Popeye Company is a metal and wood cutting manufacture – Click on this link
ACC203 Assignment
Question 2
Foxwood Company is a metal and woodcutting manufacturer, selling products to the home construction market. Consider the following data for 2018:
| Sandpaper | $2,000 |
| Materials-handling costs | 70,000 |
| Lubricants and coolants | 5,000 |
| Miscellaneous indirect manufacturing labour | 40,000 |
| Direct manufacturing labour | 300,000 |
| Direct materials inventory 1 Jan 2018 | 40,000 |
| Direct materials inventory 31 Dec 2018 | 50,000 |
| Finished goods inventory 1 Jan 2018 | 100,000 |
| Finished goods inventory 31 Dec 2018 | 150,000 |
| Work in process inventory 1 Jan 2018 | 10,000 |
| Work in process inventory 31 Dec 2018 | 14,000 |
| Plant leasing costs | 54,000 |
| Depreciation – plant equipment | 36,000 |
| Insurance on plant equipment | 3,000 |
| Direct material purchased | 460,000 |
| Sales revenues | 1,360,000 |
| Marketing promotions | 60,000 |
| Marketing salaries | 100,000 |
| Distribution costs | 70,000 |
| Customer service costs | 100,000 |
Required:
1) Prepare a schedule of cost of goods manufactured.
2) Prepare a schedule of costs of goods sold.
3) Prepare an income statement.
Question 3.
Karlene Industries produces plastic ice cube trays in two processes: heating and stamping. All materials are added at the beginning of the Heating Department process. Karlene uses the weighted averaged method to compute equivalent units.
On 1 November 2016, the Heating Department had in process 1,000 trays that were 70% complete. During November, it started into production 12,000 trays. On 30 November, 2016, 2000 trays that were 60% complete were in process.
The following cost information for the Heating Department was also available.
Work in process, 1 November:
| Direct material (100% complete) | $640 |
| Conversion costs (70% complete) | $360 |
| Balance in work in process, 1 November | $1,000 |
Costs incurred during November:
Direct material $3,000
Conversion costs:
Direct labour $2,300
Manufacturing overhead $4,050 $6,350
Total production costs incurred during November $9,350
Required:
- Analysis of physical flow of units
- Calculation of equivalent units
- Calculation of units cost
- Analysis of total costs
Question 4.
Martinez Building Products Company is one of the largest manufacturers and marketers of unique, custom made residential garage doors in the U.S. It also is a major supplier of industrial and commercial doors, grills, and counter shutters for the new construction, repair, and remodel markets.
Martinez uses a job cost system and applies overhead to production on the basis of direct labour cost. In computing a predetermined overhead rate for the year 2018, the company estimated manufacturing overhead to be $24 million and direct labour costs to be $20 million. In addition, it developed the following information.
Actual costs incurred during 2018
Direct materials used $30,000,000
Direct labour cost incurred 21,000,000
Insurance for factory 500,000
Indirect labour 7,500,000
Factory maintenance 1,000,000
Rent on factory building 11,000,000
Depreciation on factory equipment 2,000,000
Required
- Why is Martinez Building Products Company using a job costing system?
- On what basis does Martinez allocate its manufacturing overhead? Please calculate the predetermined overhead rate for 2018.
- Calculate the amount of the under- or overapplied overhead for 2018.
Click on Buy Solution and make payment. All prices shown above are in USD. Payment supported in all currencies. Price shown above includes the solution of all questions mentioned on this page. Please note that our prices are fixed (do not bargain).
After making payment, solution is available instantly.Solution is available either in Word or Excel format unless otherwise specified.
If your question is slightly different from the above question, please contact us at info@myassignmentguru.com with your version of question.