Questions from Cost Accounting

Q: Assume that the five spoiled units of Tee Time Machine Shop’s Job

Assume that the five spoiled units of Tee Time Machine Shop’s Job #10 can be reworked for a total cost of $1,800. A total cost of $5,000 associated with these units has already been assigned to Job #1...

Q: Assume that Job #10 of Tee Time Machine Shop generates normal

Assume that Job #10 of Tee Time Machine Shop generates normal scrap with a total sales value of $300 (it is assumed that the scrap returned to the storeroom is sold quickly). Required: Prepare the jo...

Q: Blue Titanium (BT)Corporation is a manufacturer of computer chips

Blue Titanium (BT)Corporation is a manufacturer of computer chips based in Nepean. It manufactures two types of computer chips, CS1 and CS2. The costs of manufacturing each CS1 chip, excluding rework...

Q: Richmond Company manufactures products that often require specification changes or modifications to

Richmond Company manufactures products that often require specification changes or modifications to meet customers’ needs. Still, Richmond has been able to establish a normal spoilage rate of 2.5% of...

Q: Normal spoilage is 7% of the good units passing inspection in

Normal spoilage is 7% of the good units passing inspection in a forging process. In March, a total of 12,000 units were spoiled. Other data include units started during March, 129,000; work-in-process...

Q: Buckwold Corporation makes two different types of hubcaps for cars–HM3

Buckwold Corporation makes two different types of hubcaps for cars–HM3 and JB4. Circular pieces of metal are stamped out of steel sheets (leaving the edges as scrap), formed, and fin...

Q: Koala Blue, a retailer of bed and bath linen, sells

Koala Blue, a retailer of bed and bath linen, sells 234,000 packages of Mona Lisa designer sheets each year. Koala Blue incurs an ordering cost of $81 per purchase order placed with Mona Lisa Enterpri...

Q: Clarkson Shoe Co. produces and sells excellent quality walking shoes.

Clarkson Shoe Co. produces and sells excellent quality walking shoes. After production, the shoes are distributed to 20 warehouses around the country. Each warehouse services approximately 100 stores...

Q: MacroHard Corp. produces J-Pods, music players that can

MacroHard Corp. produces J-Pods, music players that can download thousands of songs. MacroHard forecasts that demand in 2017 will be 48,000 J-Pods. The variable production cost of each J-Pod is $50. D...

Q: Online C is an online company that sells computers to individual consumers

Online C is an online company that sells computers to individual consumers. The annual demand for one model that will be shipped from the northeast distribution centre is estimated to be 500,000 compu...