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K&J Web Designs creates Web sites for businesses. K&J has a basic Web site creation package that it offers for a flat fee of $600.This package includes everything that a business would need to have a simple but functional Web site built. K&J estimates that each of these Web sites should take, on average, 6 hours of Web designer time. K&J pays its Web design employees an average of $35 per hour. Last month, K&J sold and built 125 Web sites for $600 each. Web design employees worked a total of 750 hours at a total payroll cost of $28,500.
Required:
a. Calculate the labor rate and efficiency variances for the past month.
b. Calculate the standard amount of contribution margin (sales price less variable labor cost) that K&J would expect to make on an average Web site.
c. Calculate the actual amount of contribution margin (sales price less variable labor cost) that K&J made, on average, on each Web site in the past month.
Refer to the information in QS 20-2 and QS 20-3. Blanche's Boxes requisitioned $ 9,000 of indirect materials from its raw materials and used $ 10,000 of indirect labor in its production of boxes.
The Dallas plant of Oscar Chemical processes talphazine into zetazine and gammazine. A batch consists of 20,000 gallons of talphazine, costing $11,000.
Prepare a production cost report for the month of March and April
The cost of capital used in the capital budgeting analytical process is primarilly a function of
1.Refer to Polaris statement of cash flows in Appendix A.
A firm currently has a 36 day cash cycle. Assume that the firm changes its operations such that it decreases its receivables period by 4 days, increases its inventory period by 1 day and decreases its payable period by 2 days.
In 2010, the Bayside Chemical Company prepared the following analysis of an investment proposal for a new manufacturing facility: . Do you have any suggestions that might increase the project’s net present value? (No calculations are required.)
Create general ledger accounts for each account
Feather Friends, Inc., distributes the high-quality wooden birdhouse which sells for $20 for each unit. Variable costs are $8 per unit, and fixed costs total $180,000 per year.
Prepare a scatter graph of customer service cost (vertical axis) and sales (horizontal axis).
Green Company's costs for the month of August were as follows: direct materials, $27,000; direct labor, $34,000; selling, $14,000; administrative, $12,000; and manufacturing overhead, $44,000.
Refer to the Financial Statements for Sears (SHLD) and JC Penney's(JCP) on finance.google.com Calculate each company's Cash Conversion Cycle for the two most recent years.
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