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need help on tab 5 capital budgeting she...
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need help on tab 5 capital budgeting sheet only !

I need help on a excel sheet i have the answers but in
pv factors even though answers are correct it says try gain i was wondering what iam doing wrong.

Have three free questions for today and subject is accounting
ACCT.xlsx

ACCT 346
Student Name
BINISH MAROOF
Bravo Baking Company began operations in May of 2010 with the production and sales of speciality breads.
The company has experienced a good market demand for its high protein, low carbohydrate product called "Hi-Lo"
Hi-Lo's success has required that Bravo continue to make only this one product, however, Bravo's customers,
the local retailers, have been asking for more specialty breads from the company. The decision to expand will be made
in the coming weeks.
Weekly Assignments: Complete the assigned Tab each week.
In each worksheet there are several Green colored cells. These cells must be filled in with your response.
Points
Points
Due
Available Earned
Tab1) Product vs. Period Costs
Week 1
10
10.00
Tab 2) Cost of Goods Manufactured Schedule
Week 2
30
30.00
Tab 3) Break Even Analysis
Week 3
40
0.00
Tab 4) Incremental Analysis
Week 5
40
40.00
Tab 5) Capital Budgeting
Week 6
40
40.00
Tab 6) Variance Analysis
Week 7
40
40.00
200
160.00 Total

ACCT 346
Student Name
For Tables A : From the list below, identify if the cost item is a
For Table B: From the list below, identify if the cost item is a "Direct
"Product Cost" or "Period Cost" by typing "Product" or "Period" in
Cost" or "Indirect Cost" by typing "Direct" or "Indirect" in the
the appropriate box.
10 points appropriate box.

Table A
Flour used in baking bread
Factory Supervisor Salaries
Bakers wages
Rent for Executive Offices
Sales Commissions
Utilities used in the factory
Advertising costs
Delivery truck costs
Paper wrappers for bread
Depreciation on bake ovens
Eggs, salt, water used for baking
Interest on bank loan
Factory Insurance

Enter either "Product" or "Period"
Product
Product
Product
Period
period
Product
Period
Period
Product
Product
Product
Period
Product

Table B
### Correct
### Correct
### Correct
### Correct
### Correct
### Correct
### Correct
### Correct
### Correct
### Correct
### Correct
### Correct
### Correct
###

Flour used in baking bread
Factory Supervisor Salaries
Bakers wages
Factory Insurance
Rent for Factory
Utilities used in the factory
Cleaning Bake Ovens
Insurance on Factory
Paper wrappers for bread
Depreciation on bake ovens
Eggs used for baking
Small amounts of salt used
Factory Insurance

Enter either "Direct" or "Indirect"
Direct
Correct###
Indirect
Correct###
Direct
Correct###
Indirect
Correct###
Indirect
Correct###
Indirect
Correct###
Indirect
Correct###
Indirect
Correct###
Direct
Correct###
Indirect
Correct###
Direct
Correct###
Indirect
Correct###
Indirect
Correct###

Points

10.00
###

ACCT 346
Student Name
Use the information provided below to prepare the Cost of Good Manufactured Schedule:Bravo had the following costs as of Dec 31, 2010. Enter the correct values
in the Green shaded cells.
(TCO 2)

Table C
Materials used in baking bread
Factory Supervisor Salaries
Bakers wages
Rent for Executive Offices
Sales Commissions
Utilities used in the factory
Advertising costs
Delivery truck costs
Depreciation on bake ovens
Interest on bank loan
Beginning Inventory Materials
Beginning Work in Process
Ending Inventory Materials
Inventory Purchases
Ending Work in Process
Other Overhead costs
Beginning Finished Goods Inventory
Ending Finished Goods Inventory
Rent for Factory

32,000 Correct
20,000
$32,000
36,000
10000
5000
12000
25000
500
250
10,000
8000
4000
26000
2500
1200
7500
6000
7500

