Question: Lion Corporation manufactures several types of

> La Mode Design Inc., a high-fashion women’s dress manufacturer, is planning to market a new cocktail dress for the coming season. La Mode Design Inc. supplies retailers in Toronto, Montreal, and the Atlantic provinces. Four metres of ma

> Karl’s Klassic Kars restores classic automobiles to showroom status. Budgeted data for the current year are as follows: Use time-and-material pricing to determine bill. The company anticipated that the restorers would work a total of

> YUX Corporation sells a single product for $50. Its management estimates the following revenues and costs for the year 2020: Determine the contribution margin ratio, break-even point in dollars, margin of safety, and sales required to earn target operati

> Justin’s Custom Electronics (JCE) sells and installs complete security, computer, audio, and video systems for homes. On newly constructed homes, it provides bids using time-and-material pricing. The following budgeted cost data are available: Use time-a

> Padong Remanufacturing rebuilds spot welders for manufacturers. The following budgeted cost data for 2020 are available for Padong: Use time-and-material pricing to determine bill. The company wants a $30 profit margin per hour of labour and a 20% prof

> Caan Corporation produces industrial robots for high-precision manufacturing. The following information is given for Caan Corporation: Use cost-plus pricing to determine various amounts. The company has a desired ROI of 20%. It has invested assets of $

> Roxy’s Recording Studio rents studio time to musicians in two-hour blocks. Each session includes the use of the studio facilities, a digital recording of the performance, and a professional music producer/mixer. Anticipated annual volume is 1,000 session

> 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 to determine various amounts. The company has a desi

> 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 $14; variable selling and administrative expenses $4; a

> 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 selling price. / The company uses a 40% markup perce

> 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 department believes that a strong market exists for this t

> 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 for one small laser gun, the LittleLasik, appears to be

> 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 questions: 1. What was the balance in Work in Process Inve

> 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 units Sales price …………… $50 per unit Variable costs …….. $

> 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 contribution margin per unit of the limited resource for

> 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 costs are applied at a rate of $40 per machine hour. Bro

> 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. The salvage value of the new equipment is expected to

> T&G Co. manufactures three types of computer desks. The income statement for the three products and the whole company is shown below: Calculate contribution margin and prepare incremental analysis for the elimination of product and special order. T

> Tandy Teck manufactures an electronic component for a highend computer. The company currently sells 50,000 units a year at a price of $280 per unit. These units are produced using a machine that was purchased five years ago at a cost of $1.5 million. It

> Manning Industries manufactures and sells three different models of wet-dry shop vacuum cleaners. Although the shop vacs vary in terms of quality and features, all are good sellers. Manning is currently operating at full capacity with limited machine tim

> Green Inc. makes unfinished bookcases that it sells for $62. Production costs are $36 variable and $10 fixed. Because it has unused capacity, Green is considering finishing the bookcases and selling them for $70. Variable finishing costs are expected to

> The Kamloops Outdoors Corporation, which produces a highly successful line of summer lotions and insect repellents and sells them to wholesalers, has decided to diversify in order to stabilize its sales throughout the year. A natural area for the company

> Straus Company operates a small factory in which it manufactures two products: A and B. Production and sales results for this year were as follows: Calculate the contribution margin and prepare incremental analysis concerning the decision to keep or drop

> A company manufactures three products using the same production process. The costs incurred up to the split-off point are $200,000. These costs are allocated to the products on the basis of their sales value at the split-off point. The number of units pr

> Ribeiro Manufacturing Company has four operating divisions. During the first quarter of 2020, the company reported aggregate income from operations of $145,000 and the following divisional results: Calculate contribution margin and prepare incremental an

> Last year (2019), Calway Condos installed a mechanized elevator for its tenants. The owner of the company, Cab Calway, recently returned from an industry equipment exhibition where he watched a computerized elevator demonstrated. He was impressed with th

> Miramichi Industrial Products Co. is a diversified industrial cleaner processing company. The company’s main plant produces two products: a table cleaner and a floor cleaner. They are made from a common set of chemical inputs (called CD

> Interdesign uses 1,000 units of the component IMC2 every month to manufacture one of its products. The unit costs incurred to manufacture the component are as follows: Calculate contribution margin and prepare incremental analysis concerning make-or-buy

> Jenson College provides its own housekeeping services. The College director would like to outsource this service and has found a company that will provide the service for $48 per hour. The following information has been collected about the cost per hour

> The management of Borealis Manufacturing Company is trying to decide whether to continue manufacturing a part or to buy it from an outside supplier. The part, called WISCO, is a component of the company’s finished product. Prepare incre

> Pro Sports Inc. manufactures basketballs for professional basketball associations. For the first six months of 2020, the company reported the following operating results while operating at 90% of plant capacity: Prepare incremental analysis for special-o

