ACCT244 Full Course Latest 2015

DeVry ACCT244 Full Course Latest 2015 [ all discussions all homework and course project ] in $115 (Instant Download)

Week 1

Ethics in Cost Accounting (graded)

Jason is a staff accountant for a large company that does a lot of work with the Defense Department. He has just discovered that overhead costs for some of the company’s private customers has been incorrectly charged to government contracts. It appears that several people on the management team have knowledge, and may have assisted, in the over-charging of costs to these contracts, although he is not sure if the controller was involved. What are his ethical responsibilities and choices?

Cost Accounting and Decision Making (graded)

You are considering lending a car to a friend so that he can drive to New Orleans. What costs would you ask him to reimburse? How would your answer change if you decided to go along? Identify the possible options, and explain your choices.

Week 2

Cost Behavior (graded)

In evaluating product profitability, we can ignore marketing costs because they are not considered product costs.

Do you agree with the previous statement?

CVP Analysis (graded)

I am going to work for a nonprofit organization. Because there are no profits, I will not be able to apply any CVP analysis to my work.

Do you agree with the previous statement? Why or why not?

Week 3

Cost Analysis for Decision Making (graded)

One of your coworkers notes, “This whole subject of differential costing is easy; variable costs are the only costs that are relevant.” How would you respond?

Cost Estimation Methods (graded)

Is there one cost estimation method that is the best to use? What problems can occur with cost estimations?

diss 4

Product Costs (graded)

Refer to the data in Exercise 6-34 on page 227. The president of Tiger Furnishing is confused about the differences in costs that result from using direct labor costs and machine hours. Why are the two product costs different? Which method would you recommend to the president, and why?

Cost Allocation (graded)

Cost allocation is arbitrary, so there is nothing gained by it. We should report only the costs that we know are direct.

Do you agree with the previous statement? Support your answer.

Week 5

Job Costing (graded)

Worrying about the choice of an overhead allocation base is a waste of time. In the end, all of the overhead is charged to production.

Do you agree with the previous statement? Why or why not?

diss 2

Process Costing (graded)

The more important individual unit costs are for decision making, the more likely it is that process costing will be preferred to job costing.

Do you agree with the previous statement? Why or why not?

Week 6

Activity-Based Costing (graded)

Sam and Dave own a small manufacturing company that makes all types of hunting gear – from decoys to garments. Sam is concerned that the products are not being charged the correct amount of overhead, so he suggests that they use ABC for allocating overhead. Dave thinks they are too small of a business to use ABC, and it will cost more than it is worth. How would you advise Sam and Dave?

Costing Ethics (graded)

Springfield Corporation is contemplating introducing an ABC system next year. Some of the product managers have heard that ABC will cause their products to appear to cost more to manufacture and are fighting the change. Is it ethical for the managers to fight the switch?

Week 7

Planning and Control (graded)

What is the difference between the planning and control functions of the budget? What problems do these differences create?

diss 2

Ethics in Budgeting (graded)

In what ways does the budgeting process create incentives for unethical behavior?

(TCO 3) Which of the following activities would NOT be considered a value-added activity?

Production

Marketing

Accounting

Distribution

:

Question 2. Question :

(TCO 3) The continual process of measuring a company’s own products, services, or activities against competitors’ performances is called:

performance measure.

benchmarking.

budgeting.

responsibility center.

lean accounting.

Question 3. Question :

(TCO 3) The field of accounting that depends on generally accepted accounting principles (GAAP) is called:

cost accounting.

financial accounting.

managerial accounting.

responsibility accounting.

international accounting.

Question 4. Question :

(TCO 3) MoreForLess Company had revenues of $2,000,000 while costs were $1,500,000. In the next year, MoreForLess will be introducing a new product line that will generate $200,000 in sales revenues and $160,000 in costs. Assuming no changes are expected for the other products, the differential operating profit for the next year is:

$540,000.

$200,000.

$160,000.

