Reference no: EM131125006
Question 2 - CIA 1195 III-94 - Activity-Based Costing Believing that its traditional cost system may be providing misleading information, an organization is considering an activity-based costing approach. It now employs a full cost system and has been applying its manufacturing overhead on the basis of machine hours. The organization plans on using 50,000 direct labor hours and 30,000 machine hours in the coming year. The following data show the manufacturing overhead that is budgeted. Activity Cost Driver Budgeted Activity Budgeted Cost Material handling No. of parts handled 6,000,000 $720,000 Setup costs No. of setups 750 315,000 Machining costs Machine hours 30,000 540,000 Quality control No. of batches 500 225,000 Total Manufacturing Overhead Cost $1,800,000 Cost, sales and production for one of the organization's products for the coming year are as follows: Prime Costs: Direct material cost per unit $4.40 Direct labor cost per unit = .05 DLH @ $15/DLH .75 Total Prime Cost $5.15 Sales and Production Data: Expected sales 20,000 units Batch size 5,000 units Setups 2 per batch Total parts per finished unit 5 parts Machine hours required 80 MH per batch
a.) Compute the per- unit cost for this product for 2014 if Missoula uses the traditional full-cost system.
b.) Compute the per-unit cost for this product for 2014 if the Missoula employs an activity-based costing system.
c.) Assume the company wishes to achieve a gross profit rate of 40 percent. Determine the selling price that would be required based on the answer to (a) and(b)
Calculate each resident''s consumer surplus
: What real-world considerations absent in the problem above might provide reasons to favor an admission fee?
|
Create your nab company name and explain its significance
: Create your NAB company name and explain its significance. Develop your company's Mission Statement and provide a rationale for its components.
|
Concerned about the protability of its regular dictionaries
: Briones Books is concerned about the pro?tability of its regular dic- tionaries. Company managers are considering producing only the top-quality, hand-sewn dictionaries with gold-edged pages.
|
Calculate delta go for myoglobin denaturation
: calculate delta Go for myoglobin denaturation at the given pH (9) and temperature(25oC).- Is the unfolding driven by entropy or enthalpy? Explain
|
Costing believing that its traditional cost system
: Activity-Based Costing Believing that its traditional cost system may be providing misleading information, an organization is considering an activity-based costing approach. It now employs a full cost system and has been applying its manufacturing..
|
Explain when a physical model can be created
: For this essay, imagine you are approached by a member of a business department that has no idea what SDLC is, and they want to know when a physical model is created. You must first describe the SDLC and its phases. Then, explain when a physical m..
|
Design a non recursive algonthin for finding by Link hopping
: Design a non recursive algonthin for finding by link hopping d e., traverse the int by following links), ow middle node of a doubly linked list with header and trader cent nets. (Note. This method must only use Ink hopping; it cannot use • counter.)
|
The titles of the financial reports in the intel corp
: a. Name the titles of the financial reports in the Intel Corp. annual report that provide specific information about economic resources, claims to resources, and changes in resources and claims.
|
Does it fit into our contemporary society
: In this exercise you are to write a short paper (1-2 pages of text) analyzing the term "white collar crime." I am looking for a thorough analysis of how the meaning of this phrase has developed and changed through the years since it was first int..
|