Professional Documents
Culture Documents
http://etutorialhub.com/downloads/acct-344-final-exam-answers/
each of the following values. a. Unit contribution margin b. Monthly break-even unit
sales volume Create a contribution margin-based income statement. (Points : 30)
Question 2.2. (TCO 7) Darling Manufacturing Inc. manufactures two products, A
and B, from a joint process. A single production costs $5,000 and results in 200 units of
A and 800 units of B. To be ready for sale, both products must be processed further,
incurring seperable costs of $3 per unit for A and $4 per unit for B. The market price for
Product A is $15 and for Product B is $10..Required: Allocate joint production costs to
each product using the net realizable value method. (Points : 30)
Question 3.3. (TCO 6) Santa Inc. manufactures toys based on the following
information.Required: Compute the following variances (show calculations). a.
Materials usage variance b. Labor rate variance -c. Fixed overhead budget variance
(Points : 30)
Question 4.4. (TCO 4) Toshi Company incurred the following costs in
manufacturing deskDuring the period, the company produced and sold 1,000 units.
a. What is the inventory cost per unit using absorption costing? b. What is the inventory
cost per unit using variable costing? (Points : 30)
Question 5.5. (TCO 8) Musical Instruments Company manufactures two products
(trumpets and trombones). Overhead costs ($175,000) have been divided into three
cost pools that use the following activity drivers.Required (show all calculations)
a. What is the allocation rate for trumpets per setup using activity-based costing? b.
What is the allocation rate for trumpets per machine hours using activity-based costing?
c. What is the allocation rate for trumpets per packing order using activity-based
costing? (Points : 30)
Question 6.6. (TCO 5) The Baxter Corporation has the following budgeted and
actual resultsRequired: Prepare a performance report for all costs, showing flexible
budget variances (indicate F or U).