Question 5. Question :

(TCO 3) Jay’s Limo Service provides transportation services in and around Centerville. Its profits have been declining, and management is planning to add a package delivery service that is expected to increase revenue by $300,000 per year. The total cost to lease additional delivery vehicles from the local dealer is $70,000 per year. The present manager will continue to supervise all services. Due to expansion, however, the labor costs and utilities will increase by 40%. Rent and other costs will increase by 20%.

Jay’s Limo Service

Annual Income Statement

Before Expansion

Sales revenue

$980,000

Costs:

Vehicle leases

420,000

Labor

300,000

Utilities

60,000

Rent

80,000

Other costs

70,000

Manager’s salary

110,000

Total costs

$1,040,000

Operating profit (loss)

$(60,000)

What are the total differential costs that will incur as a result of the expansion?

$70,000

$214,000

$230,000

$244,000

week 2

<pclass=”msonormal” style=”color: rgb(0, 0, 0); font-family: Verdana, arial, sans-serif; font-size: 12px; font-style: normal; font-variant: normal; font-weight: normal; letter-spacing: normal; line-height: normal; orphans: auto; text-align: start; text-indent: 0px; text-transform: none; white-space: normal; widows: 1; word-spacing: 0px; -webkit-text-stroke-width: 0px;”>

(TCO 1) Larcker Manufacturing’s cost accountant has provided you with the following information for January operations:

Direct materials

$105 per unit

Fixed manufacturing overhead costs

$675,000

Sales price

$395 per unit

Variable manufacturing overhead

$60 per unit

Direct labor

$120 per unit

Fixed marketing and administrative costs

$585,000

Units produced and sold

30,000

Variable marketing and administrative costs

$24 per unit

What is the full absorption cost per unit?

$247.50

$309.00

$307.50

$285.00

Question 2. Question :

(TCO 1) Larcker Manufacturing’s cost accountant has provided you with the following information for January operations:

Direct materials

$105 per unit

Fixed manufacturing overhead costs

$675,000

Sales price

$395 per unit

Variable manufacturing overhead

$60 per unit

Direct labor

$120 per unit

Fixed marketing and administrative costs

$585,000

Units produced and sold

30,000

Variable marketing and administrative costs

$24 per unit

What is the variable manufacturing cost?

$351.00

$84.00

$309.00

$285.00

Question 3. Question :

(TCO 6) Madison Inc. is considering the introduction of a new energy drink with the following price and cost characteristics:

Sales price

$3.00 per unit

Variable costs

$1.00 per unit

Fixed costs

$450,000 per month

How many units must Madison sell per month to break even?

CORRECT 225,000 units

150,000 units

450,000 units

112,500 units

Question 4. Question :

(TCO 6) Madison Inc. is considering the introduction of a new energy drink with the following price and cost characteristics:

Sales price

$4.00 per unit

Variable costs

$1.00 per unit

Fixed costs

$480,000 per month

How many units must Madison sell per month to make an operating profit of $150,000?

50,000 units

160,000 units

630,000 units

210,000 units

Question 5. Question :

(TCO 6) You have been provided with the following information:

Per Unit

Total

Sales

$20

$60,000

Less variable expenses

8

24,000

Contribution margin

12

36,000

Less fixed expenses

30,000

Operating profit

$ 6,000

If sales decrease 200 units, by how much will fixed expenses have to be reduced in order to maintain the current operating profit of $6,000?

$2,400

$4,000

$6,000

$27,600

week 3 and 5

(TCO 5) Mason Industries manufactures 20,000 components per year. The manufacturing cost of the cowmonents was determined as follows:

Direct materials $80,000

Direct labor $120,000

Variable overhead $55,000

Fixed overhead $40,000

An outside supplier has offered to sell Mason the component for $13. If Mason purchases the component from the outside supplier, fixed costs would be reduced by $10,000. Should Mason accept the offer?

Yes, because the differential costs decrease by $10,000.

Yes, because the differential costs decrease by $5,000.

No, because the differential costs increase by $10,000.

No, because the differential costs increase by $5,000.

