Maurice Tutor

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    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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    Phoniex University
    Oct-2001 - Nov-2016

Category > Management Posted 06 Jun 2017 My Price 15.00

Ever-Brite Lighting Inc. manufactures lighting fixtures

Ever-Brite Lighting Inc. manufactures lighting fixtures, using lean manufacturing methods. Style BB-01 has a materials cost per unit of $45. The budgeted conversion cost for the year is $193,200 for 2,100 production hours. A unit of Style BB-01 requires 15 minutes of cell production time. The following transactions took place during December:

1.     Materials were acquired to assemble 700 Style BB-01 units for December.

2.     Conversion costs were applied to 700 Style BB-01 units of production.

3.     685 units of Style BB-01 were completed in December.

4.     670 units of Style BB-01 were sold in December for $128 per unit.

 

a.     Determine the budgeted cell conversion cost per hour.

b.    Determine the budgeted cell conversion cost per unit.

c.     Journalize the summary transactions (1)–(4) for December.

 

 




Audio Escape Inc. manufactures audio speakers. Each speaker requires $145 per unit of direct materials. The speaker manufacturing assembly cell includes the following estimated costs for the  period:

 

Speaker assembly cell, estimated costs:

Labor                                                                                                              $  6,300

Depreciation                                                                                                   2,800

Supplies                                                                                                              2,400

Power                                                                                                            1,100

Total cell costs for the period                                                      $12,600

 

 

The operating plan calls for 180 operating hours for the period. Each speaker requires 18 minutes of cell process time. The unit selling price for each speaker is $360. During the period, the following transactions   occurred:

1.     Purchased materials to produce 625 speaker units.

2.     Applied conversion costs to production of 600 speaker units.

3.     Completed and transferred 585 speaker units to finished goods.

4.     Sold 570 speaker units.

There were no inventories at the beginning of the period.

a.     Journalize the summary transactions (1)–(4) for the period.

b.    Determine the ending balance for raw and in process inventory and finished goods inventory

Answers

Maurice Tutor
(5)
Status NEW Posted 06 Jun 2017 08:06 PM My Price 15.00

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