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Score:

20.67 out of 25 points (82.68%)

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1.
award:

2 out of 2 points

At an activity level of 9,300 units, variable costs totaled $27,900 and fixed costs totaled $23 units are produced and this activity is within the relevant range, then:
Total unit cost would equal $4.50. Total cost would equal $90,552. Total costs would equal $51,300. Fixed cost per unit would equal $4.30.

Score:
20.67 out of 25 points (82.68%)

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2.
award:

2 out of 2 points
Given the cost formula Y = $12,700 + $8X, total cost at an activity level of 6,400 units would be: $12,700 $51,200 $19,100 $63,900

Score:
20.67 out of 25 points (82.68%)

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3.
award:

2 out of 2 points
Krouse Corporation reports that at an activity level of 8,500 units, its total variable cost is $543,575 and its total fixed cost is $197,700. What would be the total cost, both fixed and variable, at an activity level of 9,000 units? Assume that this level of activity is within the relevant range. (Do not round the variable cost per unit.) $771,145 $575,550 $741,275 $773,250

Score:
20.67 out of 25 points (82.68%)

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4.
award:

0 out of 2 points
At a sales level of $417,000, James Company's gross margin is $15,600 less than its contribution margin, its net operating income is $55,000, and its selling and administrative expenses total $102,500. At this sales level, its contribution margin would be: $173,100

$141,900 $157,500 $362,000

Score:
20.67 out of 25 points (82.68%)

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5.
award:

2 out of 2 points

Callaham Corporation is a wholesaler that sells a single product. Management has provided cost data for two levels of monthly sales volume. The company sells the product for $280.00 Sales volume (units) Cost of sales Selling and administrative costs 2,900 $249,400 $88,000 3,900 $335,400 $105,100

The best estimate of the total contribution margin when 3,500 units are sold is: $817,810 $593,350 $598,510 $619,150

Score:
20.67 out of 25 points (82.68%)

Question #1 (of 11)Question #2 (of 11)Question #3 (of 11)Question #4 (of 11)Question #5 (of 1

The management of Harlow Corporation, a manufacturing company, would like

your help in contrasting the traditional and contribution approaches to the income statement. The company has provided the following financial data for January:

Sales Variable production expense Fixed production expense Variable selling expense Fixed selling expense Variable administrative expense Fixed administrative expense

$237,000 $23,000 $37,000 $12,000 $19,000 $11,000 $54,000

The company had no beginning or ending inventories.

6.
award:

0 out of 2 points
The gross margin for January was: $146,000 $177,000 $203,000 $81,000

7.
award:

2 out of 2 points
The contribution margin for January was: $195,500 $191,000 $165,000 $81,000

Score:

20.67 out of 25 points (82.68%)

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8.
award:

1.67 out of 2 points The 4 x 4 Shop is a large retailer of equipment for pickup trucks. An income statement for bed liner department for the most recent quarter is presented below: The 4 x 4 Shop Income Statement--Liner Department For First Quarter of Current Year Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Administrative expenses Net operating income $ 187,0 00 140,0 00 $ 947,700 324,000 623,700

327,000 $ 296,700

The liners sell, on average, for $351 each. The departments variable selling expenses ar sold. The remaining selling expenses are fixed. The administrative expenses are 18% var fixed. The company purchases its liners from a supplier at a cost of $120 per liner.

Required: Prepare an income statement for the quarter, using the contribution approach. (Input a positive values. Omit the "$" sign in your response.) The 4 x 4 Shop Income Statement (Contribution Format) For the First Quarter of the Current Year (Click to select)Variable $ 947700

selling expenseSelling expenseCost of good soldAdministrative expenseSales Variable expenses: (Click to select)Cost of goods soldAdministrative expensesSelling expensesFixed production expenseSales (Click to select)Administrative expensesSalesCost of goods soldSelling expensesFixed production expense (Click to select)Cost of goods soldAdministrative expensesSalesFixed production expenseSelling expenses (Click to select)Contribution lossContribution margin Fixed expenses: (Click to select)Cost of goods soldSalesSelling expensesFixed production expenseAdministrative expenses (Click to select)SalesCost of goods soldAdministrative expensesSelling expensesFixed production expense (Click to select)Net operating incomeNet operating loss

$ 324,000

70,200

25,200

419400

528300

116,800

100,800

217600

$ 310700

Score:
20.67 out of 25 points (82.68%)

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9.
award:

2 out of 2 points

A manufacturing company that produces a single product has provided the following data most recent month of operations: Unit in beginning inventory Units produced Units sold Units in ending inventory Variable costs per unit: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative Fixed costs: Fixed manufacturing overhead Fixed selling and administrative $ $ 149,600 12,800 0 6,800 6,400 400

$ $ $ $

30 41 10 10

What is the variable costing unit product cost for the month?
$103 $81 $91

$113

Score:
20.67 out of 25 points (82.68%)

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10.
award:

2 out of 2 points

A manufacturing company that produces a single product has provided the following data most recent month of operations: Unit in beginning inventory Units produced Units sold Units in ending inventory Variable costs per unit: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative Fixed costs: Fixed manufacturing overhead Fixed selling and administrative $ $ 165,750 32,150 15 6,630 6,430 215

$ $ $ $

39 44 13 13

What is the absorption costing unit product cost for the month?
$121 $109 $96 $134

Score:
20.67 out of 25 points (82.68%)

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11.
award:

5 out of 5 points

Lynch Company manufactures and sells a single product. The following costs were incur company's first year of operations: Variable costs per unit: Manufacturing: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative Fixed costs per year: Fixed manufacturing overhead Fixed selling and administrative

$18 $6 $2 $6 $220,800 $140,000

During the year, the company produced 18,400 units and sold 15,400 units. The sellin company's product is $60 per unit. Requirement 1: Assume that the company uses absorption costing: ( a Compute the unit product cost. (Omit the "$" sign in your response.) ) Unit product cost $38

( Prepare an income statement for the year.(Input all amounts as positive values. Om b in your response.) )

(Click to select)Cost of goods soldBeginning inventoryEnding inventorySelling and administrative expensesSales (Click to select)Selling and administrative expensesBeginning inventoryEnding inventorySalesCost of goods sold (Click to select)Gross lossGross profit (Click to select)Selling and administrative expensesEnding inventoryCost of goods soldSalesBeginning inventory (Click to select)Net operating incomeNet operating loss Requirement 2: Assume that the company uses variable costing:

$924000

585200 338800 232400 $106400

( a Compute the unit product cost. (Omit the "$" sign in your response.) ) Unit product cost $26

( Prepare an income statement for the year.(Input all amounts as positive values. Om b in your response.) ) (Click to select)Ending inventoryBeginning inventoryGoods available for saleVariable manufacturing costsSales Variable expenses: (Click to select)Variable cost of goods soldEnding inventoryBeginning inventoryVariable selling and administrative expensesSales (Click to select)Variable selling and administrative expensesEnding inventorySalesVariable cost of goods soldBeginning inventory (Click to select)Contribution marginVariable selling and administrative expensesVariable manufacturing costsFixed manufacturing overheadGoods available for sale Fixed expenses:

$9240

$400,400

92,400

4928

4312

(Click to select)Fixed manufacturing overheadSalesBeginning inventoryEnding inventoryFixed selling and administrative expenses (Click to select)Fixed manufacturing overheadFixed selling and administrative expensesSalesBeginning inventoryEnding inventory (Click to select)Net operating lossNet operating income

220,800

140,000

3608

$704