Questions from Managerial Accounting

Q: K&J Web Designs creates websites for businesses. K&

K&J Web Designs creates websites for businesses. K&J has a basic website creation package that it offers for a flat fee of $750. This package includes everything that a business would need to have a s...

Q: The chief operating officer of the Wisconsin Corporation is considering the effect

The chief operating officer of the Wisconsin Corporation is considering the effect of depreciation on the company’s ROI. In the most recent year, net operating profit after taxes was $35,000,000 and i...

Q: The World Restaurant is situated in a local shopping center and serves

The World Restaurant is situated in a local shopping center and serves food of many different cultures. It also caters private functions for companies. The results of operations for the fourth quarter...

Q: XO-20 is an oil-based product used to remove

XO-20 is an oil-based product used to remove rust on bolts and nuts that are stuck. Its accounting system uses standard costs. The standards per .5-liter can of solution call for 0.75 liters of materi...

Q: Dante’s Protein Powder produces a dietary supplement. The standard cost of

Dante’s Protein Powder produces a dietary supplement. The standard cost of producing one unit is: Material (1.25 pounds × $2.50…………………. $ 3.13 Labor (1.2 hours × $10)…………………………….12.00 Overhead……………………...

Q: Selzer & Hollinger, a low-cost legal firm, has

Selzer & Hollinger, a low-cost legal firm, has set time standards for each of the two basic legal services it offers, which include the following: Required: a. Calculate the labor rate and labor...

Q: Bowser Products operates a small plant in New Mexico that produces dog

Bowser Products operates a small plant in New Mexico that produces dog food in batches of 1,500 pounds. The product sells for $6 per pound. Standard costs for 2018 are: Standard direct labor cost = $...

Q: The Antikron Company produces rubber seals used in the aerospace industry.

The Antikron Company produces rubber seals used in the aerospace industry. Standards call for 3 pounds of material at $2.50 per pound for each seal. The standard cost for labor is 1.5 hours at $15 per...

Q: Northwest Medical Testing draws blood samples from approximately 1,500 clients

Northwest Medical Testing draws blood samples from approximately 1,500 clients each month. The standard time for a technician to draw and prepare a blood sample for testing is 20 minutes. The standard...

Q: Recycled Plastics manufactures a plastic dimensional lumber product from recycled plastic milk

Recycled Plastics manufactures a plastic dimensional lumber product from recycled plastic milk jugs. The company purchases consumer-recycled milk jugs in 700-pound bales and then shreds them into smal...