> Emil Manufacturing incurs unit costs of $7.50 ($4.50 variable and $3.00 fixed) in making a sub-assembly part for its finished product. A supplier offers to make 10,000 of the parts for $5 per unit. If it accepts the offer, Emil will save all variable cos

> Clarington Company makes three models of phasers. Information on the three products is given below: Prepare incremental analysis for decision to eliminate a product line. Fixed expenses consist of $300,000 of common costs allocated to the three product

> Montel Firm is considering whether to outsource the manufacture of subcomponent JXY. The accounting department provides the following cost information for manufacturing 10,000 units of the subcomponent JXY per month. Prepare incremental analysis for deci

> Metropole Inc. can produce three different products interchangeably on two machines. The accounting department provides the following information on these products: Calculate the contribution margin and determine the products to be manufactured. Instru

> Dalton Company manufactures and sells two products. Relevant per-unit data concerning each product follow: Calculate the contribution margin and determine the products to be manufactured. Instructions a. Calculate the contribution margin per machine ho

> Spencer Company manufactures and sells three products. Relevant per-unit data for each product follow: Calculate the contribution margin and determine the products to be manufactured. Instructions a. Calculate the contribution margin per unit of the li

> Nicole Filippas, a recent graduate of Rollings University’s accounting program, evaluated the operating performance of Poway Company’s six divisions. Nicole made the following presentation to Poway’s board of directors and suggested the Erie division be

> Twyla Enterprises uses a computer to handle its sales invoices. Lately, business has been so good that it takes an extra three hours per night, plus every third Saturday, to keep up with the volume of sales invoices. Management is considering updating it

> On January 2, 2019, Riverside Hospital purchased a $100,000 special radiology scanner from Faital Inc. The scanner has a useful life of five years and will have no disposal value at the end of its useful life. The straight-line method of depreciation is

> Shynee Minerals processes materials extracted from mines. The most common raw material that it processes results in three joint products: Sarco, Barco, and Larco. Each of these products can be sold as is, or they can be processed further and sold for a h

> Bahrat, Inc. produces three separate products from a common process costing $100,000. Each of the products can be sold at the split-off point or can be processed further and then sold for a higher price. The cost and selling price data for a recent perio

> Assume the same information as in BE7.3, except that Waterloo has no excess capacity. Indicate the net income (loss) that Waterloo would realize by accepting the special order. Determine whether to accept special order. Data from BE7.3: Waterloo Co. sel

> Josée Chabot recently opened her own basket-weaving studio. She sells finished baskets in addition to the raw materials needed by customers to weave baskets of their own. Josée has put together a variety of raw material kits, with each kit including mate

> SY Telc has recently started to manufacture RecRobo, a three-wheeled robot that can scan a home for fires and gas leaks and then transmit this information to a mobile phone. The cost structure to manufacture 20,000 RecRobos is as follows: Prepare an incr

> Young Mi Inc. has been manufacturing its own shades for its table lamps. The company is currently operating at 100% of capacity, and variable manufacturing overhead is charged to production at the rate of 50% of direct labour costs. The direct materials

> Hardy Fibre is the creator of Y-Go, a technology that weaves silver into fabrics to kill bacteria and odour on clothing while managing heat. Y-Go has become very popular in undergarments for sports activities. Operating at capacity, the company can produ

> Pender has prepared the following list of statements about decision-making and incremental analysis: Analyze statements about decision-making and incremental analysis. 1. The first step in management’s decision-making process is to determine and evaluate

> Capital Corporation manufactures and sells three different types of binoculars. They are referred to as Good, Better, and Best binoculars. Grinding and polishing time is limited. More time is required to grind and polish the lenses used in the Better and

> The law firm of Matadin and Howe relies heavily on a colour laser printer to process the paperwork. Recently the printer has not functioned well and print jobs were not being processed. Management is considering updating the printer with a faster model.

> La Mesa manufactures unpainted furniture for the do-it-yourself market. It currently sells a table for $75. Production costs are $39 variable and $10 fixed. La Mesa is considering staining and sealing the table to sell it for $99. Variable costs to finis

> Maplewood Company must decide whether to make or buy some of its components. The costs of producing 60,000 switches for its generators are as follows. Evaluate make-or-buy opportunity. Instead of making the switches at an average cost of $2.95 ($177,0

> Waterloo Co. sells product P-14 at a price of $48 a unit. The per-unit cost data are direct materials $15, direct labour $10, and overheads $12 (75% variable). Waterloo Co. has sufficient capacity to accept a special order for 40,000 units, but at a disc

> Use the same data from BE2.12 above and the data below to determine the missing amounts. Determine missing amounts in calculating cost of goods manufactured. Data from BE 2.12: // Total Cost of Goods Manufactured Manufacturing Work in Work in Proc

