Questions from Cost Accounting

Q: Why might two companies in the same industry have different cost systems

Why might two companies in the same industry have different cost systems?

Q: Opech, Inc., produces oil and ships it in a pipeline

Opech, Inc., produces oil and ships it in a pipeline. On May 1, it had no work-in-process inventory. It started production of 300 million barrels of oil in May and shipped 270 million barrels in the p...

Q: Oholics, Ltd., produces chocolate that it sells to candy makers

Oholics, Ltd., produces chocolate that it sells to candy makers. On April 1, it had no work-in-process inventory. It started production of 20,000 pounds of chocolate in April and completed production...

Q: What is the difference between outlay cost and opportunity cost?

What is the difference between outlay cost and opportunity cost?

Q: Clovis Supply sells two models of saddles to retail outfitters—basic

Clovis Supply sells two models of saddles to retail outfitters—basic and custom. Basic saddles sell for $1,000 each and custom saddles sell for $1,500. The variable cost of a basic saddle is $600 and...

Q: Give at least three applications of the learning phenomenon that were not

Give at least three applications of the learning phenomenon that were not mentioned in the text.

Q: Rex Santos, a cost accountant, prepares a product profitability report

Rex Santos, a cost accountant, prepares a product profitability report for Jane Gates, the production manager. Much to Rex’s surprise, almost one-third of the company’s products are not profitable. He...

Q: Tiger Furnishings produces two models of cabinets for home theater components,

Tiger Furnishings produces two models of cabinets for home theater components, the Basic and the Dominator. Data on operations and costs for March follow: Required Compute the predetermined overhead...

Q: Refer to the data in Exercise 6-34. Compute the

Refer to the data in Exercise 6-34. Compute the predetermined overhead rate assuming that Tiger Furnishings uses direct labor costs to allocate overhead costs. In Exercise 6-34 Tiger Furnishings prod...

Q: Refer to the data in Exercise 6-34. Compute the

Refer to the data in Exercise 6-34. Compute the predetermined overhead rate assuming that Tiger Furnishings uses machine-hours to allocate overhead costs. In Exercise 6-34 Tiger Furnishings produces...