ACCOUNTING HELP

20170215155512excel_homework_1.xlsx

Exercise 1

ACCT 301 Week 6 HW
Exercise #1
	Costs for 500 tables		Instructions:
			Determine	Product costs			Period costs
			Determine	Direct materials	Direct labor	overhead	selling	admin
	Spervisor salaries	300,000
	Indirect labor incurred during the period	125,000
	Raw materials transferred into production	700,000
	Cost of glues and screws	35,000
	Selling costs	500,000
	Direct labor incurred during the period	3,300,000
	General, and administrative costs incurred	550,000
	Depreciation of factory equipment	75,000
	All other factory overhead	300,000
		Totals		- 0	- 0	- 0
		Total manufacturing costs				- 0
	cost per table					$ - 0
	Study
	Total manufacturing costs
		SCHEDULE OF COST OF GOODS SOLD
		The determination of cost of goods sold is made via an examination of changes in finished goods:
		THE INCOME STATEMENT
		The cost of goods sold number within the income statement is taken from the preceding schedules, and is found in the income statement below.

Exercise 2		ACCT 301 Week 6 HW
	Job order costing
	Renaissance Gallery converts photographs to portraits via a tedious hand painting process. Costs are tracked for each painting, with gallery overhead being applied at 125% of direct labor cost. Larry Walther: B-19.05
	Renaissance Gallery began June with one job in process. This job related to the Price Wedding photo, and beginning work in process included total costs of $14,440 (direct labor, direct material, and applied overhead).
	During June, four new jobs were begun. These consisted of the Ramirez family portrait, the Oberweiss farm photo, the Ravenwood big fish picture, and the Zhang baby picture. The only job remaining in process at the end of June was the Ravenwood big fish picture. To date, $13,000 in direct labor and $3,500 of direct materials had been committed to the Ravenwood job.
			Begin WIP +	WIP	minus	End WIP	= transferred to FG
	Total direct labor incurred on all jobs during June was $60,900. Total direct material incurred on all jobs during June was $11,700.		Beginning WIP			Ravenwood
			labor
(a)	Compute the ending work in process inventory balance and the total cost assigned to finished jobs.		materials
(b)	Why is it necessary to track costs to individual jobs?		overhead 125%			?
(c)	The overhead application rate is based on estimates.					?
	What happens if the amount of overhead applied to individual jobs differs from the amount of overhead actually incurred?			WIP
			labor
			materials
			overhead 125%	?		Finished goods
				?

Exercise #3		(a)	Mader COMPANY
	At May 31, 2014, the accounts of Mader Company show the following job order cost system.		Cost of Goods Manufactured Schedule
			For the Month Ended May 31, 2014
	May 1 inventories—finished goods $12,600, work in process $14,700, and raw materials $8,200.
			Work in process, May 1
	May 31 inventories—finished goods $9,500, work in process $17,900, and raw materials $7,100.		Direct materials used
			Direct labor
	additional postings to work in process were direct materials $62,400, direct labor $50,000, and manufacturing overhead applied $40,000.		Manufacturing overhead applied
				Total manufacturing costs
	Sales revenue totaled $210,000.		Total cost of work in process
	Instructions		Less: Work in process, May 31
	(a)		Cost of goods manufactured
	Prepare a condensed cost of goods manufactured schedule.
	(b)
	Prepare an income statement for May through gross profit.
	(c)	(b)	Mader COMPANY
	Indicate the balance sheet presentation of the manufacturing inventories at May 31, 2014.		(Partial) Income Statement
			For the Month Ended May 31, 2014
			Sales revenue
			Cost of goods sold
				Finished goods, May 1
				Cost of goods manufactured
				Cost of goods available for sale
				Less: Finished goods, May 31
					Cost of goods sold
			Gross profit
		(c)	MANTLE COMPANY
			(Partial) Balance sheet
			31-May-14
			Current assets:
				Finished goods inventory
				Work in process inventory
				Raw materials inventory

	Exercise 4		ACCT 301 Week 6 HW
	Process cost system	Step #1
		Physical flow
		begin WIP	Started		Transferred out	End WIP
		4000	2000	=	4000	?
	The Finishing Department of Cosette Company has the following production and cost data for July:
1	Beginning Inventory 4000 units	(a)		Equivalent Units
2	Transferred out, 4,000 units. Beginning 4000 units		Physical Units	Materials	Conversion Costs
3	Started 2,000 units that are 40% completed at July 31.	Transferred Out	4,000
4	Materials added, $30,000; conversion costs incurred, $19,200.	Work in Process, July 31	?
			Total
	Materials are entered at the beginning of the process. Conversion costs, %, are incurred uniformly during the process.
			Unit costs
Instructions		(b)	Materials cost per unit =		($30,000 ÷ x units)
(a)	Compute the equivalent units of production for materials and conversion costs for the month of July.		Conversion cost per unit =		($19,200 ÷ y units)
(b)	Compute unit costs and prepare a cost reconciliation schedule.
	Conversion = Labor plus overhead		Cost Reconciliation Schedule
	Prime = materials and labor		Costs accounted for
				Transferred out
				Work in process, July 31
					Materials
					Conversion costs
			Total costs

Exercise 5		ACCT 301 Week 6 HW
ABC costing
A company incurs $2,400,000 of overhead each year in three departments: Processing, Packaging, and Testing. The company performs 800 processing transactions, 200,000 packaging transactions, and 2,000 tests per year in producing 400,000 drums of Oil and 600,000 drums of Sludge. The following data are available:
	Department	Expected Use of Driver	Cost	Per unit
	Processing	800	$1,000,000
	Packaging	200,000	1,000,000
	Testing	2,000	400,000
			$2,400,000
		Oil	Sludge
	Department	Expected Use of Driver	Expected Use of Driver
	Processing	300	500
	Packaging	120,000	80,000
	Testing	1,600	400
	Processing	$0	$0	$0
	Packaging	0	0	$0
	Testing	0	$0	$0
	Totals	$0	$0	$0