Question 2. Question : (TCO 5) The following information relates to a product produced by Henry Company:

Direct materials $13

Direct labor 10

Variable overhead 8

Fixed overhead 11

Unit cost $42

Fixed selling costs are $1,000,000 per year. Variable selling costs of $3 per unit sold are added to cover the transportation cost. Although production capacity is 500,000 units per year, Henry expects to produce only 400,000 units next year. The product normally sells for $50 each. A customer has offered to buy 50,000 units for $38 each. The customer will pay the transportation charge on the units purchased. If Henry accepts the special order, the effect on income would be a:

$750,000 increase.

$350,000 increase.

$200,000 increase.

$100,000 increase.

Points Received: 5 of 5

Comments:

Question 3. Question : (TCO 5) The operations of Click Corporation are divided into the North Division and the South Division. Projections for the next year are as follows:

North Division South Division Total

Sales $720,000 340,000 $1,060,000

Variable costs 215,000 158,000 373,000

Contribution margin $505,000 $182,000 $687,000

Direct fixed costs 173,000 146,000 319,000

Segment margin $332,000 $36,000 $368,000

Allocated common costs 90,000 68,000 158,000

Operating income (loss) $242,000 $(32,000) $210,000

If the South Division was dropped, the operating income for Click Corporation, as a whole, would be:

$264,000.

$174,000.

$242,000.

$210,000.

Question 4. Question : (TCO 3) Mount Company incurred a total cost of $8,600 to produce 400 units of pulp. Each unit of pulp required five direct labor hours to complete. What is the total fixed cost if the variable cost was $1.50 per direct labor hour?

$1,700

$3,000

$5,600

$8,000

Question 5. Question : (TCO 3) The controller of Joy Co has requested a quick estimate of the manufacturing supplies needed for the Morton Plant for the month of July, when production is expected to be 470,000 units to meet the ending inventory requirements and sales of 475,000 units. Joy Co’s budget analyst has the following actual data for the last three months.

Using the high-low method to develop a cost estimating equation, the estimate of the needed manufacturing supplies for July would be:

$681,500.

$688,750.

$749,180.

$752,060.

Points Received: 5 of 5

Comments:

Question 1. Question : (TCO 2) Mark Corporation estimates its manufacturing overhead to be $110,000 and its direct labor costs to be $220,000 for Year 1. The actual direct labor costs for the year include:

Job 301 $60,000

Job 302 82,000

Job 303 98,000

The actual manufacturing overhead was $121,000. Manufacturing overhead is applied to jobs on the basis of direct labor costs by using predetermined rates. What was the over- or underapplied manufacturing overhead for Year 1?

$11,000 overapplied

$11,000 underapplied

$1,000 overapplied

$1,000 underapplied

Points Received: 5 of 5

Comments:

Question 2. Question : (TCO 2) The journal entry to record the actual manufacturing overhead costs for indirect material is:

a

b

c

d

e

Question 3. Question : (TCO 2) Cedar Company estimates its manufacturing overhead to be $700,000 and its direct labor costs to be $560,000 for Year 2. Cedar worked on the following three jobs for the year:

Job Status Direct Labor Costs

Job 2-1 Completed and sold $195,000

Job 2-2 Completed by not sold 325,000

Job 2-3 In progress 130,000

Actual manufacturing overhead for Year 2 was $822,000. Manufacturing overhead is applied on the basis of direct labor costs. How much of the underapplied overhead should be allocated to finished goods?

$2,850

$1,900

$4,750

$9,500

Question 4. Question : (TCO 2) In order to compute equivalent units of production using the FIFO method of process costing, work for the period must be broken down to units:

completed during the period and units in ending inventory.

started during the period and units transferred out during the period.

completed from beginning inventory, started and completed during the month, and units in ending inventory.

processed during the period and units completed during the period.

Question 5. Question : (TCO 2) The Finishing Department had 5,000 incomplete units in its beginning Work-in-Process Inventory, which were 100% complete as to materials and 30% complete as to conversion costs. 15,000 units were received from the previous department. The ending Work-in-Process Inventory consisted of 2,000 units, which were 50% complete as to materials and 30% complete as to conversion costs. The Finishing Department uses first-in, first-out (FIFO) process costing. What are the equivalent units of production for the conversion costs during the period?

