Questions from Cost Accounting

Q: (CMA, adapted) Marston Corporation manufactures pharmaceutical products that are

(CMA, adapted) Marston Corporation manufactures pharmaceutical products that are sold through a network of sales agents. The agents are paid a commission of 18% of sales. The statement of comprehensiv...

Q: Manitoba Production Corporation (MPC) specializes in the manufacture of one

Manitoba Production Corporation (MPC) specializes in the manufacture of one-litre plastic bottles. The plastic moulding machines are capable of producing 100 bottles per hour. The firm estimates that...

Q: Technology of the Past (TOP) produces old-fashioned simple

Technology of the Past (TOP) produces old-fashioned simple corkscrews. Last year was not a good year for sales but TOP expects the market to pick up this year. Last year’s statement of comprehensive i...

Q: The City of Vancouver makes an $850,000 lump-

The City of Vancouver makes an $850,000 lump-sum budget appropriation to run a safe injection site for a year. All the appropriation is to be spent. The variable costs average $16 per patient visit. F...

Q: The Windsor Chamber of Commerce is planning its annual event. There

The Windsor Chamber of Commerce is planning its annual event. There are two possible plans: a. Hold the event at a local hotel. The fixed rental cost would be $2,700 and the charge for meals would be...

Q: David Hutchinson is an internationally known Canadian professor specializing in consumer marketing

David Hutchinson is an internationally known Canadian professor specializing in consumer marketing. In 2015, Hutchinson and United Kingdom Business School (UKBS) agreed to conduct a one-day seminar at...

Q: Athabaska Ltd. produces a lens used for webcams. Summary data

Athabaska Ltd. produces a lens used for webcams. Summary data from its year 2014 statement of comprehensive income are as follows: Revenues …………………………………..$8,000,000 Variable costs ………………………………4,320,...

Q: Ahmed Diba is the controller of the Body Products Division of World

Ahmed Diba is the controller of the Body Products Division of World Wide Drugs (WWD). It is located in Winnipeg, which is also the headquarters of WWD. Diba is helping develop a proposal for a new pro...

Q: Diego Motors is a small car dealership. On average it sells

Diego Motors is a small car dealership. On average it sells a car for $26,000, which it purchases from the manufacturer for $22,000. Each month, Diego Motors pays $60,000 in rent and utilities and $70...

Q: Domestic Engines Company produces the same power generators in two plants,

Domestic Engines Company produces the same power generators in two plants, a newly renovated, automated plant in Peona, and an older, less automated plant in Modine. The following data are available f...