Devry ACCT 346 entire course DEVRY ACCT 346 Week 4 Midterm 2 | Page 2

8 . Question : ( TCO 2 ) BCS Company applies manufacturing overhead based on direct labor cost . Information concerning manufacturing overhead and labor for August follows : Estimated Actual
9 . Question : ( TCO 2 ) During 2011 , Madison Company applied overhead using a joborder costing system at a rate of $ 12 per direct labor hours . Estimated direct labor hours for the year were 150,000 , and estimated overhead for the year was $ 1,800,000 . Actual direct labor hours for 2011 were 140,000 and actual overhead was $ 1,670,000 .
What is the amount of under or over applied overhead for the year ?
10 . Question : ( TCO 3 ) Companies in which of the following industries would not be likely to use process costing ?
11 . Question : ( TCO 3 ) The Blending Department began the period with 45,000 units . During the period the department received another 30,000 units from the prior department and completed 60,000 units during the period . The remaining units were 75 % complete . How much are equivalent units in The Blending Department ’ s work in process inventory at the end of the period ?
12 . Question : ( TCO 3 ) During March , the varnishing department incurred costs of $ 90,250 for direct labor . The beginning inventory was 3,500 units and 10,000 units were transferred to the varnishing department from the sanding department during June . The direct labor cost in the beginning inventory was $ 27,270 . The ending inventory consisted of 2,000 units , which were 25 % complete with respect to direct labor . What is the cost per equivalent unit for direct labor ?
13 . Question : ( TCO 4 ) Clearance Depot has total monthly costs of $ 8,000 when 2,500 units are produced and $ 12,400 when 5,000 units are produced . What is the estimated total monthly fixed cost ?
1 . Question : ( TCO 4 ) The margin of safety is the difference between
2 . Question : ( TCO 4 ) Allen Company sells homework machines for $ 100 each . Variable costs per unit are $ 75 and total fixed costs are $ 62,000 . Allen is considering the purchase of new equipment that would increase fixed costs to $ 84,000 , but decrease the variable costs per unit to $ 60 . At that level Allen Company expects to sell 3,000 units next year . What is Allen ’ s break-even point in units if it purchases the new equipment ?