Managerial Accounting and Cost
Susan Coomer Galbreath, Ph.D., CPA
Charles W. Caldwell, D.B.A., CMA
Jon A. Booker, Ph.D., CPA, CIA
Cynthia J. Rooney, Ph.D., CPA
Due April 7, 2017
Cheryls Crystals uses an activity based costing system to price products.
Calculate the cost of tables and chairs for August based on the following
1. Vans Vanilla Cakes uses a process order system.
Beginning Work in Process Inventory (June 1st) 50,000
Vanilla Cakes placed in process (6/1 through 6/30) 200,000
Ending Work in process inventory (6/30) 30,000
The ending work in proc
Chapter 4Process Costing
1. uses the same manufacturing accounts, i.e. Raw materials, Work in Process, Finished Goods, Cos
2. is used in the manufacture of homogenous products which are produced in a continuos flows.
3. Costs is accumulat
Chapter 3 - Job Order costing
Under absorption costing, product costs include all manufacturing costs:
1) Direct labor
2) Direct materials
3) Manufacturing overhead
Job-order costing is used where many different products, each with individual
Fixed and variable cost behavior
Variable cost (0.22C/cup)
Average cost/cup of coffee served
Cups of coffe served in a week
Chap 5 - Cost -Volume-Profit Analysis
Revenues - Variable Expenses - Fixed Expenses = Net Operating Income
(Q x USP) - (Q x UVC) - FC = NOI
At breakeven point, NOI =0
USP = Unit Selling Price
(Q x USP) - (Q x UVC) - FC = 0
UVC = Unit variable
Northwood manufactures basketballs.
Unit selling price =
Unit variable cost =
Unit contribution margin
$10 (DL =60%)
Last year the company sold 30,000 units with the following results:
Sales (30,000 units)
Added during period
Units to account for
Finished & Transferred out
Ending WIP( DM = 100%, CC=30%)
Equivalent units of production
Costs added during period
Jurvin Enterprises recorded the following transactions for the just completed month.
The company had no beginning inventories.
a) $94,000 in raaw materials were purchased for cash
b) $89,000 of ra
Homework Week Four:
Jills Jelly Cakes uses a process order system.
Beginning Work in Process Inventory (June 1st) 200,000
Jelly Cakes placed in process (6/1 through 6/30)
Ending Work in process inventory (6/30)
The ending work in