Let’s assume that you are the owner of Burgerking branch. Your branch is open April 1, 2020. You have the absolute autonomy in operating your branch, so you sell only one product doubleCheeseburger. Your branch consists of three area; dining, cooking, and admin office. There are lots of facilities such as tables, chairs, and beverage dispensers in the main hall, cooking machines in the kitchen, and computers in the office. You hire a general manager and several staffs. You need several raw materials such as bread, beef, vegetables and seasoning. Please answer the following requirements for the period from April 1 2020 to April 30 2020.

Requirements:

1. Identify the chart of account (COA) of Burgerking. More than 10 accounts relating expenses (costs) should be identified. You can refer accounts from the income statements of any company, such as wages and salaries, depreciation, rent, insurance, utilities, advertising, property taxes.

2. Classify your accounts into according to the various cost terms used in Chapter 1(Managerial Accounting)

3. Set up the dollar amounts of each account as you prefer. They will be actually incurred at your branch.

4. Determine the predetermined overhead rate with direct labor costs as allocation base.

5. Compute and discompose underapplied or overapplied overhead balances.

6. Set up the flow of costs using inventory accounts (Raw materials, Work in Process, and Finished Goods) as you prefer, by completing T-accounts.

7. Prepare the schedule of cost of goods manufactured and the schedule of cost of goods sold.

8. If you want to set the selling price of doubleCheeseburger at $10 with the markup percentage of 40%, then how many doubleCheeseburger should be manufactured for this period?

You can make additional assumptions and add other information if necessary.

You are also allowed to create your own setting instead of BurgerKing above. You need to just describe details on it.

Answer rating: 100% (QA)

1 Chart of Accounts for Burgerking should consist of atleast following cost related heads Wages Salaries Employee Benefit Expenses Raw Material Purcha... View the full answer