Questions from Cost Accounting

Q: Edward Nabors owns Enclose, which designs and manufactures perimeter fencing for

Edward Nabors owns Enclose, which designs and manufactures perimeter fencing for large retail and commercial buildings. Each job goes through three stages: design, production, and installation. Three...

Q: Gigi LeBlanc is an advertising consultant who tracks costs for her jobs

Gigi LeBlanc is an advertising consultant who tracks costs for her jobs using a job order costing system. During September, LeBlanc and her staff worked on and completed jobs for the following compani...

Q: Lincoln Construction Company builds bridges. In October and November 2010,

Lincoln Construction Company builds bridges. In October and November 2010, the firm worked exclusively on a bridge spanning the Calamus River in northern Nebraska. Lincoln Construction’s Precast Depar...

Q: Pip Squeaks Inc. is a manufacturer of furnishings for infants and

Pip Squeaks Inc. is a manufacturer of furnishings for infants and children. The company uses a job order cost system. Pip Squeaks’ Work in Process Inventory on April 30, 2010, consis...

Q: Modern Convenience specializes in making robotic conveyor systems to move materials within

Modern Convenience specializes in making robotic conveyor systems to move materials within a factory. Model #89 accounts for approximately 60 percent of the company’s annual sales. Because the company...

Q: During July 2010, Pull-Along worked on two production runs

During July 2010, Pull-Along worked on two production runs ( Jobs #918 and #2002) of the same product, a trailer hitch component. Job #918 consisted of 1,200 units of the product, and Job #2002 contai...

Q: Two types of contracts are commonly used when private firms contract to

Two types of contracts are commonly used when private firms contract to provide services to governmental agencies: cost-plus and fixed-price contracts. The cost-plus contract allows the contracting fi...

Q: Timbuk2 is a San Francisco company that makes a variety of messenger

Timbuk2 is a San Francisco company that makes a variety of messenger, cyclist, and laptop bags. The company’s Web site (Timbuk2.com) allows customers to design their own size, color, and fabric bags w...

Q: One of the main rationales for using a job order costing system

One of the main rationales for using a job order costing system is to achieve profitability by charging a price for each job that is proportionate to the related costs. The fundamental underlying conc...

Q: Because your professor is scheduled to address a national professional meeting at

Because your professor is scheduled to address a national professional meeting at the time your class ordinarily meets, the class has been divided into teams to discuss selected issues. Your team’s as...