Questions from Managerial Accounting

Q: Zepol Company is planning to produce 600,000 power drills for

Zepol Company is planning to produce 600,000 power drills for the coming year. The company uses direct labor hours to assign overhead to products. Each drill requires 0.75 standard hour of labor for c...

Q: Last year, Gladner Company had planned to produce 140,000

Last year, Gladner Company had planned to produce 140,000 units. However, 143,000 units were actually produced. The company uses direct labor hours to assign overhead to products. Each unit requires 0...

Q: Anker Company had the data below for its most recent year,

Anker Company had the data below for its most recent year, ended December 31: Required: Prepare a performance report that shows the variances on an item-by-item basis.

Q: Healder Company provided information on the following three overhead activities.

Healder Company provided information on the following three overhead activities. Healder has found that the following driver levels are associated with two different levels of production. Required...

Q: Amiens Company produced 20,000 units during its first year of

Amiens Company produced 20,000 units during its first year of operations and sold 18,900 at $17 per unit. The company chose practical activity—at 20,000 units—to compute its predetermined overhead rat...

Q: Overton Company produced 80,000 units last year. The company

Overton Company produced 80,000 units last year. The company sold 79,000 units and there was no beginning inventory. The company chose practical activity—at 80,000 units—to compute its predetermined o...

Q: In the coming year, Kalling Company expects to sell 28,

In the coming year, Kalling Company expects to sell 28,700 units at $32 each. Kalling’s controller provided the following information for the coming year. Units production ………………………………………………… 30,000...

Q: Stillwater Designs rebuilds defective units of its S12L7 Kicker speaker model.

Stillwater Designs rebuilds defective units of its S12L7 Kicker speaker model. During the year, Stillwater rebuilt 7,500 units. Materials and labor standards for performing the repairs are as follows:...

Q: Sommers Company uses the following rule to determine whether materials usage variances

Sommers Company uses the following rule to determine whether materials usage variances should be investigated: A materials usage variance will be investigated anytime the amount exceeds the lesser of...

Q: Each of the following situations is independent. Required:

Each of the following situations is independent. Required: 1. Kester Company had ending inventory cost of $5,000 under absorption costing. Ending inventory cost $3,400 under variable costing. Kester...