Please help me. Thankyou. 2. Metro Animal Feeds has developed the following data in order to calculate the lower of cost ornet realizable value for its products (in thousands). The products are listed within their categoryof feed product.CattleHorseCatDogFerretRabbitSelling Price$320400$360120$14075Cost$160400$32090$112.45Cost toReplace$170325$28040$9825The disposal costs are 20% of the selling price and the normal profit margin on all feed is 25% ofthe selling price.Required: Determine the reported inventory value assuming the lower of cost or market rule isJapplied to individual animal feed products.

LCM methodLCM method is the abbreviation for lower of cost or market rule and is a method used in…

Answered: 2. Metro Animal Feeds has developed the…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter2: Building Blocks Of Managerial Accounting

Section: Chapter Questions

Problem 9EA: The cost data for Evencoat Paint for the year 2019 is as follows: Using the high-low method, express...

See similar textbooks

Similar questions

Swifty Company gathered the following data about the three products that it produces: Product PresentSales Value Estimated AdditionalProcessing Costs Estimated Salesif Processed Further A $10200 $7100 $18300 B 12200 4100 15300 C 9200 2100 13300 Which of the products should not be processed further? Product B Product A Product C Products A and C
Bonita Company gathered the following data about the three products that it produces: Product PresentSales Value Estimated AdditionalProcessing Costs Estimated Salesif Processed Further A $12200 $7200 $23000 B 19000 4600 22500 C 13000 2800 19500 Which of the products should not be processed further?
Cooperative Society manufactures and sells two types of water filters which are high quality and low quality by using its old equipment. The cost structure of water filters are: High Quality Low Quality Selling price per unit 90,000 25.000 Variable cost per unit 80,000 20,000 The sales mix in units is in the ratio of 3:2 for high quality and low quality respectively. The fixed costs per annum are TZS 945,000,000. Required: (a) (i) Compute breakeven point in units and in shillings for each type of the water filters. show all calculations (ii) Compute the margin of safety in units and in shillings for each type of water filters if a total of 210,000 units are sold annually. show all calculations (b) Basing on the information in (a) above, the Society is considering buying new production equipment. The new equipment will increase the fixed costs by TZS 181,000,000 per annum and will reduce the variable costs by TZS 9,000 and TZS 5,000 for high quality and low quality…
following are the cost data associated with water purification devices. a.The initial cost of one device 20,000 b. The cost of transporting one device = %3D 4% of the initial cost of the device. c. The cost of installing the device and connecting it to the water 8% of the cost of the device. d. Profit margin ratio 20% of the total cost of a single device. e. Requited: Calculate the sales price of the device including transportation, installation and connection to water, using cost-based pricing.
D. Cost Analysis 1. Given the data on pig slaughter, compute for the break-even price per kg of the resulting carcass. Items Actual Weight (kg) Cost 1. Liveweight (Farm gate 80 P12 000 price @ PhP 150/kg 2. Slaughter fee PhP 1,000 per head 3. Transportation Cost PhP 500 per head 4. Total Cost = (1+2+3) P13 500 5. Carcass weight 56 kg 6. Break-even carcass P241.07/kg cost/kg = (4/5) 2. If the selling price of pork is PhP300/kg, what is the percentage mark- up based on the break-even price?
An automated turning machine is the current constraint at Jordison Corporation. Three products use this constrained resource. Data concerning those products appear below: LN JQ $168.82 $313.84 $403.08 $139.72 $245.80 $287.56 RQ Selling price per unit Variable cost per unit Minutes on the constraint 1.50 4.20 7.60 Rank the products in order of their current profitability from most profitable to least profitable, In other words, rank the products in the order in which they should be emphasized. (Round your Intermedlate calculations to 2 declmoal places.) Multiple Cholce LN. JQ. RQ RQ. LN. JQ RQ. JQ. LN JQ. RQ LN Mc Graw Hill Type here to search 70°F Mostly cloudy 10 DELL
