question #2 please Homework 2 Problems & 2 Problem Volume-Based Costing versus ABC Eastern Chemical Company...
cost management A strategic Emphasis seventh edition book chapter 5 question 41 parts 1,2,3 Volume-based costing versus ABC Eastern Chemica Company produces three products. The operating results of the current year are: Product Sales Quantity Target Price Actual Price Difference A 1,000 $285.50 $286.00 $1.00 B 5,000 297.60 255.60 (42.00) C 500 202.50 310.00 $107.50 The firm sets the target price of each product at 150% of the product's total manufacturing cost. Recognizing that the firm was able to sell...
Eastern Chemical Company produces three products. The operating results of the current year are: Product А Sales Quantity 1,800.00 9,000.00 900.00 Target Price $300.00 312.60 217.50 Actual Price $301.00 270.60 325.00 Difference $ 1.00 142.00) $107.50 с The firm sets the target price of each product at 150% of the product's total manufacturing cost. It appears that the firm was able to sell Product Cat a much higher price than the target price of the product and lost money on...
Eastern Chemical Company produces three products. The operating results of the current year are: Product A B C Sales Quantity Target Price Actual Price 1, 100.00 $ 286.00 $ 287.00 5,500.00 298. 60 256.60 550.00 203. 50 311.00 Difference $ 1.00 (42.00 $ 107.50 The firm sets the target price of each product at 150% of the product's total manufacturing cost. It appears that the firm was able to sell Product Cat a much higher price than the target price...
Eastern Chemical Company produces three products. The operating results of the current year are: Product Sales Quantity Target Price Actual Price Difference A 1,950.00 $ 303.00 $ 304.00 $ 1.00 B 9,750.00 315.60 273.60 (42.00 ) C 975.00 220.50 328.00 $ 107.50 The firm sets the target price of each product at 150% of the product’s total manufacturing cost. It appears that the firm was able to sell Product C at a much higher price than the target price of...
Eastern Chemical Company produces three products. The operating results of the current year are: Product Sales Quantity 1.495.00 2.475.00 748.00 Target Price 305.00 317.60 222.50 Actual Price $306.00 275.60 330.00 Difference $ 1.00 42.00) $107.50 The firm sets the target price of each product at 150% of the product's total manufacturing cost. It appears that the firm was able to sell Product Cat a much higher price than the target price of the product and lost money on Product B....
Eastern Chemical Company produces three products. The operating results of the current year are: Product Sales Quantity 1.300.00 6,500.00 650.00 Target Price $ 299.00 302.60 207.50 Actual Price $291.00 260.60 315.00 $ 1.00 (42.00) $187.50 The firm sets the target price of each product at 150% of the product's total manufacturing cost. It appears that the firm was able to sell Product Cat a much higher price than the target price of the product and lost money on Product B....
Eastern Chemical Company produces three products. The operating results of the current year are: Product A B с Sales Quantity Target Price Actual Price 1,100.00 $ 286.00 $ 287.00 5,500.00 298. 60 256. 60 550.00 203.50 311.00 Difference $ 1.00 (42.00) $ 107.50 The firm sets the target price of each product at 150% of the product's total manufacturing cost. It appears that the firm was able to sell Product Cat a much higher price than the target price of...
$ Additional ABC Problems 1. Activity-Based versus Traditional Costing Maglie Company manufactures two video game consoles: handheld and home. The handheld consoles are smaller and less expensive than the home consoles. Management believes that the accounting system is not accurately allocating costs to products and has asked you to investigate if there is a cost allocation problem. You find that manufacturing overhead costs are currently assigned to products based on their direct labor costs. For your investigation, you have data...
Problem 2 (Supplemental Problem #2) – Activity-based costing versus traditional costing Lovelace Company produces only two products: reading glasses and sunglasses. The company uses a normal cost system and overhead costs are currently allocated using a plant-wide overhead rate based on direct labor hours. Outside cost consultants have recommended that the company use activity-based costing to charge overhead to products. The company expects to produce 4,000 reading glasses and 8,000 sunglasses this year. Each pair of reading glasses requires two...
Pro blem 2 (Supplemental Problem #2)-Activity-based costing versus traditional costing sunglasses. The company uses a normal cos based on direct labor hours Lovelace Company produces only two products: reading glasses and sung system and overhead costs are currently allocated using a plant-wide overhead rate products. Itants have recommended that the company use activity-based costing to charge overhead to he company expects to produce 4,000 reading glasses and 8,000 sunglasses this year. Each pair of reading glasses requires two direct labor...