Complete the following exam by answering the questions and compiling your answers into a word-processing document. When you’re ready to submit your answers, refer to the instructions at the end. Be certain to indicate the proper question number before each of your answers. Remember to show your work if an answer requires a mathematical solution.
Answer each of the following 20 questions. Each answer is worth 5 points.
Question 1:
At an activity level of 8,800 units, Pember Corporation’s total variable cost is $146,520 and its total fixed cost is $219,296. For the activity level of 8,900 units, compute the following values.
A. The total variable cost
B. The total cost
C. The average variable cost per unit
D. The average fixed cost per unit
E. The average total cost per unit
Note: Assume that the activity level is within the relevant range.
Question 2:
Job 397 was recently completed. The following data have been recorded on its job cost sheet.
Direct materials
Direct labor-hours
1,254 DLHs
Direct labor wage rate
$11 per DLH
Number of units completed
3,300 units
The company applies manufacturing overhead on the basis of direct labor-hours. The predetermined overhead rate is $37 per direct labor-hour.
What’s the unit product cost that would appear on the job cost sheet for this job?
Question 3:
Carver, Inc. uses the weighted-average method in its process costing system. The following data concern the operations of the company’s first processing department for a recent month.
Work in process, beginning:
Units in process
Percent complete with respect to materials
Percent complete with respect to conversion
Units started into production during the month
Work in process, ending:
Units in process
Percent complete with respect to materials
Percent complete with respect to conversion
Using the weighted-average method, what are the equivalent units of production for materials and for conversion costs?
Question 4:
Hayek Corporation uses the FIFO method in its process costing. The following data concern the company’s mixing department for the month of August.
Work in process, August 1
Cost added to production in the mixing department during August
Equivalent units of production for August
What are the cost per equivalent unit for materials and the cost per equivalent for conversion for the mixing department for August using the FIFO method?
Question 5:
Maddaloni International, Inc. produces and sells a single product. The product sells for $160.00 per unit, and its variable expense is $46.40 per unit. The company’s monthly fixed expense is $219,248.
What’s the monthly break-even in total dollar sales?
Question 6:
Mitchel Corporation manufactures a single product. Last year, variable costing net operating income was $55,000. The fixed manufacturing overhead costs released from inventory under absorption costing amounted to $24,000.
What’s the absorption costing net operating income from last year?
Question 7:
Calder Corporation manufactures and sells one product. The following information pertains to the company’s first year of operations:
Variable cost per unit:
Direct materials
Fixed costs per year:
Direct labor
Fixed manufacturing overhead
Fixed selling and administrative
The company doesn’t have any variable manufacturing overhead costs or variable selling and administrative costs. During its first year of operations, the company produced 48,000 units and sold 45,000 units. The company’s only product sells for $258 per unit.
What is the net operating income?
Question 8:
Mouret Corporation uses the following activity rates from its activity-based costing to assign overhead costs to products.
Activity Cost Pools
Activity Rate
Setting up batches
$92.68 per batch
Processing customer orders
$95.08 per customer order
Assembling products
$3.41 per assembly hour
Last year, Product N79A required 28 batches, 6 customer orders, and 712 assembly hours.
How much total overhead cost would be assigned to Product N79A using the company’s activity-based costing system?
Question 9:
The manufacturing overhead budget of Paparella Corporation is based on budgeted direct labor-hours. The November direct labor budget indicates that 6,000 direct labor-hours will be required in that month. The variable overhead rate is $2.00 per direct labor-hour. The company’s budgeted fixed manufacturing overhead is $79,200 per month, which includes depreciation of $21,000. All other fixed manufacturing overhead costs represent current cash flows.
A. Determine the cash disbursements for manufacturing overhead for November.
B. Determine the predetermined overhead rate for November.
Question 10:
Sund Corporation bases its budgets on the activity measure “customers served.” During April, the company plans to serve 38,000 customers. The company has provided the following data concerning the formulas it uses in its budgeting:
Fixed Element per Month
Variable Element per Month

Wages and salaries
Miscellaneous expenses
Prepare the company’s planning budget for April. What is the net operating income?
