To: Patrick Oray Company: Plastic Composites Inc. From: Jane Doe Date: March 1‚ 2012 RE: Allocation Options for Fixed Manufacturing Overhead Costs Dear Mr. Oray‚ After researching the different methods allowed for you to use in allocating the fixed manufacturing costs to the work in process and finished goods I have come to the conclusion that normal capacity is the best method for your business. First I will define theoretical‚ practical and normal capacity and then I will explain to
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level. True False 3. The overhead spending variance and the overhead efficiency variance are useful only if variable overhead really should be proportional to the activity measure that is being used in the flexible budget. True False 4. The variable overhead efficiency variance reflects how efficiently variable overhead resources were used. True False 5. A reason for keeping a constant denominator activity level is to maintain stability in the amount of overhead cost that is applied to each
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rowth and potential shocks. Housing-related loans continue to demonstrate above-average delinquency and charge-off rates. Commercial real estate vacancy rates and problem asset levels continue to be high. The persistence of historically low interest rates continues to hamper growth in net interest margins by limiting the ability to further reduce funding costs. Low interest rates have also contributed to extraordinary growth in non-maturity deposits that may be vulnerable to run-off and significant upward repricing
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Costs: Materials: direct‚ variable 1‚600 Labour: direct‚ variable 960 Labour: indirect‚ fixed 280 Other production overheads: variable 400 Other production overheads: fixed 640 Selling overheads: variable 480 Selling overheads: fixed 360 Distribution overheads: variable 280 Distribution overheads: fixed 120 Administration overheads: fixed 600 (5‚720) Net profit for the year 1‚480 Anhad is planning next year’s activity and its forecasts
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Activity-Based Costing to Allocate Overhead Costs The managers at Beneteau Company decided to use activity-based costing to allocate overhead in view of the point that its benefits would surpass the cost. With ABC‚ This costing use different cost groups which are organized according to different activities to allocate overhead costs. The production and maintenance of the product includes all activities such as purchasing materials‚ inventory management‚ assembling parts and verifying final products
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Departmental Overhead Rates; Underapplied or Overapplied Overhead 1. a. Predetermined Overhead rate= Estimated total manufacturing overhead costs Estimated total amount of allocation base | = $1‚440‚000 = 160% of direct labor costs $900‚000 direct labor costs | b. Hastings Job Direct Labor -Allocation Base × Plantwide Overhead Rate
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The Overhead Projector (OHP) August 24‚ 2012 Introduction Overhead Projectors are still being used in a lot of schools‚ like in the Philippines. It is not as modern as other equipments‚ but it still serves its purpose which is to show enlarged images on screen. I. Description The Overhead Projector is an optical device for showing images on screen‚ usually for group viewing. The OHP is mainly used for
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Using Overhead Transparencies by Lenny Laskowski © 1997 LJL Seminars http://www.ljlseminars.com While the current trend in the training industry is heading toward the use of the LCD Projector technology‚ the overhead projector is still the most popular presentation device used today. Most facilities have an overhead projector in every training room or conference room. Although it is the most widely used‚ it is also the biggest abused. Some presenters continue to misuse the overhead projector
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the pre-press industry. This was due to the fact that most pre-press companies focused on just a few print products (e.g. catalogs‚ newspapers or coupons) and had strong specialized expertise in these. Because of that‚ Colorscope could provide higher quality than the large printers in the fields where it had specialized. Before the dawn of desktop publishing‚ which led to commoditization of the services‚ competition was more based on quality than on price. As a small agency‚ it is also probable
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Apportionment of Overheads / Job and Batch costing solution Question 1 (a) Overhead Analysis Sheet Overheads Basis of apportionment Total Machining Assembly Stores Canteen Indirect Wages Number of indirect employees 232000 ( X 232000) ( X 232000) ( X 232000) ( X 232000) 61867 123733 30933 15467 Machinery Maintenance Budgeted machine hours ( X 94000) ( X 94000) 94000 87935 6065 Machinery Insurance Value of machinery ( X 9050) ( X 9050) 9020 6380 2640 Rent and rates Floor area
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