Question

HomeworK1 ework 1 Saved Help Your friend, Suzie Whitson, has designed a new type of outdoor toy that helps children learn basic concepts such as colors, numbers, and shapes. Suzie's product will target two groups: day care centers in warm climates and home school programs. Her company is Jiffy Jet and costs for last month follow: Factory rent Company advertising Wages paid to assembly workers Depreciation for salespersons vehicles Screws $ 3,100 1,030 31,400 2,020 555 Book rences Utilities for factory Assembly supervisor's salary Sandpaper President's salary Plastic tubing Paint Sales commissions Pactory insurance Depreciation on cutting machines Wages paid to painters 860 3,550 105 5,060 4,150 300 1,360 1,000 ३, 090 १,600 Assume that Suzie Whitson has decided to begin production of her outdoor children's toy. Required: 1 and 2. Identify each of the preceding costs as either a product or a period cost. If the cost is a product cost, decide whether it is for direct materials (DM), direct labor (DL), or manufacturing overhead (MOH) and also identify each of the preceding costs as variable or fixed cost. 3. Determine the total cost for each of the following: Complete this question by entering your answers in the tabs below. Next> 1 of 4 K Prev

Answer 1

Dear student,

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Part 3

(A) Direct materials = $4150

(B) Direct labor = 31400+7600 = $39000

(C) MOH = 3100+555+860+3550+105+300+1000+2090 = $11560

(D) prime cost = direct materials + direct labor = 4150+39000 = $43150

(E) conversion cost = direct labor + MOH = 39000+11560 = $50560

(F) total product cost = 4150+39000+11560 = $54710

(G) total period cost = 1030+2020+5060+1360 = $9470

(H) total variable cost =4150+39000+1360 = $44510

(I) total fixed cost =3100+555+860+3550+105+300+1000+2090+1030+2020+5060 = $19670

Factory rent	Product	MOH
Company advertising	period	NA
Wages paid to assembly workers	Product	DL
Depreciation for salespersons’ vehicles	period	NA
Screws	Product	MOH
Utilities for factory	Product	MOH
Assembly supervisor’s salary	Product	MOH
Sandpaper	Product	MOH
President’s salary	period	NA
Plastic tubing	product	DM
Paint	Product	MOH
Sales commissions	Period	NA
Factory insurance	Product	MOH
Depreciation on cutting machines	Product	MOH
Wages paid to painters	Product	DL