Module 04: Critical Thinking Assignment
Module 04: Critical Thinking Assignment
CRITICAL THINKING ASSIGNMENT (100 points):
Don't use plagiarized sources. Get Your Custom Essay on
Module 04: Critical Thinking Assignment
Just from $13/Page
Complete the following questions using Microsoft Excel. No other submission format is allowed. Review the grading rubric to confirm you are meeting the assignment requirements.
Consider the following information for Hamburg Corporation:
| Units | |
| Beginning inventory | 80,000 |
| Units started during the year | 150,000 |
| Ending inventory | 62,000 |
Inventory is 100% complete as to materials and 60% complete as to conversion.
| Materials | Conversion | |
| Beginning costs (SAR) | 420,000 | 687,000 |
| Costs added during the period (SAR) | 1,250,000 | 983,000 |
Using the WEIGHTED AVERAGE method:
- Calculate the number of units completed during the period.
- Calculate equivalent units for conversion during the period.
- Calculate cost per equivalent units for Materials.
Mannheim Corporation manufactures small camping tents and family camping tents. Estimated direct labor time to produce each type of tent is as follows:
| Small | Family | |
| Estimated tents produced | 25,000 | 10,000 |
| Direct labor hours per tent | 2 | 5 |
Estimated overhead for the period = 1,200,000 SAR.
- Compute the overhead cost assigned to each type of tent assuming direct labor hours are used to allocate overhead costs.
The controller is not satisfied with the traditional method of allocating overhead because he believes that most of the overhead costs relate to the family tent product line because of its complexity. He therefore developed the following three activity cost pools and related cost drivers to better understand the costs.
| Activity Cost Pools | Expected Use of Cost Drivers | Estimated Overhead Costs (SAR) |
| Setting up machines | 1,000 setups | 220,000 |
| Assembling | 90,000 labor hours | 990,000 |
| Inspection | 1,200 inspections | 240,000 |
- Calculate the activity-based overhead rates for these three cost pools.
- Compute the cost that is assigned to each bicycle product line using activity-based costing system, given the following information.
| Expected Use of Cost Drivers per Product | ||
| Small | Family | |
| Number of setups | 150 | 850 |
| Direct labor hours | 30,000 | 60,000 |
| Number of inspections | 100 | 1,100 |
- What do you believe the controller should do and why?
You must show your work for credit.
Calculator
Our features
We've got everything to become your favourite writing service
Money back guarantee
Your money is safe. Even if we fail to satisfy your expectations, you can always request a refund and get your money back.
Confidentiality
We don’t share your private information with anyone. What happens on our website stays on our website.
Our service is legit
We provide you with a sample paper on the topic you need, and this kind of academic assistance is perfectly legitimate.
Get a plagiarism-free paper
We check every paper with our plagiarism-detection software, so you get a unique paper written for your particular purposes.
We can help with urgent tasks
Need a paper tomorrow? We can write it even while you’re sleeping. Place an order now and get your paper in 8 hours.
Pay a fair price
Our prices depend on urgency. If you want a cheap essay, place your order in advance. Our prices start from $11 per page.