Questions from Managerial Accounting

Q: Castle Company is considering the purchase of a new machine. The

Castle Company is considering the purchase of a new machine. The invoice price of the machine is $150,000, freight charges are estimated to be $6,000, and installation costs are expected to be $4,000....

Q: Axia Inc. manufactures two electronic products, widgets and gadgets,

Axia Inc. manufactures two electronic products, widgets and gadgets, and has a capacity of 1,000 machine hours. Prices and costs for each product are as follows: * Variable manufacturing overhead co...

Q: In Lebeau Company, data for the contribution margin per unit and

In Lebeau Company, data for the contribution margin per unit and machine hours per unit for two products are as follows: product A, $10 and two hours; product B, $12 and three hours. Calculate the con...

Q: Montreal Seating Co., a manufacturer of chairs, had the following

Montreal Seating Co., a manufacturer of chairs, had the following data for 2020: Determine the contribution margin ratio, break-even point in dollars, and margin of safety. Sales ……………………. 2,800 unit...

Q: A job cost sheet for Rolen Company is shown below.

A job cost sheet for Rolen Company is shown below. Analyze a job cost sheet and prepare entries for manufacturing costs. Instructions a. On the basis of the foregoing data, answer the following ques...

Q: Lasik Look produces and sells high-end golf equipment. The

Lasik Look produces and sells high-end golf equipment. The company has recently been involved in developing various types of laser guns to measure distances on the golf course. The potential market fo...

Q: Mucky Duck makes swimsuits and sells them directly to retailers. Although

Mucky Duck makes swimsuits and sells them directly to retailers. Although Mucky Duck has a variety of suits, it does not make the allbody suit used by highly skilled swimmers. The market research depa...

Q: Select Corporation makes a commercial-grade cooking griddle. The

Select Corporation makes a commercial-grade cooking griddle. The following information is available for Select Corporation’s expected annual volume of 30,000 units: Use cost-plus pricing to determine...

Q: Gruner Corporation produces snowboards. The following cost information per unit is

Gruner Corporation produces snowboards. The following cost information per unit is available: direct materials $12; direct labour $8; variable manufacturing overhead $6; fixed manufacturing overhead $...

Q: Ahmed Corporation makes a mechanical stuffed alligator. The following information is

Ahmed Corporation makes a mechanical stuffed alligator. The following information is available for Ahmed Corporation’s expected annual volume of 500,000 units: Use cost-plus pricing...