> Presented below are incomplete manufacturing cost data. Determine the missing amounts for three different situations. Determine missing amounts in calculating total manufacturing costs. //

> Marvel Manufacturing Inc. provides you with the following data for the month of June: Calculate production and period costs, manufacturing overhead, and the cost of materials and labour. Prime costs were $195,000, conversion costs were $140,000, and tota

> Presented in alphabetical order below are current asset items for Dieker Company’s balance sheet at December 31, 2020. Prepare the current assets section (including a complete heading). Prepare current assets section. Accounts receivable ………………………………………

> You work for the controller at Green Partxs Inc., a small specialized supplier to the auto parts industry. Currently, it produces 20,000 units per month, using two shifts, with each shift producing 10,000 units. However, the bankruptcy of one of its majo

> Wayne Terrago, controller for Robbin Industries, was reviewing production cost reports for the year. One amount in these reports continued to bother him—advertising. During the year, the company had instituted an expensive advertising campaign to sell so

> Match Manufacturing Company specializes in producing fashion outfits. On July 31, 2020, a tornado touched down at its factory and general office. The inventories in the warehouse and the factory were completely destroyed, as was the general office nearby

> XYZ Company reports the following inventory data for the month of June: 1. Direct materials purchases were $140. 2. Direct costs of production were $220. 3. Variable costs of production were $280. 4. Indirect costs of production were $180. 5. Selling a

> In January 2020, Sayers Manufacturing incurred the following costs in manufacturing Detecto, its only product: Direct materials purchased ……… $900,000 Direct labour incurred â€&brvba

> On January 31, a snowstorm damaged the office of a small business, and some of the accounting information stored in the computer’s memory was lost. The following information pertaining to January activities was retrieved from other sources: Direct mater

> A fire on the premises of Bydo Inc. destroyed most of its records. Below is an incomplete set of data for operations in 2020: Sales …………………………………………………………………………..………. ? Raw materials, beginning inventory …………………………… $13,000 Purchases …………………………………………………

> On January 31, 2020, the manufacturing facility of a mediumsized company was severely damaged by an accidental fire. As a result, the company’s direct materials, work in process, and finished goods inventories were destroyed. The company did have access

> The following data are given for X Firm (in millions of dollars): Calculate selected costs for the income statement and cost of goods manufactured and sold schedules. Beginning and ending inventories …………………………. $ 0 Sales …………………………………………………………………… 390

> Agler Company is a manufacturer of toys. Its controller resigned in August 2020. An inexperienced assistant accountant has prepared the following income statement for the month of August 2020. Prepare a cost of goods manufactured schedule and a correct i

> Presented below are Lang Company’s monthly manufacturing cost data related to its personal computer products. Classify manufacturing costs. a. Utilities for manufacturing equipment, $116,000 b. Raw material (CPU, chips, etc.), $85,000 c

> Incomplete manufacturing costs for the month of June are as follows: Determine missing amounts in the cost of goods manufactured and sold schedule and compare fixed and variable costs. // Sales were $780,000 for the month. Sales prices are determined b

> The following incomplete income statement information is available for Sawchule Ltd. for 2020: Prepare income statement schedules for the cost of goods sold and cost of goods manufactured. Sales …………………………………………………. $560,000 Beginning inventory of finis

> The following incomplete data are for Atlantic Pride Manufacturing: Calculate prime cost, conversion cost, and cost of goods manufactured. Additional information for 2020: Direct materials ……â€&brvbar

> The following data were taken from the records of Ruiz Manufacturing Company for the year ended December 31, 2020: Prepare a cost of goods manufactured schedule, a partial income statement, and a partial balance sheet. Raw Materials Inventory (1/1/20) …

> Incomplete manufacturing costs, expenses, and selling data for two different cases are as follows: Indicate the missing amounts of different cost items, and prepare a condensed cost of goods manufactured schedule, an income statement, and a partial balan

> Ladoca Company, a manufacturer of tennis racquets, started production in November 2020. For the preceding five years, Ladoca had been a retailer of sports equipment. After a thorough survey of tennis racquet markets, Ladoca decided to turn its retail sto

> Hite Company specializes in manufacturing motorcycle helmets. The company has enough orders to keep the factory production at 1,000 motorcycle helmets per month. Hite’s monthly manufacturing cost and other expense data are as follows: C

> Last night, the sprinkler system at Plant A was accidentally set off. The ensuing deluge destroyed most of the cost records in Plant A for the month just completed (May). The plant manager has come to you in a panic—he has to complete his report for head

> Rexfield Company recorded the following transactions for the month of February: Determine missing amounts in the cost of goods manufactured and sold schedule and compare fixed and variable costs. // Sales were $420,000 for the month. Sales prices are d

> The following information is for Montreal Gloves Inc. for the year 2020: Calculate cost of goods manufactured and cost of goods sold. Manufacturing costs ………………………………………….. $3,000,000 Number of gloves manufactured …………………… 300,000 pairs Beginning invent

> Westerville Corp. has collected the following data concerning its maintenance costs for the past six months: Determine variable and fixed cost elements using the high-low method. Calculate the variable and fixed cost elements using the high-low method.

