability that the mean weight of a random sample of 50 does is less than 54 kg?

c. Create a 95% confidence interval for the mean weight of a random sample of 36 does in Mesa Verde National Park.

2. A CPA firm is auditing the accounts of a large interstate banking system. Out of a random sample of 152 accounts, it was found that 19 had transaction errors. Let p be the number of accounts with transaction errors.

a. Find a point estimate for p ( pˆ ):

b. Find a 99% confidence interval for p: . An article in the local paper claims that the average amount spent in a visit to a fast food restaurant is $20. Is the fast food restaurant in problem #1 unusually inexpensive? (In other words, are people spending less at the local fast food restaurant than the population does at an average fast food restaurant?) Assuming that the amount people spend is normally distributed, conduct a hypothesis test using a 5% significance level. a. Ho: Ha: b. Is this a right-tailed, two-tailed or left-tailed test?

c. Compute the z or t test statistic. Show the correct computation.

d. Find the p-value for the test statistic. e. Based on your answers above, do you reject or fail to reject the null hypothesis? What do you conclude about the average cost of this fast food restaurant?

Simulation Individual Tax AICPA Released: U.S. Taxation

Based on the data provided, enter the approriate values in the form 1040 from Line 7 through Line 22..

Information

Trevor and Jordan Riley were married during the year 2017. Following is additional information pertaining to the Riley family for the year 2017:

1. Prior to her marriage to Trevor, Jordan received $5,000 in alimony and $12,600 in child support.
2. The Rileys earned $10,000 in ordinary interest and $8,500 in municipal bond interest.
3. Trevor’s wages were $85,000, and Jordan’s were $62,000.

4. The Rileys received a $2,000 security deposit on the rental property they actively manage. They are required to return the amount to the tenant. In addition, the Rileys received $20,000 in gross receipts from the rental property. The expenses for the residential rental property were:

Bank mortgage interest                                    $5,000
Real estate taxes                                     2,600
Insurance                                               1,700
Depreciation                                           3,200

5. In January, as part of a sweepstakes contest, Jordan won a week’s stay valued at $3,000 at a luxurious hotel in Hawaii. Trevor and Jordan spent their honeymoon at that hotel.
6. The Rileys had no capital loss carryovers from prior years. During the year, the Rileys had the following stock transactions:

       Date Acquired Date Sold    Sales Price    Cost Basis
Buster Co.   2/1/2016         3/17/2017   $15,000          $5,000
Copper lnc. 2/18/2017       4/1/2017        8,000            4,000

Requirement: complete the Rileys’ 2017 Form 1040, Schedule A, Schedule D and Schedule E.

Please complete the line 7 through the line 22 on Form 1040.

Please complete the line 1 through line 16 on Schedule D.

Please complete the line 3 through line 26 on Schedule E.

Case9-4 Self-constructed asset (page 295)

Due to growing demand of a new product, Jay Manufacturing, Inc. needs to expand its product line but cannot find an outside supplier for the expansion so decides to design and build the equipment. In 2017, a section of the plant was devoted to development of the new equipment and a special staff of personnel was hired. Within six months, a machine was developed at a cost of $170,000 that increased production and reduced labor cost substantially. Sparked by the success of the new machine, the company built three more machines of the same type at a cost of $80,000 each.

Required:

1. In general, what costs should be capitalized for a self-constructed asset?
2. Discuss pros and cons of including these charges in the capitalized cost of self-constructed assets:
   1. The increase in overhead caused by the self-construction of fixed assets
   2. A proportionate share of overhead on the same basis as that applied to goods manufactured for sale (consider whether the company is at full capacity)
3. Discuss the proper accounting treatment of the $90,000 ($170,000 - $80,000) by which the cost of the first machine exceeded the cost of the subsequent machines.