of Dolphin Company revealed the following information: Dolphin’s cost of goods sold is: a. $508‚000. b. $529‚000. c. $531‚000. d. $553‚000. 3. Costs that are expensed when incurred are called: a. product costs. b. direct costs. c. inventoriable costs. d. period costs. 4. When 5‚000 units are produced variable costs are $35 per unit and total costs are $200‚000. What are the total costs when 8‚000 units are produced? a. $200‚000. b. $305‚000. c. $240‚000. d. Cannot be determined from the information
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cost is lower than expected figure which is favourable. On the other hand‚ Adverse or unfavourable variances in B.A are when the actual figures are higher than the budget. One problem in the budget for B.A is fuel shown above in the table‚ as the produced budget for this was £850 but the actual figure was £1000‚ leading to the variance of £150. This was adverse for B.A as the actual cost was higher than expected and is unfavourable to the business. This is one the mistakes in budgeting as this has
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company depended on how well Sports Obermeyer was able to predict market response to different styles and colors. Intense competition had made forecasting really difficult. The two scenarios that resulted were products in style sold out and the products not in style were sold at prices lower than the manufacturing cost. China was where one third of Sports Obermeyer’s products were being manufactured and this year half of the products were being manufactured in China. Since the operations and production
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Multiple Choice Questions 1. Which of the following statements is true? A. The word "cost" has the same meaning in all situations in which it is used. B. Cost data‚ once classified and recorded for a specific application‚ are appropriate for use in any application. C. Different cost concepts and classifications are used for different purposes. D. All organizations incur the same types of costs. E. Costs incurred in one year are always meaningful in the following year. 2. Which of the following
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Daimler & Kamaz In the future‚ Daimler will supply Kamaz trucks and buses with components as well. Last month‚ Daimler Trucks and the Russian truck manufacturer Kamaz signed an agreement‚ which initially provides for the supply of 7‚000 engines and 15‚000 axles. Since then‚ Kamaz has been buying the OM 457 diesel engine for its trucks and the M 906 natural gas engine for its buses from Daimler. The agreement also provides for supplies of front and rear axles for Kamaz trucks and buses. The components
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1. Unit based costing first assigns overhead costs to departmental pools and then assigns these costs to products using predetermined overhead rates. a. True b. False ANSWER: True 2. Management information systems can be divided into a unit-based type and activity-based type. a. True b. False ANSWER: True 3. Predetermined overhead rates are calculated at the end of each year using the formula: overhead rate = budgeted annual driver level/budgeted annual driver level. a. True b. False ANSWER:
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Operating Budget Final Paper Padube09 ACC 206 Jacob Gordon March 25‚ 2012 ACC206 Final Paper An operating budget helps to organize and manage the costs and income to run your business. It helps a company to understand day to day costs and income for the company. “A detailed projection of all estimated income and expenses based on forecasted sales revenue during a given period usually one year.” (Operating budget) Overall it is a great way to ensure that the company can see if it is set
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would be the cost of goods sold for the year? Since 270‚000 units were transferred in the processing department and 250‚000 were completed and sold‚ this leaves 20‚000 units left in the ending inventory. Of the 20‚000 units left in inventory‚ 25% of the conversion cost required to complete the units had already been incurred. The partially completed units need to be computed into equivalent units‚ which are the number of completed units that could have been produced from the work that was put
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that not everyone was okay with these changes. People still wanted to go out and drink‚ and this new amendment wasn’t enforced well enough to stop them from doing so. Places known as “Speakeasies” began to pop up which secretly and illegally produced and sold alcoholic beverages. There were plenty of loopholes in the law that even made it possible to produce and sell alcohol legally. While over the course of the decade‚ plenty of them were caught and shut down‚ there were still so many left standing
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Swatch case study "This watch is the product which will reintroduce Switzerland to the low and middle price market. It is the first step of our campaign to regain dominance of the world watch industry‚" said Dr. Ernst Thomke‚ President of ETA SA‚ a subsidiary of ASUAG and Switzerland ’s largest watch company. Ernst Thomke had made this confident declaration about SWATCH to Franz Sprecher‚ Project Marketing Consultant‚ in late spring 1981. Sprecher had accepted a consulting assignment to help
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