Questions from Cost Accounting

Q: Dominion Consulting has issued a report recommending changes for its newest manufacturing

Dominion Consulting has issued a report recommending changes for its newest manufacturing client, Gibson Engine Works. Gibson currently manufactures a single product, which is sold and distributed n...

Q: Vargas Construction Company provides construction services for major projects. Managers at

Vargas Construction Company provides construction services for major projects. Managers at the company believe that construction is a people-management business, and they list the following as facto...

Q: Gregor Company makes and sells brooms and mops. It takes the

Gregor Company makes and sells brooms and mops. It takes the following actions, not necessarily in the order given. For each action (a–e), state whether it is a planning decision or a control...

Q: Gavin Adams is the president of Trusted Pool Service. He takes

Gavin Adams is the president of Trusted Pool Service. He takes the following actions, not necessarily in the order given. For each action (a–e) state whether it is a planning decision or a con...

Q: Madison Foods makes frozen dinners that it sells through grocery stores.

Madison Foods makes frozen dinners that it sells through grocery stores. Typical products include turkey, pot roast, fried chicken, and meatloaf. The managers at Madison have recently proposed a lin...

Q: Sizemore Landscaping is a firm that provides commercial landscaping and grounds maintenance

Sizemore Landscaping is a firm that provides commercial landscaping and grounds maintenance services. Derek Sizemore, the owner, is trying to find new ways to increase revenues. Mr. Sizemore perform...

Q: La Mia’s Casas builds replicas of residences of famous and infamous people

La Mia’s Casas builds replicas of residences of famous and infamous people. The company is highly automated, and the new accountant owner has decided to use machine hours as the basis for predicting m...

Q: The April 2010 income statement for Fabio’s Fashions has just been received

The April 2010 income statement for Fabio’s Fashions has just been received by Diana Caffrey, Vice-President of Marketing. The firm uses a variable costing system for internal report...

Q: Canyon City Co. uses a job order costing system that

Canyon City Co. uses a job order costing system that combines actual direct material and actual direct labor costs with a predetermined overhead charge based on machine hours. Expected overhead and m...

Q: Describe how the following occurrences should be accounted for based on the

Describe how the following occurrences should be accounted for based on the fact pattern presented: a. Certain amounts of spoilage and waste are normal in the production system and affect all jobs. b....