Cost of Goods Manufactured Schedule
Beginning Work In Process
Materials
Beginning Inventory Materials
Plus: Purchases
Materials Available
Less: Ending Inventory Materials
Materials Used
Direct Labor
Overhead
Factory Rent
Depreciation on bake ovens
Utilities used in Factory
Other Overhead costs
Total Overhead
Total Manufacturing Costs
Total Work in Process
Less: Ending Work in Process
Cost of Goods Manufactured

$8,000 Correct
$10,000 Correct
$26,000 Correct
$36,000 Correct
$4,000 Correct
$32,000 Correct
$32,000 Correct
$7,500 Correct
$500 Correct
$5,000 Correct
$1,200 Correct
$14,200 Correct
$78,200 Correct
$86,200 Correct
$2,500 Correct
$83,700 Correct

Complete only the Green cells. Values in Red are from the schedule above.
Cost of Goods Sold Schedule
Beginning Finished Goods Inventory
$7,500 Correct
Beginning Work In Process
$8,000 Correct
Materials
Beginning Inventory Materials
$10,000 Correct
Plus: Purchases
$26,000 Correct
Materials Available
$36,000 Correct
Less: Ending Inventory Materials
$4,000 Correct
Materials Used
$32,000 Correct
Direct Labor
$32,000 Correct
Overhead
Factory Rent
$7,500 Correct
Depreciation on bake ovens
$500 Correct
Utilities used in Factory
$5,000 Correct
Other Overhead costs
$1,200 Correct
Total Overhead
$14,200 Correct
Total Manufacturing Costs
$78,200 Correct
Total Work in Process
$86,200 Correct
Less: Ending Work in Process
$2,500 Correct
Cost of Goods Manufactured
$83,700 Correct
Goods Available for Sale
$91,200 Correct
Less: Ending Finished Goods Inventory
$6,000 Correct
Cost of Goods Sold Schedule
$85,200 Correct

Points

30.00

30 points

ACCT 346
Student Name
Bravo Baking identified the costs below to determine its cost of one unit of product and its monthly operating costs. (TCO 4)
40 Points
Units produced
14,000
Part I Enter your solution in the green cells for each of the following:

Table A
Materials used in baking bread
Factory Supervisor Salaries
Bakers wages
Rent for Executive Offices
Sales Commissions
Utilities used in the factory
Advertising costs
Delivery truck depreciation
Depreciation on bake ovens
Interest on bank loan

Variable Fixed
2.29
0.12
2.29
3,000
3500
0.50
1000
400
0.07
500

Total Costs

$5.26

Price Charged per unit

Using the costs from Table A compute
A) Breakeven units (rounded to 2 decimal places)
B) Break-even sales dollars
C) Contribution Margin
D) Contribution Margin Ratio (%)

###
###
###
###

Part II Complete the following requirements
A) If Bravo requires a profit of $5,000 how many units must it sell?
B) What is the total revenue from A above?
C) If Bravo actually sells 8,000 units
1) What is the margin of safety in Dollars?
2) What is the margin of safety percentage?

###
###
###
###

$8,400.00

$7.89
Total Correct

Points
Hint: use spreadsheet formulas to compute your answers

0
###

ACCT 346
Student Name
Bravo Baking Co has expanded its product line to include several other specialty breads. The operating results for the last quarter are provided below. TCO 7)
(
Product
Revenues
Variable product costs
Variable Selling & Administrative costs
Contribution Margin
Fixed Product Costs
Fixed Selling and Administrative Costs
Allocated Common Costs
Net Income

Hi-Lo
Whole Grain Fruit & Nuts Total
$67,575
$31,800
$15,900 $115,275
$27,030
$12,720
$6,360 $46,110
$13,515
$6,360
$3,180 $23,055
$27,030
$12,720
$6,360 $46,110
$5,000
$5,000
$5,000 $15,000
$5,700
$2,850
$2,850 $11,400
$5,000
$2,500
$2,500 $10,000
$11,330
$2,370
-$3,990
$9,710

Required:

