Questions
It is budget time and the CEO has asked you to develop a presentation on cost...

It is budget time and the CEO has asked you to develop a presentation on cost concepts and how it is used in decision making. As the Director of Budgeting and Finance, you have been tasked to present the presentation to all directors, supervisors and physicians. The CFO has ask you to address the following:

  • How and why do we classify cost?
  • Discuss the four major categories of direct and indirect cost and explain each. Give examples of each.
  • What is the difference between controllable and uncontrollable cost, give an example of each.
PLEASE USE EXAMPLES AND DETAILS

In: Finance

What are some to the hidden cost an organization need to deal with after a data...

What are some to the hidden cost an organization need to deal with after a data breach? Use your own word

In: Computer Science

daughn corporation is considering investing in a new facility the estimated cost of the facility is...

daughn corporation is considering investing in a new facility the estimated cost of the facility is 1904630 it will be used for 12 years then sold for 713200 the facility will generate annual cash inflows of 370700 and will need new annual cash outflows of 155600 the company has required rate of return of 7%. calculate the internal rate of return on this project

In: Accounting

Cost of Units Completed and in Process The charges to Work in Process—Assembly Department for a...

Cost of Units Completed and in Process

The charges to Work in Process—Assembly Department for a period, together with information concerning production, are as follows. All direct materials are placed in process at the beginning of production.

Work in Process—Assembly Department
Bal., 4,000 units, 30% completed 12,400 To Finished Goods, 92,000 units ?
Direct materials, 94,000 units @ $1.9 178,600
Direct labor 286,700
Factory overhead 111,480
Bal. ? units, 30% completed ?

Cost per equivalent units of $1.90 for Direct Materials and $4.30 for Conversion Costs.

a. Based on the above data, determine the different costs listed below.

If required, round your interim calculations to two decimal places.

1. Cost of beginning work in process inventory completed this period. $
2. Cost of units transferred to finished goods during the period. $
3. Cost of ending work in process inventory. $
4. Cost per unit of the completed beginning work in process inventory, rounded to the nearest cent. $

b. Did the production costs change from the preceding period?
Yes

c. Assuming that the direct materials cost per unit did not change from the preceding period, did the conversion costs per equivalent unit increase, decrease, or remain the same for the current period?
Increase

In: Accounting

Cost of Units Completed and in Process The charges to Work in Process—Assembly Department for a...

Cost of Units Completed and in Process

The charges to Work in Process—Assembly Department for a period, together with information concerning production, are as follows. All direct materials are placed in process at the beginning of production.

Work in Process—Assembly Department
Bal., 4,000 units, 25% completed 9,800 To Finished Goods, 92,000 units ?
Direct materials, 94,000 units @ $1.6 150,400
Direct labor 251,200
Factory overhead 97,710
Bal., ? units, 55% completed ?

Cost per equivalent units of $1.60 for Direct Materials and $3.70 for Conversion Costs.

a. Based on the above data, determine the different costs listed below.

If required, round your interim calculations to two decimal places.

1. Cost of beginning work in process inventory completed this period $
2. Cost of units transferred to finished goods during the period $
3. Cost of ending work in process inventory $
4. Cost per unit of the completed beginning work in process inventory (Rounded to the nearest cent.) $

b. Did the production costs change from the preceding period?

c. Assuming that the direct materials cost per unit did not change from the preceding period, did the conversion costs per equivalent unit increase, decrease, or remain the same for the current period?

In: Accounting

A company sells Gizmos to consumers at a price of $117 per unit. The cost to...

A company sells Gizmos to consumers at a price of $117 per unit. The cost to produce Gizmos is $27 per unit. The company will sell 15,000 Gizmos to consumers each year. The fixed costs incurred each year will be $190,000. There is an initial investment to produce the goods of $3,400,000 which will be depreciated straight line over the 10 year life of the investment to a salvage value of $0. The opportunity cost of capital is 6% and the tax rate is 34%. What is operating cash flow each year? answer 881200

b) Using an operating cash flow of 881,200 each year, what is the NPV of this project? how do you do part b?

In: Accounting

Cost of Units Completed and in Process The charges to Work in Process—Assembly Department for a...

Cost of Units Completed and in Process

The charges to Work in Process—Assembly Department for a period, together with information concerning production, are as follows. All direct materials are placed in process at the beginning of production.

Work in Process—Assembly Department
Bal., 9,000 units, 60% completed 37,440 To Finished Goods, 207,000 units ?
Direct materials, 212,000 units @ $1.7 360,400
Direct labor 671,900
Factory overhead 261,340
Bal. ? units, 75% completed ?

Cost per equivalent units of $1.70 for Direct Materials and $4.40 for Conversion Costs.

a. Based on the above data, determine the different costs listed below.

If required, round your interim calculations to two decimal places.

1. Cost of beginning work in process inventory completed this period. $
2. Cost of units transferred to finished goods during the period. $
3. Cost of ending work in process inventory. $
4. Cost per unit of the completed beginning work in process inventory, rounded to the nearest cent. $

b. Did the production costs change from the preceding period?
Yes

c. Assuming that the direct materials cost per unit did not change from the preceding period, did the conversion costs per equivalent unit increase, decrease, or remain the same for the current period?
Increase

In: Accounting

What is the cost of various approvals and permits when building a sports field?

What is the cost of various approvals and permits when building a sports field?

In: Operations Management

A new office building has been constructed at a cost of $3,000,000. It is estimated to...

A new office building has been constructed at a cost of $3,000,000. It is estimated to have a life of 50 years with a value at that time of $200,000. It will have maintenance costs of $10,000 per year. It will also have major repairs costing $80,000 that occur at years 10, 20, 30 and 40. It will have additional repairs at the end of year 25 costing $250,000. Determine the equivalent uniform annual cost if the rate of interest of the firm is 7%

In: Accounting

Why is depreciation-A method of cost allocation rather than a matter of valuation?

Why is depreciation-A method of cost allocation rather than a matter of valuation?

In: Accounting