Financial Accounting Expenses And Inventory Homework Help
- November 16, 2017
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- Category: Accounting QA
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1. Lyons Company consist of two divisions A and B. Lyons Company reported a contribution margin of $60,000 for division A, and had a contribution margin ratio of 30 percent in division B, when sales on division B were $240,000. Net operating income for the company was $22,000 and traceable fixed expenses $45,000. How much were Lyons Company’s common fixed expenses?
2. Atlantic Company produces a single product. For the most recent year, the company s net operating income computing by absorption costing method was $7,800, and its net operating income computed by the variable costing method was $10,500. The company s unit product was $15 under variable costing and $24 under absorption costing. If the ending inventory consisted of 1,460 units, how many units must have been in the beginning inventory?
3. Black Company uses the weighted-average method in its process costing system. The company s ending work-in-process inventory consist 6,000 units, 75 percent complete with respect to materials and 50 percent with respect to labor and overhead. If the total dollar value of the inventory is $80,000 and the cost per equivalent unit for labor and overhead is $6.00, what is the cost per equivalent unit for materials?
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4. At Overland Company, maintenance cost is exclusively at variable cost that varies directly with machine-hours. The Performance report for July showed that actual maintenance cost totaled $11,315 and that the associated rate variance was $146 unfavorable. If 7,300 machine hours were actually worked during July, What is the budgeted maintenance cost per machine hour?
5. The cost of goods sold in a retail stored totaled $650,000. Fixed selling and administrative expenses totaled $115,000 and variable selling and administrative expenses were $420,000. If the store s contribution margin totaled $590,000, how much were the sales?
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