Bravo wants to know the effect on Net Income if it decides to discontinue the Fruit & Nuts product.
If Bravo eliminates Fruit & Nuts 50% of fixed costs can be avoided.
Prepare and incremental analysis showing the Net Income Effect of eliminating the Fruit & Nuts product.
What woud you advise Bravo to do?
Using the Table below, compute the Net Income for Bravo Baking after eliminating the Fruit & Nuts product.
Product
Hi-Lo
Whole Grain Fruit & Nuts Total
Revenues
$67,575
$31,800
$0 $99,375 Correct###
Variable product costs
$27,030
$12,720
$0 $39,750 Correct###
Variable Selling & Administrative costs
$13,515
$6,360
$0 $19,875 Correct###
Contribution Margin
$27,030
$12,720
$0 $39,750 Correct###
Fixed Product Costs
$5,000
$5,000
$2,500 $12,500 Correct###
Fixed Selling and Administrative Costs
$5,700
$2,850
$1,425
$9,975 Correct###
Allocated Common Costs
$5,000
$2,500
$1,250
$8,750 Correct###
Net Income
$11,330
$2,370
-$5,175
$8,525 Correct###

Points

40
###

40 Points

ACCT 346
Student Name
Bravo Baking Co is considering replacing an older freezer with a larger unit to freeze some of its bread.
The new unit has a larger capacity and Bravo estimates it can produce and sell an more bread each year. From these additional sales
the after tax cash flow is expected to be $4,000. In addition to more sales, the new freezer will save $1,200 in electricity each year.
However, the new freezer will cost an additional $2,000 each year for maintenance. The cost of the new unit is $25,000 and it is
expected to last 10 years. The salvage value at the end of its life is $6,000. The old unit is fully depreciated and can be disposed at cost.
Determine the Net Present Value of purchasing the new freezer using a required rate of return of 14%. Should Bravo purchase the freezer?
Use the format below to complete the NPV computations:

(Note: Use PV Tables on pages 342 and 343. Also, be sure to show costs as negative values)
Cash
Flow
Cost of new refrigeration unit
After tax cash flow
Annual electricity savings
Additional annual maintenance costs
Amount collected from disposal of unit
Net present value

-25000
4000
1200
-2000
6000

PV Factors
0
5.216 Try Again
5.216 Try Again
5.216 Try Again
0.27 Try Again

PV
Amounts
-25000 Correct###
20864.4 Correct###
6259.32 Correct###
-10432.2 Correct###
1618.2 Correct###
-6690.28 Correct###

Points

40
###

TCO 9
40 Points

ACCT 346
Student Name

TCO 10
40 Points

Bravo Baking uses standard costing to analyze its performance. The data below is provided for your use in determining Bravo's variances.
Standard Cost per unit
Cost /Unit
Amount/Unit Standard Cost
Material Cost (Ingredients) (.5 lbs)
2.29
.5 lbs
$4.58
Direct Labor( .25 hrs * $9/hr)
2.25
.25 hrs
$9.00
Overhead
0.57
Total
5.11
During the month, Bravo sold 9,000 loaves of bread and used 4,650 pounds of ingredients. Also during the month, Bravo
purchased 5,000 pounds of ingredients at a cost of $22,500. Employees worked a total of 2200 hours and actual labor costs were $19,998

Required:
Part a. Compute the material price and quantity variance.
Material Price Variance =
=
=

( 22500.00
(400.00)

-

$5,000.00

)

*

Fav/Unf >

Correct

4.58
Fav

Correct

###
###

Material Quantity Variance =
=
=

( 21,297.00
$687.00

-

4,500.00

)

*

Fav/Unf

Correct

4.58
unf

Correct

###
###

Labor Rate Variance =
=
=

( 20000.00
200.00

-

$2,200.00 )

*

Fav/Unf >

Correct

9.00
Unf

Correct

###
###

Labor Efficiency Variance =
=
=

( 19,800.00
($450.00)

Correct

-

2,250.00

Fav/Unf

)

*

9.00
fav

Correct

Points

40
###
###
###

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Dear Student Please find attached solution of your assignment. Regards View the full answer

Accounting-7642513.xls

ACCT 346
Student Name
BINISH MAROOF
Bravo Baking Company began operations in May of 2010 with the production and sales of speciality breads.
The company has experienced a good market demand for its...

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