Builder Products, Inc., uses the weighted-average method in its process costing system. It manufactures a caulking compound that goes through three processing stages prior to completion. Information on work in the first department, Cooking, is given below for May:

Required:

1. Compute the equivalent units of production for materials and conversion for May.

2. Compute the cost per equivalent unit for materials and conversion for May.

3. Compute the cost of ending work in process inventory for materials, conversion, and in total for May.

4. Compute the cost of units transferred out to the next department for materials, conversion, and in total for May.

Rita Corporation produces commercial fertilizer spreaders. The following information is available for Rita's anticipated annual volume of 600,000 units:

       Per Unit                                                                           Total

       Direct materials                                                                  $37

       Direct labour                                                                        43

       Variable manufacturing overhead                                        65

       Fixed manufacturing overhead                            $15,000,000

       Variable selling and administrative expenses                      73

       Fixed selling and administrative expenses             11,400,000

The company has a desired ROI of 20%. It has invested assets of $325,000,000.

Required:

Calculate each of the following:

1. Total cost per unit.

2. Desired ROI per unit.

3. Mark-up percentage using total cost per unit.

4. Target selling price.

Cretin Enterprises uses a predetermined overhead rate of $21.40 per direct labor-hour. This predetermined rate was based on a cost formula that estimated $171,200 of total manufacturing overhead for an estimated activity level of 8,000 direct labor-hours.   

The company incurred actual total manufacturing overhead costs of $172,500 and 8,250 total direct labor-hours during the period.

Required:

1. Determine the amount of underapplied or overapplied manufacturing overhead for the period.

2. Assuming that the entire amount of the underapplied or overapplied overhead is closed out to cost of goods sold, what would be the effect of the underapplied or overapplied overhead on the company's gross margin for the period?

Total assets turnover: 1x Days sales outstanding: 37 daysa Inventory turnover ratio: 6x Fixed assets turnover: 3x Current ratio: 2.5x Gross profit margin on sales: (Sales - Cost of goods sold)/Sales = 15% aCalculation is based on a 365-day year. Do not round intermediate calculations. Round your answer to the nearest cent. Balance Sheet Cash $ Current liabilities $ Accounts receivable Long-term debt 30,000 Inventories Common stock Fixed assets Retained earnings 60,000 Total assets $200,000 Total liabilities and equity $ Sales $ Cost of goods sold $

Counting Services Inc. has the following portfolio of trading equity securities at 12/31/17. All securities were purchased during 2017.

Symbol # shares Total Cost Market Value

AAPL 1000 $102,000 $107,000

BMX 2000 $47,000 $41,000

GNC 3000 $64,000 $87,000

Total $213,000

• Prepare the adjustment necessary at 12/31/17.

• On February 12, 2018, Counting Services sells 1,000 shares of AAPL for $115,000. Prepare the journal entry.

• The total cost of the two remaining securities is $111,000 and the market value is $130,000 at March 31, 2018. Prepare the adjusting entry.

Assume that during the past m onth, Fineway produced 10,000 cartons of highlighters. Highlighters has a translucent barrel and cap with a visible ink supply for see through colour. The special fluorescent ink is fade and water resistance. Each carton contains 100 boxes of markers and each box contains five markers. The markers come in boxes of one of five fluorescent colours- orange, blue, yellow, green and pink and in a fivc colour set. The standard cost for one carton of 500 markers is as follows: Standard Manufacturing Cost Elements Quantity Price Cost Direct materials Tips (boxes of 500 Translucent barrels and caps (boxes of 500 Fluorescent ink (5 litre container) x $o.03 X $O.09 = $45.00 X $6.40 $32.00 500 $15.00 500 Slitre Total direct material = $92.00 Direct labour 0.25 hours X $9.00 $2.25 0.25 hours X $48.00 $12.00 = $106.25 Overhead Total cost of production During the month, the following transactions occurred in manufacturing 10,000 cartons of highlighters: 1) Purchased 10,000 boxes of tips for $148,000, ($14.80 per 500 tips), Purchased 10,200 boxes of translucent barrels and caps for $453,900 ($44.50 per 500 barrels and caps) and purchased 9,900 containers of fluorescent ink for $328,185 ( $33.15 per five litre container). 2) All materials purchased during the period were used to make markers during the period. 3) A total of 2,300 direct labour hours were worked at a total labour cost of $20, 240 ( an average hourly rate of $8.80) 4) The variable manufacturing overhead incurred was $34,600 and the fixed overhead incurred was $84,000 5) The manufacturing overhead rate of $48.00 is based on a normal capacity of 2,600 direct labour hours. The total budget at this capacity is $83,980 fixed and $40,820 variable. Required;

a) Calculate the total actual cost incurred
b) Calculate the total standard costs for the actual quantity produced
Using the same data in question 3 answer the following questions:
a) Calculate the total direct material variances (price and volume/quantity)
B) Calculate direct labour variances (Rate and efficiency)
c) Calculate the total overhead variance (Fixed and variable overhead)
D) Determine whether Fineway met its price and quantity objectives for materials, labour and
overhead.
(For the variances calculated you should indicate if it is favourable (F) or unfavourable (U))

Eire Products is a specialty lubricants company. The Lake Plant produces a single product in three departments: Filtering, Blending, and Packaging. Additional materials are added in the Blending Process when units are 50 to 55 percent complete with respect to conversion. Information for operations in June in the Blending process appear as follows.

Work in process on June 1 consisted of 12,000 barrels with the following costs.

During June, 131,000 barrels were transferred in from Filtering at a cost of $388,960. The following costs were added in Blending in June.

Blending finished 130,000 barrels in June and transferred them to Packaging. At the end of June, there were 13,000 barrels in work in process inventory. The units were 60 percent complete with respect to conversion costs.

The Blending Department uses the weighted-average method of process costing. The Filtering Department at Eire uses the FIFO method of process costing. The cost analyst in Blending has learned that if the Filtering Department at Eire had used the weighted average method, the amount of costs transferred in from Filtering would have been $14,840 in the beginning work in process and $167,660 for the amount transferred in this month.

Required:

Prepare a production cost report for June for the Blending Department. (Round "Cost per equivalent unit" to 2 decimal places.)

Eire Products is a specialty lubricants company. The Lake Plant produces a single product in three departments: Filtering, Blending, and Packaging. Additional materials are added in the Blending Process when units are 50 to 55 percent complete with respect to conversion. Information for operations in June in the Blending process appear as follows.

Work in process on June 1 consisted of 12600 barrels with the following costs.

During June, 134000 barrels were transferred in from Filtering at a cost of $442,840. The following costs were added in Blending in June.

Blending finished 133,000 barrels in June and transferred them to Packaging. At the end of June, there were 13,600 barrels in work in process inventory. The units were 60 percent complete with respect to conversion costs.

The Blending Department uses the weighted-average method of process costing. The Filtering Department at Eire uses the FIFO method of process costing. The cost analyst in Blending has learned that if the Filtering Department at Eire had used the weighted average method, the amount of costs transferred in from Filtering would have been $15,740 in the beginning work in process and $171,260 for the amount transferred in this month.

Required:

Prepare a production cost report for June for the Blending Department. (Round "Cost per equivalent unit" to 2 decimal places.)