14,500

15,100

16,500

17,100

week 6 and 7

n(TCO 2) Mark Corporation estimates its manufacturing overhead to be $110,000 and its direct labor costs to be $220,000 for Year 1. The actual direct labor costs for the year include:

Job 301 $60,000

Job 302 82,000

Job 303 98,000

The actual manufacturing overhead was $121,000. Manufacturing overhead is applied to jobs on the basis of direct labor costs by using predetermined rates. What was the over- or underapplied manufacturing overhead for Year 1?

$11,000 overapplied

$11,000 underapplied

$1,000 overapplied

$1,000 underapplied

Question 2. Question : (TCO 2) The journal entry to record the actual manufacturing overhead costs for indirect material is:

a

b

c

d

e

Question 3. Question : (TCO 2) Cedar Company estimates its manufacturing overhead to be $700,000 and its direct labor costs to be $560,000 for Year 2. Cedar worked on the following three jobs for the year:

Job Status Direct Labor Costs

Job 2-1 Completed and sold $195,000

Job 2-2 Completed by not sold 325,000

Job 2-3 In progress 130,000

Actual manufacturing overhead for Year 2 was $822,000. Manufacturing overhead is applied on the basis of direct labor costs. How much of the underapplied overhead should be allocated to finished goods?

$2,850

$1,900

$4,750

$9,500

Comments:

Question 4. Question : (TCO 2) In order to compute equivalent units of production using the FIFO method of process costing, work for the period must be broken down to units:

completed during the period and units in ending inventory.

started during the period and units transferred out during the period.

completed from beginning inventory, started and completed during the month, and units in ending inventory.

processed during the period and units completed during the period.

Question 5. Question : (TCO 2) The Finishing Department had 5,000 incomplete units in its beginning Work-in-Process Inventory, which were 100% complete as to materials and 30% complete as to conversion costs. 15,000 units were received from the previous department. The ending Work-in-Process Inventory consisted of 2,000 units, which were 50% complete as to materials and 30% complete as to conversion costs. The Finishing Department uses first-in, first-out (FIFO) process costing. What are the equivalent units of production for the conversion costs during the period?

14,500

15,100

16,500

17,100

(TCO 2) Activity analysis is one of the first stages in implementing an activity-based costing system. Which of the following steps of activity analysis is usually performed first?

Classify all activities as value added or nonvalue added.

Record, from start to finish, the activities used to complete the product or service.

Identify the process objectives that are defined by what the customer wants from the process.

Improve the efficiency of all activities and develop plans to eliminate any nonvalue-added activities.

Question 2. Question : (TCO 2) Zela Company is preparing its annual profit plan. As part of its analysis of the profitability of individual products, the controller estimates the amount of overhead that should be allocated to the individual product lines from the information provided below.

Budgeted material handling costs: $50,000

Under an activity-based costing (ABC) system, the materials handling costs allocated to one unit of wall mirrors would be:

$625.00.

$312.50.

$833.33.

$1,000.00.

Question 3. Question : (TCO 2) A company has identified the following overhead costs and cost drivers for the coming year:

Budgeted direct labor cost was $100,000, and budgeted direct material cost was $280,000. The following information was collected on three jobs that were completed during the year:

If the company uses activity-based costing (ABC), how much overhead cost should be assigned to Job 101?

$1,300

$2,000

$5,000

$5,600

Comments:

Question 4. Question : (TCO 2) Scottso Enterprises has identified the following overhead costs and cost drivers for the coming year:

Budgeted direct labor cost was $200,000, and budgeted direct material cost was $800,000. The following information was collected on three jobs that were completed during the month:

If the company uses activity-based costing (ABC), what is the cost of each unit of Job A-28?

$320.00

$30.40

$187.40

$350.40

Question 5. Question : (TCO 2) Which of the following statements is true?

One of the lessons learned from activity-based costing (ABC) is that all costs are really a function of volume.

The primary purpose of the plant wide and department allocation methods is allocating direct costs to specific products.

A problem with activity-based costing (ABC) is that it requires more recordkeeping than other methods.

