FinalExam2 - AC 440 Cost Accounting Final Exam Part 2 Name:...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
AC 440 – Cost Accounting Final Exam Part 2 Name: ________________________________________ Below are six essay questions (and one bonus question). After you complete Part 2 of the exam, submit your answers to the facilitator as an e-mail attachment. You have until midnight, Wednesday of Week 8 to submit your answers. Solve the following problems. They are each worth 15 points. Show all your calculations. You may use the space provided. (If you prefer to use Excel or add supplemental pages within this document, please clearly identify the problem number.) 11. Aromatic Coffee, Inc., sells two types of coffee, Colombian and Blue Mountain. The monthly budget for U.S. coffee sales is based on a combination of last year's performance, a forecast of industry sales, and the company's expected share of the U.S. market. The following information is provided for March: Actual Budget Colombian Blue Mountain Colombian Blue Mountain Sales in pounds 7,000 lbs. 8,000 lbs. 6,400 lbs. 8,600 lbs Price per pound $25 $30 $25 $30 Variable cost 11 14 12 13 per pound Contribution margin $14 $16 $13 $17 Budgeted and actual fixed corporate-sustaining costs are $60,000 and $72,000, respectively. Required: a. Calculate the actual contribution margin for the month (in total dollars). b. Calculate the contribution margin for the static budget (in total dollars). c. Calculate the contribution margin for the flexible budget (in total dollars. Hint: remember what the definition is of a flexible budget). d. Determine the total static-budget variance , the total flexible-budget variance , and the total sales-volume variance in terms of the contribution margin. AC440 Online Final Exam, Part 2 -1-
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
12. Surf Products Company uses an automated process to clean and polish its souvenir items. For March, the company had the following activities: Beginning work in process inventory
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 7

FinalExam2 - AC 440 Cost Accounting Final Exam Part 2 Name:...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online