Questions from Cost Accounting

Q: Odd Wallow Drinks is considering adding a new line of fruit juices

Odd Wallow Drinks is considering adding a new line of fruit juices to its merchandise products. This line of juices has the following prices and costs: Selling price per case (24 bottles) of juice . ....

Q: Frightproof Commuter Airlines is considering adding a new flight to its current

Frightproof Commuter Airlines is considering adding a new flight to its current schedule from Metro to Hicksville. This route has the following prices and costs: Selling price per passenger per flight...

Q: Accounting records for NIC Enterprises (NICE) for September show the

Accounting records for NIC Enterprises (NICE) for September show the following (each entry is the total of the actual entries for the account for the month): Note a: This entry does not include any...

Q: How does the accountant know what to record for direct materials for

How does the accountant know what to record for direct materials for a job or a client? For direct labor cost?

Q: A manager of a retailing firm says that he can lower his

A manager of a retailing firm says that he can lower his operating leverage by renting his stores rather than buying. Would you recommend this? Explain.

Q: A January 1, 2009, news report on msn.com

A January 1, 2009, news report on msn.com included the following sentence: “A report put out by brokerage house CLSA about Jet Airways said that the fall in ATF [fuel] prices has brought down the load...

Q: What is the difference between gross margin and contribution margin.

What is the difference between gross margin and contribution margin.

Q: Identify each of the following profit equation components on the graph presented

Identify each of the following profit equation components on the graph presented below: a. The total cost line. b. The total revenue line. c. The total variable costs area. d. Variable cost per unit...

Q: A local restaurant, Fred’s Fish Fry, is estimating nonfood kitchen

A local restaurant, Fred’s Fish Fry, is estimating nonfood kitchen costs (labor, supervision, utilities, etc.) based on food cost. Data were gathered for the past 24 months and analyzed using a spread...

Q: Lomas Electronics manufactures a portable testing device for use in oil exploration

Lomas Electronics manufactures a portable testing device for use in oil exploration. The product’s price and cost characteristics are: Selling price per unit . . . . . . . . . . . . . . $ 260 Variable...