Alpha Mfg produces and sells toys. The company produces three different types of toys- Budget Toys,...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Alpha Mfg produces and sells toys. The company produces three different types of toys- Budget Toys, Midrange Toys and the High Performance Toys. The budgeted and actual sales and contribution margins for the month are as follows: Budget: Sales $/Unit V.C/Unit CM/Unit Sales Volume (Units) Budget $132 $75 $57 40,000 Midrange $289 $100 $189 45,000 High performance $399 $199 $200 15,000 Actual: Toy Sales $/Unit V.C/Unit CM/Unit Sales Volume (Units) Budget $125 $70 $55 55,000 Midrange $295 $90 $205 45,000 High performance $355 $210 $145 25,000 REQUIRED: Calculate the Sales Mix and Sales Quantity Variance for each product. Briefly comment on the results. Question 2 (6 Marks) Treated Lumber Company specializes in processing treated wood. All direct materials are included at the inception of the sawing process and conversion is applied at the end of the process. For December there was no beginning inventory in the sawmill. Direct materials totalled $399,750 for the month and conversion costs totalled $165,000. work-in-process records revealed that 75,000 boardmetres were started in December and that 55,000 boardmetres were completed. Ending work-in-process units are complete only in respect to direct materials costs. Required: a. What is the total manufacturing cost per equivalent unit (boardmetres) for December? b. What are the costs assigned to completed boardmetres in December? c. What are the costs transferred out during December? d. What are the amounts assigned to December's ending work-in-process inventory? Alpha Mfg produces and sells toys. The company produces three different types of toys- Budget Toys, Midrange Toys and the High Performance Toys. The budgeted and actual sales and contribution margins for the month are as follows: Budget: Sales $/Unit V.C/Unit CM/Unit Sales Volume (Units) Budget $132 $75 $57 40,000 Midrange $289 $100 $189 45,000 High performance $399 $199 $200 15,000 Actual: Toy Sales $/Unit V.C/Unit CM/Unit Sales Volume (Units) Budget $125 $70 $55 55,000 Midrange $295 $90 $205 45,000 High performance $355 $210 $145 25,000 REQUIRED: Calculate the Sales Mix and Sales Quantity Variance for each product. Briefly comment on the results. Question 2 (6 Marks) Treated Lumber Company specializes in processing treated wood. All direct materials are included at the inception of the sawing process and conversion is applied at the end of the process. For December there was no beginning inventory in the sawmill. Direct materials totalled $399,750 for the month and conversion costs totalled $165,000. work-in-process records revealed that 75,000 boardmetres were started in December and that 55,000 boardmetres were completed. Ending work-in-process units are complete only in respect to direct materials costs. Required: a. What is the total manufacturing cost per equivalent unit (boardmetres) for December? b. What are the costs assigned to completed boardmetres in December? c. What are the costs transferred out during December? d. What are the amounts assigned to December's ending work-in-process inventory?
Expert Answer:
Answer rating: 100% (QA)
Question 1 Sales Mix and Sales Quantity Variance 1 Sales Mix Variance The sales mix variance measures the difference between the actual sales mix and the budgeted sales mix multiplied by the actual to... View the full answer
Related Book For
Managerial accounting
ISBN: 978-0471467854
1st edition
Authors: ramji balakrishnan, k. s i varamakrishnan, Geoffrey b. sprin
Posted Date:
Students also viewed these accounting questions
-
Please describe the various mutual funds available to investors and explain the main differences within the various types of mutual funds and how these funds are sold in the market.
-
9. The management of Tarantulagoodies is considering a reduction in the corporation's debt ratio. The following information is available: Debt Common Stock $13,000,000, kd=7%, tax-rate-21%...
-
Question 1 Anytime Best Coffee (ABC) manufactures and sells packets of coffee capsules for use in coffee machines through their website. Management is concerned about a projected drop in the number...
-
Write an HTML document to create a form that collects favorite popular songs, including the name of the song, the composer, and the performing artist or group. This document must call one PHP script...
-
Refer to Exercise 5.16. Graph the power curve for rejecting H0: $ 26 for the following values of : 20, 21, 22, 23, 24, 25, and 26. a. Describe the change in the power as the value of decreases...
-
In an experiment to compare bearing strengths of pegs inserted in two different types of mounts, a sample of 14 observations on stress limit for red oak mounts resulted in a sample mean and sample...
-
You are a financial adviser with a client in the wholesale produce business that just completed its first year of operations. Due to weather conditions, the cost of acquiring produce to re sell has...
-
McGrath Financial Corp. has a defined benefit pension plan. As of January 1, 2011, the following balances were computed for the pension plan: Deferred pension gain . . . . . . . . . . . . . . . . . ....
-
Logs 0 No evidence provided. 1 I can demonstrate some understanding of logs. Complete the following table: 2 3 I can inconsistently translate logs. I can consistently translate logs. I can apply what...
-
What is the price of a 182-day, $10,000.00 Government of Canada treasury bill that yields 3.48% per annum?
-
What are hedge funds?
-
Explain four of the types of lending banks offer.
-
Why should application programs that update monetary data items in the database maintain a suspense account?
-
Write an essay distinguishing between the four different types of banking and explain their different functions.
-
Distinguish between an open-ended scheme and a closed-ended scheme.
-
Describe market powe r? How can it be used for competition and making strategic decisions? How does it impact the corporation/industry? Please provide example. Describe Multipoint competition ? How...
-
Use of the contraceptive Depo Provera appears to triple women's risk of infection with chlamydia and gonorrhea , a study reports today. An estimated 20 million to 30 million women worldwide use Depo...
-
When it comes to translating the financial statements of entities in highly inflationary countries, which of the following approaches makes more sense and why? a. Remeasure using the temporal method,...
-
Why do currency differences affect foreign exchange reporting?
-
Why do German and French approaches to reporting foreign exchange gains and losses differ from those in the United Kingdom?
Study smarter with the SolutionInn App