Questions from Cost Accounting

Q: Global Tunes Corp. produces J-Pods, music players that

Global Tunes Corp. produces J-Pods, music players that can download thousands of songs. Global Tunes forecasts that demand in 2011 will be 48,000 J-Pods. The variable production cost of each J-Pod is...

Q: Computers 4 U purchases one model of computer at a wholesale cost

Computers 4 U purchases one model of computer at a wholesale cost of $200 per unit and resells it to end consumers. The annual demand for the company’s product is 500,000 units. Ordering costs are $80...

Q: The Domestic Engines Co. produces the same power generators in two

The Domestic Engines Co. produces the same power generators in two Illinois plants, a new plant in Peoria and an older plant in Moline. The following data are available for the two plants: All fixed...

Q: The Margro Corporation is an automotive supplier that uses automatic turning machines

The Margro Corporation is an automotive supplier that uses automatic turning machines to manufacture precision parts from steel bars. Margro’s inventory of raw steel averages $600,00...

Q: The Rippel Corporation manufactures electrical meters. For August, there were

The Rippel Corporation manufactures electrical meters. For August, there were no beginning inventories of direct materials and no beginning or ending work in process. Rippel uses a JIT production syst...

Q: Assume that the second trigger point for Rippel Corporation is the sale

Assume that the second trigger point for Rippel Corporation is the sale—rather than the completion—of finished goods. Also, the inventory account is confined solely to direct materials, whether these...

Q: Assume the same facts as in Problem 20-32 except now

Assume the same facts as in Problem 20-32 except now there are only two trigger points: Completion of good finished units of product and Sale of finished goods. Required: 1. Prepare summary journal e...

Q: Flexible Security Devices (FSD) has introduced a just-in

Flexible Security Devices (FSD) has introduced a just-in-time production process and is considering the adoption of lean accounting principles to support its new production philosophy. The company has...

Q: Pro Chips is a manufacturer of prototype chips based in Dublin,

Pro Chips is a manufacturer of prototype chips based in Dublin, Ireland. Next year, in 2012, Pro Chips expects to deliver 552 prototype chips at an average price of $80,000. Pro Chipsâ€...

Q: Assume the same facts as in Problem 21-27, except

Assume the same facts as in Problem 21-27, except that the plant is located in Austin, Texas. Pro Chips has no special waiver on income taxes. It pays a 30% tax rate on all income. Proceeds from sales...