E6-31 (similar to) Question Help The Orwell store of Family Mart, a chain of small neighborhood...
The Troy store of Carlson Mart, a chain of small neighborhood convenience stores, has a Kaizen (continuous improvement) approach to budgeting monthly activity costs for each month of 2018. Carlson Mart has three product categories: soft drinks (35% of cost of goods sold [COGS]), fresh snacks (25% of COGS), and packaged food (40% of COGS). The following table shows the four activities that consume indirect resources at the Troy store, the cost drivers and their rates, and the cost-driver amount...
The Elmore store of Gabriel's Corner, a chain of small neighborhood convenience stores, has a Kaizen (continuous improvement) approach to budgeting monthly activity costs for each month of 2018. Gabriel's Corner has three product categories: soft drinks (35% of cost of goods sold [COGS]), fresh snacks (25% of COGS), and packaged food (40% of COGS). The following table shows the four activities that consume indirect resources at the Elmore store, the cost drivers and their rates, and the cost-driver amount...
1. The Rupert store of Henderson Mart, a chain of small neighborhood convenience stores, has a Kaizen (continuous improvement) approach to budgeting monthly activity costs for each month of 2018. Henderson Mart has three product categories: soft drinks (35% of cost of goods sold [COGS]), fresh snacks (25% of COGS), and packaged food (40% of COGS). The following table shows the four activities that consume indirect resources at the Rupert store, the cost drivers and their rates, and the cost-driver...
January 2018 January 2018 Budgeted Budgeted Amount of Cost Driver Used Cost-Driver Soft Fresh Packaged Activity Cost Driver Rate Drinks Snacks Food $ 94 17 27 17 Ordering Delivery Shelf-stocking Number of purchase orders Number of deliveries Hours of stocking time 82 12 65 21 $ 18.00 20 174 93 Customer support Number of items sold $ 0.21 4,800 34,400 10,700 Each successive month, the budgeted cost-driver rate decreases by 0.1% relative to the preceding month. So, for example, February's...
Master Budget and Responsibility Accounting Activity-based budgeting The Jerico store of Jiffy Mart, a chain of small neighborhood convenience stores, is preparing its activity- based budget for January 2018. Jiffy Mart has three product categories: soft drinks (35% of cost of goods sold [COGS]), fresh produce (25% of COGS), and packaged food (40% of COGS). The following table shows the four activities that consume indirect resources at the Jerico store, the cost drivers and their rates, and the cost-driver amount...
Family Food Distributor (FFD) distributes products to grocery stores. The company began operation sixth months ago with three major customers: Seven Eleven, Family Mart and Wellcome. For the latest month, FFD has the following customer profitability report: Seven Family Eleven Mart Wellcome Total Revenues $45,000 $63,000 $52,000 $160,000 Costs of goods sold 31,500 44,100 36,400 112,000 Gross profit 13,500 18,900 15,600 48,000 Store support 15,000 15,000 15,000 45,000 Customer profit margin (1,500) 3,900 600 $3,000 The store support costs totaling...
Required information [The following information applies to the questions displayed below.] OFC Company of Kansas City prints business forms and other specialty paper products, such as writing paper, envelopes, note cards, and greeting cards. Its Business Services division offers inventory management services and desktop delivery on request. The division uses an activity-based costing (ABC) system. The budgeted usage of each activity cost driver and cost-driver rates for January 2019 for the Business Services division are: Activity Cost Driver Budgeted Activity...
Required information [The following information applies to the questions displayed below.) OFC Company of Kansas City prints business forms and other specialty paper products, such as writing paper, envelopes, note cards, and greeting cards. Its Business Services division offers inventory management services and desktop delivery on request. The division uses an activity-based costing (ABC) system. The budgeted usage of each activity cost driver and cost-driver rates for January 2019 for the Business Services division are: Cost-Driver Rate Activity Storage Requisition...
P22-55B Question Help P22-55B (similar to) Ivey Company prepared the following budgeted income statement for the first quarter of 2018: Click the icon to view the budgeted income statement) Ivey Company is considering two options (Click the icon to view the options) Read the requirements Requirement 1. Prepare budgeted income statements for both options, assuming both options begin in January and January sales remain $25,000. Round all calculations to the nearest dollar Begin by preparing the budgeted income statement for...
E6-29 (similar to) Question Help Alcott Company makes and sells artistic frames for pictures of weddings, graduations, and other special events. Ron Brandy, the controller, is responsible for preparing Alcott's master budget and has accumulated the following information for 2018 EE(Click the icon to view some of the financial information.) (Click the icon to view additional information.) More Info Read the requirements. Requirement 1. Prepare a production budget and a direct manufacturing labor cost budget for Alcott Company by month...