Direct cost allocations are required for the plant w

Course Project: Cost Analysis for Decision Making

Objective| Guidelines| Grading Rubrics| Best Practices

Objective

The Cost Analysis for Decision Making project is intended to be a comprehensive evaluation of the key objectives covered throughout this course. It will challenge you to apply your knowledge of cost information when evaluating the decision to make or buy a product. Please use this outline and grading rubric as a guide to completing your course project. It provides specific details of the required elements of the project, and it will be used by your instructor as a grading guide.

Read Integrative Case 4-61, “Make versus Buy,” on pages 157 and 158 of the course text. Assume that you are the general manager (Mr. Walsh) faced with this decision. You have identified the following four alternatives available to Liquid Chemical Co.

  • Alternative A: It is the status quo. (i.e., Liquid Chemical Co. will continue making the containers and performing maintenance.)
  • Alternative B: Liquid Chemical Co. will continue making the containers, but it will outsource the maintenance to Packages, Inc.
  • Alternative C: Liquid Chemical Co. will buy containers from Packages, Inc., but it will perform the maintenance.
  • Alternative D: It is completely outsourced. Packages, Inc. will make the containers and provide the necessary maintenance.

Your project should include the following items:

  • Part (a): Discuss each of the four alternatives outlined above. Identify the relevant costs (including amounts) for each of the four alternatives, and explain why these costs are relevant to the decision. Identify any costs that are not relevant, and explain why they are not relevant. What are the advantages and disadvantages of each alternative? Who benefits and who loses?
  • Part (b): Other than the relevant costs identified in Part (a), what additional information would you use when making your decision? Are there financial factors other than those identified in the case study that you would incorporate into your decision? What nonfinancial information would affect your decision?
  • Part (c): As the general manager, which alternative would you choose, and why? Support your conclusion with facts and figures, as necessary.

Guidelines

The following guidelines should be used when completing your project:

  • The essay must be at least three to five pages in length, double spaced, and 10 point Arial or Times New Roman font.
  • Even though this is not a necessarily a scientific writing paper since it is creative in nature, references are still important. At leastoneauthoritative, outside reference is required (anonymous authors are not acceptable). These should be listed on the last page titled “Works Cited.” The reference page does not count towards the minimum page count.
  • Appropriate citations are required.
  • All DeVry University policies are in effect, including the plagiarism policy.
  • Essays are due during Week 7 of this course.
  • Any questions about this paper may be discussed in the weekly Q & A Discussion topic.
  • This paper is worth 150 total points and will be graded on quality of content, organization, proper use of citations (as necessary), and grammar and sentence structure.

Grading Rubrics

CategoryPoints%Description
Content9060%Address all parts of the project in sufficient detail. Demonstrate an understanding of course content through its proper application to the decision in the case study. Provide support for your analysis and decision.
Organization and Cohesiveness2517%Present a clear analysis of the decision in the case study. Arrange your responses to all of the parts of the project in a logical fashion.
Documentation and Formatting2013%Use the project guidelines described above. Essays should be in Arial or Times New Roman, 10 point font, double spaced, and a minimum of 3 to 5 pages, excluding the cover page and the reference page. Effectively use information from the course text and outside resources, properly citing in the body of the report, where appropriate, and in the reference page.
Editing1510%Use proper grammar and English. Avoid typos, spelling errors, slang, and jargon.
Total150100%A quality paper will meet or exceed all of the above requirements.

Best Practices

While not required, the following are best practices in preparing this paper:

  • Cover Page: On the cover page, include who prepared the paper, who you prepared the paper for, and the date.
  • Table of Content: List the main ideas and sections of your paper and the pages in which they are located.

Additional hints on preparing the best possible project:

  • Apply a three step process of writing: plan, write, and complete.
  • Complete a first draft, and then go back to edit and evaluate.
  • Use visual communication to further clarify and support the written part of your report. You could use graphs, diagrams, charts, and tables.

Price of Answer: Just US$115 only (Instant Download)

buy-nowNeed Assistance…??  email us at [email protected].

If you need any type of help regarding Homework, Assignments, Projects,  Case study, Essay writing or any thing else then just email us at [email protected]solvemyquestion.com.  We will get back to you ASAP. Do not forget to maintain the time frame you need you work to be done.