Managerial Accounting Course Workbook Assignments Must Be


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Hi Pram, Here is another assignment that is due next Monday. I know I gave you 40 for the last assignment due to the fact that I only gave you a day to do it. Can you take a look at it and let me know what you would charge. I was thinking 20-25 dollars, but let me know what you feel is relevant to the work. The answers to the problems on created tabs was a great addition and I will need the same thing for this. Supplememental problems wk 2.xlsx Managerial Accounting Course Workbook Assignments Must Be Submitted in the Course Dropbox as Indicated Computational Problem 1 You may want to use a job cost sheet 1. The C&C candy company uses machine hours to allocate manufacturing overhead. The company estimates $150,000 worth of manufacturing overhead and 3,000 machine hours. 2. The batch ticket for Batch 126 reveals the following information 3,000 oz of chocolate at 50 cents per ounce 400 hours of direct labor at $15 per hour 180 machine hours 82,500 candy bars were produced. Computational Problem 2 Computational Problem 3 The Cholesterol Company is reexamining its pricing based upon a recent report from a consultant. Currently, the company uses a volume based pricing system with direct labor hours as the cost driver. They are uncomfortable with a volume-based system because of its behavioral consequences. Accordingly, they are considering switching to either an activity based costing system or a volume based system using machine hours as the cost driver. The company produces VERY expensive jeweled eggs. Jake’s Truck Stop is questioning its profits. Currently, Jake’s has two profit center (other than gas service) Food Service and Grocery. The support departments are Administration, Utilities and Float Labor. Allocate the support departments to the profit centers as indicated below using the direct and sequential/step method. Ignore Gas Service. (Order for sequential/step method – administration, utilities and float labor.) An analysis of cost pools produced the information below: Activity REQUIRED: DETERMINE THE COST OF ONE BAR Costs Total MOH: Machine Related costs $ Cost Driver Expected level of cost driver 100,000 moh hrs 100,000 cups of mix 50,000 cups Engineering & Tech$ 100,000 # parts rate 20,000 hours Material handling $ Pool Level of Cost Driver Utilities Direct Costs Expected Annual Administration $300,000 $200,000 $100,000 $855,000 $675,000 Assigned Overhead Number of Employees 15 1 30 30 20 Square Feet 11,000 1,000 2,000 25,000 15,000 Cost Number of Transactions 0 0 0 7500 2500 $ $ $ Allocate Based upon Administration Number of Employees Utilities Quality control Machine set up Other overhead cost Department Square Feet Float Labor Float Labor Food Service Grocery Number of Transactions 100,000 parts 16,000 direct labor h 8,000 hrs 50,000 # of set-ups 100 setups direct labor $ 80,000 $$ 160,000 dollars Indicate the TOTAL COST for Each Profit Center when all overhead costs are allocated to the profit centers (don’t forget to include direct costs in your total) TOTAL COST Total $ 526,000 The EGG is produced in batches of 100. The Batch ticket for the EGG shows the following: Allocation Method Food Service Grocery Sequential/ Step Direct Batch Ticket for Batch Number 333 Labor hours—600 hours at $14 per hour Raw Materials-1,000 cups of mix. at $1 per cup Machine hours—184 Parts used—142 parts Set ups required—2 set ups a. Compute the cost of one EGG using machine hours to allocated manufacturing overhead. SHOW AND LABEL ALL OF YOUR WORK, IDENTIFYING ALL PORTIONS OF THE COST – remember to compute the entire product cost of one EGG Cost per EGG ___________________________________________ . b. Compute the cost of one EGG using activity based costing to allocate the overhead. SHOW AND LABEL ALL OF YOUR WORK, IDENTIFYING ALL PORTIONS OF THE COST – remember to compute the entire product cost of one EGG. Cost per EGG ___________________________________________ Part 2 Briefly

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