a.Identify the cost objects | ||
There are two cost objects, Job #200, and Job #201 | ||
b. Determine the costs of each job using budgeted overhead rates | ||
Job # 200 | Job # 201 | |
Direct costs @ $25 ($25 x 90) ; ($25 x 240) | $ 2,250.00 | $ 6,000.00 |
Customer support @ $45 ($45 x 90) ; ($45 x 240) | $ 4,050.00 | $ 10,800.00 |
Architects @ $30 ($30 x 12) ; ($30 x 60) | $ 360.00 | $ 1,800.00 |
Assistants @ $15 ($15 x (90 -12) ; ($15 x (240 - 60) | $ 1,170.00 | $ 2,700.00 |
To su marks Lucky Designers provides landscape consulting services to clients that range from small businesses...
Gunderson Consulting provides a wide range of consulting services for major league Baseball teams. They are considering different methods of charging costs to individual jobs in a job order costing system. The majority of the billable services are between the world series and beginning of spring training. The support workers complete research and analysis evenly throughout the year except they all get the month of December off. For the last year they incurred total direct costs of $400,000 and 10,000 direct billable hours. Before the...
Trimmer Lawn USA provides lawn care and landscaping services to commercial clients. Trimmer Lawn USA uses activity-based costing to bid on jobs and to evaluate their profitability, Trimmer Lawn USA reports the following budgeted annual costs: Click the icon to view budgeted annual costs.) Click the icon to view additional information.) Read the requirements. Requirement 1. Allocate Trimmer Lawn USA's costs to the activity-cost pools and determine the activity rate for each pool. Start by allocating Trimmer Lawn USA's costs...
Greener Garden USA provides lawn care and landscaping services to commercial clients. Greener Garden USA uses activity-based costing to bid on jobs and to evaluate their profitability. Greener Garden USA reports the following budgeted annual costs: (Click the icon to view budgeted annual costs.) (Click the icon to view additional information.) Read the requirements. Requirement 1. Allocate Greener Garden USA's costs to the activity-cost pools and determine the activity rate for each pool. Start by allocating Greener Garden USA's costs...
Trimmer Lawn USA provides lawn care and landscaping services to commercial clients. Trimmer Lawn USA uses activity-based costing to bid on jobs and to evaluate their profitability. Trimmer Lawn USA reports the following budgeted annual costs: Wages and salaries $ 535,000 Depreciation 60,000 Supplies 75,000 Other overhead 67,000 Total overhead costs $ 737,000 John Gilroy, controller of Trimmer Lawn USA, has established four activity cost pools and the following budgeted activity for each cost pool: Activity Cost Pool Activity...
Ensign Landscape Design designs landscape plans and plants the materials for clients. On April 1, there were three jobs in process - Job 39, 40 and 41. During April, two more jobs were started 42 and 43. By April 30, Jobs 39 and 40 were completed and sold; Jobs 41 and 42 were completed and not sold; and Job 43 was not completed. Direct labor is $10/hour. Overhead is applied at the rate of $32 per direct labor hour. Jobs...
Problem 3: Activity-Based Costing (20 points) University Student Cleanup provides housecleaning services to its clients (primarily university students). During its first year, USC had a simple business model where it charged its customers $24 per hour for services while paying its cleaning specialists $12 per hour. The owner simply assumed the 100% markup over hourly direct labor costs would be enough to cover all additional costs and make a good profit. Unfortunately, this did not tum out to be the...
Question Help Green Thumb USA provides lawn care and landscaping services to commercial clients. Green Thumb USA uses activity-based costing to bid on jobs and to evaluate their profitability. Green Thumb USA reports the following budgeted annual costs: (Click the icon to view budgeted annual costs.) (Click the icon to view additional information.) Read the requirements Requirement 1. Allocate Green Thumb USA's costs to the activity-cost pools and determine the activity rate for each pool. Start by allocating Green Thumb...
please do B 1. Mike K. provides consulting and tax preparation services to clients. Mike charges a fee of $100 per hour for each service and can devote a maximum of 4,000 hours annually to his clients. He reported the following revenues and expenses for 2014: $400,000 Revenue Expenses all overhead): Secretarial support Supplies Computer costs Net income $84,000 72,000 48.000 $196,000 Being an accountant, Mike kept good records of the following data for 2014: Revenues Direct labour hours Tax...
please help 1. Mike K. provides consulting and tax preparation services to clients. Mike charges a fee of $100 per hour for each service and can devote a maximum of 4,000 hours annually to his clients. He reported the following revenues and expenses for 2014: $400,000 Revenue Expenses (all overhead): Secretarial support Supplies Computer costs Net income $84,000 72,000 48.000 $196,000 Being an accountant, Mike kept good records of the following data for 2014: Revenues Direct labour hours Tax Preparation...
please do C and D 1. Mike K. provides consulting and tax preparation services to clients. Mike charges a fee of $100 per hour for each service and can devote a maximum of 4,000 hours annually to his clients. He reported the following revenues and expenses for 2014: $400,000 Revenue Expenses (all overhead): Secretarial support Supplies Computer costs Net income $84,000 72,000 48.000 $196,000 Being an accountant, Mike kept good records of the following data for 2014: Revenues Direct labour...