Accounting Exam 2

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Exam 2
1. Which of the following is NOT a component of the master budget?
c. Budget to Actual Variance Analysis
2.
Figure 4-10

The Manoli Company has collected the following data for use in calculating product costs:

Activity Data: (expected and actual) | rug cleaners | sweepers | total | units produced | 50,000 | 250,000 | 300,000 | prime costs | $200,000 | $750,000 | $950,000 | direct labor hours | 10,000 | 40,000 | 50,000 | machine hours | 20,000 | 10,000 | 30,000 | number of setups | 25 | 75 | 100 | inspection hours | 1,200 | 2,800 | 4,000 | number of moves | 140 | 210 | 350 |

Departmental Data: (expected and actual) | molding | assembly | total | direct labor hours | | | | rug cleaners | 5,000 | 5,000 | 10,000 | sweepers | 5,000 | 35,000 | 40,000 | total | 10,000 | 40,000 | 50,000 | machine hours | | | | rug cleaners | 17,000 | 3,000 | 20,000 | sweepers | 3,000 | 7,000 | 10,000 | total | 20,000 | 10,000 | 30,000 | overhead costs | | | | machining | $120,000 | $ 30,000 | $150,000 | moving materials | 40,000 | 30,000 | 70,000 | setting up | 70,000 | 10,000 | 80,000 | inspecting products | 20,000 | 30,000 | 50,000 | total | 250,000 | $100,000 | $350,000 | | |
Refer to Figure 4-10. What is the unit product cost for rug cleaners using activity based costing? | a. $ 7.26 | | | |
3. Wheeling Company produces and sells bikes. It expects to sell 20,000 bikes in April 2014 and had 1,200 bikes in finished goods inventory at the end of March 2014. Wheeling Company would like to complete operations in April with at least 1,500 completed bikes in inventory. The bikes sell for $100 each.

How many bikes would be produced in April 2014?
c. 20,300 bikes
Shiller Corporation has the…...

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