Data for a recent month for the first department follow: units material labor overhead WIP beginning 5,000 $4,320 $1,040 $1,790 units started in process 45,000 unit transferred out 42,000 WIP ending 8,000 cost added during the month $52,800 $21,500 $32,250 The beginning work in process inventory was 80% complete with respect to materials and 60% complete with respect to labor and overhead. The ending work in process inventory was 75% complete with respect to materials and 50% complete with respect to labor and overhead. Required: Assume that the company uses the weighted-average method of accounting for units and costs. 1. Compute the equivalent units for the month for the first department.
Matthew Yarian ACCT 515 Unit 3 9/17/2016 Chapter 4 4-15) Since many of the indirect cost occurred during a year are not known until the end of the year or accounting period companies use predetermined cost driver rates. In establishing predetermined cost driver rates one must choose a cost driver such as labor and/or machine hours for example. Using a predetermined cost driver gives a company a tool to help keep expenses in proportion with sales and production volumes which allows them to make important decisions about products. 4-18) For companies that use a cost plus pricing strategy computing the cost driver rate by using the planned level of the cost driver would lead to a death spiral. A death spiral occurs when demand for a certain product goes down, but the price of the product increases.
1. Weekly Planning – Observing weekly tasks, prioritising short term jobs and allocating time slots for a weeks’ worth of work. Included would be allocated time frames and tasks for the days, setting out what needs to be done and for how long. Even such things as going through emails, talking with staff, having computer input and discussing matters of importance should be included to reduce stress and time pressures from the individual. This creates a meaningful and realistic plan for greater time management and something to aim for while undertaking tasks for the greatest efficiency.
There are some special forms of cost reimbursement contract like: - (CPC) capped price contract. It is similar to cost reimbursement contracts in that a daily fee, that includes also a profit component, is agreed for a certain number of capped days. - (UTC) unit price contracts: the buyer will ask the suplieres to submit offers specifying a separate unit price for each input factor. in addition, the buyer announces an estimate of the quantity of the input factors needed to complete the project. 03- Incentive contracts: This method has two types as its are used when the project is complex and used in the US for defense
Wilkerson is currently using the traditional costing system. “Companies that use the traditional costing method assume that the volume metric is the underlying driver of manufacturing overhead cost.” Traditional product costing was established when direct material costs and direct labor costs accounted for the bulk of product costs incurred inside a firm. In the Wilkerson company, materials and labor costs are centered around the prices of materials and labor rates. The two factors that demonstrate that the traditional system may produce estimates that are different than that of the unit cost are high overheads and indirect cost
A claim for unemployment benefits should be made at the TEC office within two weeks of the termination and during each subsequent two week period. The TEC will make an initial determination as to whether the person is eligible for benefits. If eligible, the TEC informs the former employer, because the former employer pays the benefits, the employer as the right to some of the information given by the former employee to the TEC and has an opportunity to present information. To be eligible to receive unemployment benefits, the employee must have worked for the employer for a certain length of time and must have made a certain amount of money in wages. The time period is called a base period, and it is based on the calendar quarter system.
The plant in Nowhere, OK is located 45 miles from the Hiccup plant and will have the essential office personnel in that facility to support business and employee’s needs. The current number of employees at Diapers with Love is 262 including office and hourly employees. Currently, both plants are set up to manufacture all nine assorted sizes of diapers. The business plan is to produce the P thru 3 sizes in the Hiccup plant and the 4 thru 7 sizes in the Nowhere plant to reduce the manufacturing process setup time in each of the facilities. As shown by Fetzer (2014), the
CHAPTER 3 EXPERIMENTAL PROCEDURE 3.1 Materials & Reagents Adsorption of Cu (II) was studied using Montmorillonite-K 10, procured from Sigma Aldrich. It is a very soft phyllosilicate group of minerals that typically form in microscopic crystals, forming clay. Its Cation Exchange Capacity, CEC was 119 meq/100 g .The elemental composition of this clay was [Al1.47Fe0.29Mg0.23][Al0.076Si3.29]O10(OH)2 as reported by the supplier. This MMT was used as such without any further purification. Tri-Octyl Amine(TOA) was the product of Tokyo Chemical Industry Co., Ltd. Japan, which had a purity of about 98% and was procured from Sigma Aldrich.
Executive, managers, accounting and human resources department is paid on salary. The sales department is paid based on commission, they must maintain 85% of their contracts and add three new contracts annually. Commission motivates the sales individual to gain new contracts and to maintain relationships with their current customers. The production department is paid on a piece rate system, for every unit the send to the next station they are compensated. The production staff that sort and store raw materials are paid per box is unpacked and those who pack finished goods are paid per box packed ready for shipment.
Production and Operation Input For the production of our product the inputs that we need are: 1) Capital 2) Raw Materials 3) Designer 4) Labor • Capital Php 90,000 To start our own business each of us need to shell Php 30,000 each a total of Php 90,000. • Raw Materials The raw materials that we need for creating the bag are: Lining-P21.67 Slice Foam-P16 D-Ring/Slider - P16.5 Zipper