Provide management accounting information
Pender Bearings PTY LTD Question Based on a single cost driver of 20,000 direct labour hours, Pender Bearings Pty Ltd has analysed its factory overhead costs for the following year as: FixedVariableTotallndirect materials44,00040,00084,000lndirect labour46,00040,00086,000Fueloil18,00020,00038,000Repairs and maintenance10,00015,00025,000Other factory overhead22,0005,00027,000Total140,000120,000260,000 Required: lf Pender Bearings had estimated an activity level of 22,000 direct labour hours, estimate what the amount of the total variable,total fixed and total factory over
Report on Sales Variance
Write a report on the Sales Variance Analysis with revenue analysis , recommendation and conclusion. SAMPLE PAPER : Introduction There are many procedures of doing variance analysis. These methods range from simple and straightforward to the very sophisticated and complex methods. Variances are divided & sub divided into various categories by the techniques of cost accounting methods. However, a single variance can be
Accounts Assignment II Semester
Multiple Choice Questions (11 to 14) Question 11 On 1 June 2010 Dan Traders, invested R100 000 at the O K Bank at an interest rate of 13% per annum. No interim interest payments were made by the O K Bank regarding this investment up to 31 December 2010, the end of Dan Trader’s financial year. Which one of the following journal entries
Accounts Vosrau (Pty) Ltd
Multiple Choice Questions (15 to 16) Question 15 You are the auditor of Vosrau (Pty) Ltd. On comparing the cash book (cash receipts and cash payments journals) with the bank statement at 31 March 2010, you ascertained the following: 1.. Items in the cash receipts and cash payments journals ofMarch 2010 that could not be ticked off on the bank statements:1.1 A deposit
Capital Budgeting and Leasing
Qantas is considering the purchase of either a new Boeing B747-400ER or an Airbus A340-600E for use on the Perth-London-Perth route. The cost of a 747-400ER is $US256m and the cost of an A340-600 is €198m. Exchange rates are $US1.00 = AUD1.15 and €1.00 = AUD1.45. Both aircraft have an effective life of 25 years. Qantas uses the straight line method of
Truck Leasing Company
Question 2 Truck Leasing Company (TLC) buys trucks for leasing to various delivery companies. On October 1, 2010, TLC leases a truck to Showman Delivery Company. The cost of the truck to TLC was $196,110, which approximated its fair value on the lease date. The lease payments stipulated in the lease are $33,000 per year in advance for the 10-year period
Lease problems
Question 1 Aquarius Incorporated (AI) uses leases as a method of selling its products. In early 2011, AI completed construction of a passenger ferry for use between Manhattan and Staten Island. On April 1, 2011, the ferry was leased to the Manhattan Ferry Line on a contract specifying that ownership of the ferry will transfer to the lessee at the end
Direct and Indirect costs
Q1: The distinction between indirect and direct costs depends on: a. whether a cost differs between alternatives.b. whether a cost is variable or fixed.c. whether a cost is a product or a period cost.d. whether a cost can be easily traced to the cost object under consideration. Q2. Which of the following would usually be found on a job cost sheet
Lease problems
Question 3 Jacks Mining and Manufacturing Company (JMMC) leases from Emily Leasing Company three machines under the following operating lease terms: Machine 1: Lease period – 10 years, beginning April 1, 2005; lease peyments-$18,000 per year, payable in advance.Machine 2: Lease period – 10 years, beginning July 1, 2009, lease payments-$30,000 per year, payable in advance.Machine 3: Lease period – 15 years,
Clerical costs in billing
Q11: Clerical costs in the billing department of Craig Company are a mixture of variable and fixed components. Records indicate that average unit processing costs are $0.50 per account processed at an activity level of 32,000 accounts. When only 22,000 accounts are processed, the total cost of processing is $12,500. Assuming that this activity is within the relevant range, at