1 / 7

ACCT 505 DEVRY learning Guidance / tutorialrank

For more course tutorials visit<br>www.tutorialrank.com<br>Top Switch Inc. designs and manufactures switches used in telecommunications. Serious flooding throughout the state of Tennessee affected Top Switch’s facilities. Inventory was completely ruined, and the company’s computer system, including all accounting records, was destroyed.<br><br>Before the unfortunate incident, recovery specialists cleaned the buildings. The company controller is very nervous and anxious to recover whatever records he can to support the insurance claim for the destroyed inventory. After consulting with the cost accountant, they decide to retrieve the previous year’s annual report for the beginning inventory numbers. In addition, they also agreed that they need first quarter cost data.<br><br>The cost accountant was working on the first quarter results before the storm hit, and to his surprise, the report was still in his desk drawer. After reviewing the data , the information shows the following information: Material purchases were $ 325,000; Direct Labor was $ 220,000. Further discussions between the controller and the cost accountant revealed that sales were $ 1,350,000 and the gross margin was 30% of sales. The cost accountant also discovered, while sifting through the information, that cost of goods available for sale was $ 1,020,000 at cost. While assessing the damage, the controller determined that the prime costs were $ 545,000 up to the time of the damage and that manufacturing overhead is 65% of conversion cost. The cost accountant is not sure about all of this, but he decides to see what he can do with the information.<br><br>The beginning inventory numbers are as follows:<br>Raw Materials, $ 41,000<br>Work in Process, $ 56,000<br>Finished Goods, $ 35,000<br>Required:<br><br>Determine the amount of cost in the Raw Materials, Work in Process, and Finished Goods Inventory as of the date of the storm. ( Hint: You may wish to reconstruct the various schedules and statements that would have been affected by the company’s accounts during the period.)<br>Grading Rubric for Case Study I:<br>Category<br>Points<br>%<br>Description<br>Documentation &<br>Formatting<br>10<br>22%<br>Worksheet will be done in Excel and will contain formulas to receive maximum credit<br>Organization and Cohesiveness<br>15<br>33%<br>Calculations for all parts should be organized and correctly labeled.<br>Content<br>20<br>45%<br>A quality case study will have all required work completed and will be correct.<br>Total<br>45<br>100%<br>A quality project will meet or exceed all of the above requirements.

ErikaLeitnern
Download Presentation

ACCT 505 DEVRY learning Guidance / tutorialrank

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. For more course tutorials visit www.tutorialrank.com ACCT 505 DEVRY Course Tutorial

  2. ACCT 505 Entire Course ACCT 505 Week 1-7 All ACCT 505 DEVRY Course Tutorial ACCT 505 Week 1-7 All Discussion Questions ACCT 505 Week 1 Case Study ACCT 505 Week 2 Quiz Job Order and Process Costing Systems ACCT 505 Week 3 Case Study II ACCT 505 Week 4 Mid term Exam ACCT 505 Week 5 Measuring Performance - Course Project A Week 1DQ 1 Cost Terms, Classifications, and Behavior Week 1DQ 2 Research and Application Week 2DQ 1 Job Order and Process Costing Systems Week 2DQ 2 Research and Application Week 3DQ 1 Variable Costing and CVP Concepts Week 3DQ 2 Research and Application Week 4DQ 1 Budgeting Case Study Week 4DQ 2 Exam Review Week 5DQ 1 Standards, Variances, Flexible Budgets Week 5DQ 2 Research and Application Week 6DQ 1 Segment Reporting and Relevant Costs

  3. ACCT 505 DEVRY Course Tutorial ACCT 505 Week 1 Case Study (DEVRY) ACCT 505 Week 2 Quiz Job • Top Switch Inc. designs and manufactures switches used in telecommunications. Serious flooding throughout the state of Tennessee affected Top Switch’s facilities. Inventory was completely ruined, and the company’s computer system, including all accounting records, was destroyed. • Before the unfortunate incident, recovery specialists cleaned the buildings. The company controller is very nervous and anxious to recover whatever records he can to support the insurance claim for the destroyed inventory. After consulting with the cost accountant, they decide to retrieve the previous year’s annual report for the beginning inventory numbers. In addition, they also agreed that they need first quarter cost data. • 1. • Question : • (TCO F) For which situation(s) below would an organization be more likely to use a job-order costing system of accumulating product costs rather than a process costing system? • 2. • Question : • (TCO F) Process costing would be appropriate for each of the following except: • 3. • Question : • (TCO F) Lucas Company uses the weighted-average method in its process costing system. The company adds materials at the beginning of the process in the Forming Department

  4. ACCT 505 DEVRY Course Tutorial ACCT 505 Week 3 Case Study II (DEVRY) ACCT 505 Week 4 Midterm • Springfield Express is a luxury passenger carrier in Texas. All seats are first class, and the following data are available: • Number of seats per passenger train car • 90 • Average load factor (percentage of seats filled) • 70% • Average full passenger fare • $160 • Average variable cost per passenger • $70 • Fixed operating cost per month • $3,150,000 • 1. • Question : • (TCO A) Wages paid to an assembly line worker in a factory are a • 2. • Question : • (TCO A) A cost incurred in the past that is not relevant to any current decision is classified as a(n) • 3. • Question : • (TCO A) Depreciation of office buildings and office equipment is also known as • 4. • Question : • (TCO A) When the activity level is expected to increase within the relevant range

  5. ACCT 505 DEVRY Course Tutorial ACCT 505 Week 5 Measuring Performance ACCT 505 Week 6 Quiz Se • Prepare a master budget for the three-month period ending June 30. Include the following detailed budgets: • • 1. • oa. A sales budget, by month and in total. • ob. A schedule of expected cash collections from sales, by month and in total. • oc. A merchandise purchases budget in units and in dollars. Show the budget by month and in total. • od. A schedule of expected cash disbursements for merchandise purchases, by month and in total. • Question : • (TCO D) Return on investment (ROI) is equal to the margin multiplied by • 2. • Question : • (TCO D) For which of the following decisions are opportunity costs relevant? • The decision to make or buy a needed part • The desision to keep or drop a product line • (A) • Yes • Yes • (B) • Yes • No

  6. ACCT 505 DEVRY Course Tutorial ACCT 505 Week 7 Capital Budgeting Course Project ACCT 505 Final Exam Gui • Clark Paints: The production department has been investigating possible ways to trim total production costs. One possibility currently being examined is to make the paint cans instead of purchasing them. The equipment needed would cost $200,000 with a disposal value of $40,000 and would be able to produce 5,500,000 cans over the life of the machinery. The production department estimates that approximately 1,100,000 cans would be needed for each of the next five years. • The company would hire three new employees. These three individuals would be full-time employees working 2,000 hours per year and earning $12.00 per hour. They would also receive the same benefits as other production employees, 18% of wages in addition to $2,500 of health benefits. • ACCT 505 Final Exam Guide (DEVRY)

  7. For more course tutorials visit www.tutorialrank.com ACCT 505 DEVRY Course Tutorial

More Related