Saved An sutomated turning machine is the current constraint at the compony. Three products use this constrained resource. Dota concerning those products appear beloW: Selling price per unit Variable cost per unit Minutes on the constraint LN $ 164.11 $ 125.17 2.20 $ 307.80 $ 237.60 4.50 RO $ 426.77 $ 331.73 6.60 Rank the products in order of their current profitability from most profitable to leost profitoble. In other words, rank the products in the order in which they should be emphasized. (Round your Intermedlate calculations to 2c Multiple Cholce RQ. JQ, LN O RQ. RQ, LN, JQ LN. JQ, RQ OJO, RQ, LN
An automated turning machine is the current constraint at Jordison Corporation. Three products use this constrained resource. Data concerning those products appear below: LN RQ Selling price per unit Variable cost per unit $ 166.99 $ 116.03 JQ $ 364.43 $ 269.93 $ 431.06 $ 278.42 Minutes on the constraint 2.60 5.40 9.60 Rank the products in order of their current profitability from most profitable to least profitable. In other words, rank the products in the order in which they should be emphasized. (Round your intermediate calculations to 2 decimal places.)
2. Nando Company manufactures 3 products, A, B, and C, by the same production process which costs $100,000. Each product could be sold at split off or processed further and sold at a higher price. product Selling Price at Split Off Selling Price After Processed Additional Processing Costs A $60000 $190000 $100000 B $15000 $35000 $30000 C $55000 $215000 $150000 a. Determine the total net income if all products are sold at the split off point. b. Determine the total net income if all products are sold after further processing. c. Which product should be processed further and which product should not? Provide the incremental analysis for your answer.
Brissett Corporation makes three products that use the current constraint, which is a particular type of machine. Data concerning those products appear below: GK LQ XK Selling price per unit $ 119.51 $ 226.07 $ 228.96 Variable cost per unit $ 89.87 $ 176.86 $ 178.92 Time on the constraint (minutes) 1.90 3.70 3.60 Required: A. Rank the products in order of their current profitability from the most profitable to the least profitable. In other words, rank the products in the order in which they should be emphasized. B. Assume that sufficient constraint time is available to satisfy demand for all but the least profitable product. Up to how much should the company be willing to pay to acquire more of the constrained resource?
The cost data for Evencoat Paint for the year 2019 is as follows: Using the high-low method, express the companys maintenance costs as an equation where x represents the gallons of paint produced. Then estimate the fixed and variable costs. Predict the maintenance costs i190,000 gallons of paint are produced. Predict the maintenance costs if 81,000 gallons of paint are produced. Using Excel, create a scatter graph of the cost data and explain the relationship between gallons of paint produced and equipment maintenance expenses.
Alba Company is considering the introduction of a new product. To determine the selling price of this product, you have gathered the following information: • Direct material cost per unit Direct labor cost per unit • Variable manufacturing cost per unit Total fixed manufacturing costs.. • Variable selling and administration cost per unit Total fixed selling and administration costs.. .$3,000 .$2,250 ..S1,000 .S1,750,000 ..$1,250 .$550,000 If the company requires a rate of return 18% on its investments and $6,000,000 investments are needed. The total direct materials to be used in the production is $3,000,000. Required: 1. If the company uses absorption costing approach to cost-plus pricing, compute: a. The unit product cost. b. The markup percentage. c. The selling price per unit. 2. Assume that the company is considering the introduction of other new product. If the target-selling price per unit is $5,500 and the company investing $5,000,000 to purchase equipment needed produce 500…

SEE MORE QUESTIONS

Recommended textbooks for you

Principles of Accounting Volume 2

Accounting

ISBN:

9781947172609

Author:

OpenStax

Publisher:

OpenStax College

Principles of Accounting Volume 2

Accounting

ISBN:

9781947172609

Author:

OpenStax

Publisher:

OpenStax College

SEE MORE TEXTBOOKS