> Nova Chemicals Corp. incurred the following manufacturing costs for the year 2020: Calculate raw materials purchased, cost of goods manufactured, and cost of goods sold. Instructions a. For 2020, what was the cost of raw materials purchased? $28,800 b.

> Tombert Company is a manufacturer of computers. Its controller resigned in October 2020. An inexperienced assistant accountant has prepared the following income statement for the month of October 2020. Prepare a cost of goods manufactured schedule and a

> The following data were taken from the records of Stellar Manufacturing Company for the fiscal year ended December 31, 2020: Prepare a cost of goods manufactured schedule, a partial income statement, and a partial balance sheet. Raw Materials Inventory

> Incomplete manufacturing costs, expenses, and selling data for two different cases are as follows: Indicate the missing amounts of different cost items, and prepare a condensed cost of goods manufactured schedule, an income statement, and a partial balan

> Par Play Company, a manufacturer of driver golf clubs, started production in November 2020. For the preceding five years, Par Play had been a retailer of sports equipment. After a thorough survey of driver golf club markets, Par Play decided to turn its

> Mina Company specializes in manufacturing motorcycle helmets. The company has enough orders to keep the factory production at 1,000 motorcycle helmets per month. Mina’s monthly manufacturing cost and other expense data are as follows. C

> Todd Motor Company manufactures automobiles. During September 2020, the company purchased 5,000 headlights at a cost of $8 per lights. There was no beginning inventory of lights. Todd withdrew 4,650 lights from the warehouse during the month of September

> An analysis of the accounts of Kananaskis Manufacturing reveals the following manufacturing cost data for the month ended June 30, 2020: Prepare a cost of goods manufactured schedule, and present the ending inventories on balance sheet. Costs incurred:

> Corbin Manufacturing Company produces blankets. From its accounting records it prepares the following schedule and financial statements on a yearly basis: Indicate in which schedule or financial statement(s) different cost items will appear. a. The cost

> The following information is available for Sassafras Company: Prepare a cost of goods manufactured schedule and a partial income statement. Instructions a. Calculate the cost of goods manufactured. b. Prepare an income statement through gross profit. c

> Deines Company accumulates the following data concerning a mixed cost, using kilometres as the activity level: Determine variable and fixed cost elements using the high-low method. Calculate the variable and fixed cost elements using the high-low metho

> Suraya Collier, the bookkeeper for Danner, Letourneau, and Majewski, a political consulting firm, has recently completed a managerial accounting course at her local community college. One of the topics covered in the course was the cost of goods manufact

> Aikman Corporation has the following cost records for June 2020: Prepare a cost of goods manufactured schedule and a partial income statement. Indirect factory labour ……………………………….. $ 4,500 Direct materials used ………………………………… 25,000 Work in process (6/1

> Incomplete manufacturing cost data for Ikerd Company for 2020 are presented as follows for four different situations: Determine the missing amounts of different cost items, and prepare a condensed cost of goods manufactured schedule. Instructions a. In

> Manufacturing cost data for Criqui Company are presented below: Determine the missing amounts of different cost items. // Instructions Provide the missing amount for each letter.

> An incomplete cost of goods manufactured schedule is presented below for Cepeda Manufacturing Company for the year ended December 2020: Determine missing amounts in cost of goods manufactured schedule. // Instructions Complete the cost of goods manufac

> Sinjay Corporation incurred the following costs while manufacturing its product: Calculate the cost of goods manufactured and sold. Materials used in product …………………………... $120,000 Depreciation on plant ……………………………….…… 60,000 Property taxes on warehouse

> Rapid Delivery Service reports the following costs and expenses in June 2020: Classify various costs into different cost categories. Indirect materials ……………………………………. $ 8,400 Depreciation on delivery equipment …………… 11,200 Dispatcher’s salary ………………………

> Mozena Corporation manufactures a single product. Monthly production costs incurred in the manufacturing process are shown below for the production of 3,000 units. The utilities and maintenance costs are mixed costs. The fixed portions of these costs are

> The controller of Gutierrez Industries has collected the following monthly expense data for use in analyzing the cost behaviour of maintenance costs: Determine fixed and variable costs and calculate overheads. Instructions a. Determine the fixed and va

> Black Brothers Furniture Corporation incurred the following costs: Classify variable, fixed, and mixed costs. 1. Wood used in the production of furniture 2. Fuel used in delivery trucks 3. Straight-line depreciation on factory building 4. Screws used in