Question 11:
Shawl Corporation’s variable overhead is applied on the basis of direct labor-hours. The standard cost card for product F02E specifies 5.5 direct labor-hours per unit of F02E. The standard variable overhead rate is $6.80 per direct labor-hour. During the most recent month, 1,560 units of product F02E were made, and 8,700 direct labor-hours were worked.
The actual variable overhead incurred was $52,635.
A. What was the variable overhead rate variance for the month?
B. What was the variable overhead efficiency variance for the month?
Question 12:
Kingdon Corporation’s manufacturing overhead includes $7.10 per machine-hour for variable manufacturing overhead and $207,000 per period for fixed manufacturing overhead.
What’s the predetermined overhead rate for the denominator level of activity of 4,600 machine-hours?
Question 13:
Pinkney Corporation has provided the following data concerning its direct labor costs for November:
Standard wage rate
$12.20 per DLH
Standard hours
5.3 DLHs per unit
Actual wage rate
$11.20 per DLH
Actual hours
39,720 DLHs
Actual output
7,900 units
Show the journal entry to record the incurrence of direct labor costs.
Question 14:
Iba Industries is a division of a major corporation. The following data are for the latest year of operations:
Net operating income
Average operating assets
The company’s minimum required rate of return
What is the division’s residual income?
Question 15:
Tullius Corporation has received a request for a special order of 8,000 units of product C64 for $50.00 each. The normal selling price of this product is $53.25 each, but the units would need to be modified slightly for the customer. The normal unit product cost of product C64 is computed as follows:
Direct materials
Direct labor
Variable manufacturing overhead
Fixed manufacturing overhead
Unit production cost
Direct labor is a variable cost. The special order would have no effect on the company’s total fixed manufacturing overhead costs. The customer would like some modifications made to product C64 that would increase the variable costs by $5.00 per unit and that would require a one-time investment of $43,000 in special molds that would have no salvage value. This special order would have no effect on the company’s other sales. The company has ample spare capacity for producing the special order.
How much is the “effect” (incremental net operating income) on the company’s total net operating income through accepting the special order?
Question 16:
(Ignore income taxes in this problem.) Hinck Corporation is investigating automating a process by purchasing a new machine for $520,000 that would have an eight-year useful life and no salvage value. By automating the process, the company would save $134,000 per year in cash operating costs. The company’s current equipment would be sold for scrap now, yielding $22,000. The annual depreciation on the new machine would be $65,000.
What’s the simple rate of return on the investment to the nearest tenth of a percent?
Question 17:
(Ignore income taxes in this problem.) Schaad Corporation has entered into an eight-year lease for a piece of equipment. The annual payment under the lease will be $2,500, with payments being made at the beginning of each year.
If the discount rate is 14%, what’s the present value of the lease payments?
Question 18:
Brodigan Corporation has provided the following information concerning a capital budgeting project:
Investment required in equipment
Net annual operating cash inflow
Tax rate
After-tax discount rate
The expected life of the project and the equipment is three years, and the equipment has zero salvage value. The company uses straight-line depreciation on all equipment, and the depreciation expense on the equipment would be $150,000 per year. Assume cash flows occur at the end of the year except for the initial investments. The company takes income taxes into account in its capital budgeting. The net annual operating cash inflow is the difference between the incremental sales revenue and incremental cash operating expenses.
What is the net present value of the project?
Question 19:
Dukas Corporation’s net cash provided by operating activities was $218,000; its net income was $203,000; its capital expenditures were $146,000; its cash dividends were $49,000.
What is the company’s free cash flow?
Question 20:
Mihok Corporation has provided the following financial data:
Year 2
Year 1
Stockholders’ equity:
Common stock, $3 par value
Additional paid-in capital—common stock
Retained earnings
Total stockholders’ equity
Income Statement
for the Year Ended December 31, Year 2
Cost of goods sold
Gross margin
Operating expenses
Net operating income
Interest expense
Net income before taxes
Income taxes (30%)
Net income
Dividends on common stock during Year 2 totaled $5,000. The market price of common stock at the end of Year 2 was $0.97 per share.
A. What is the company’s earnings per share for Year 2?
B. What is the company’s price-earnings ratio for Year 2?
C. What is the company’s dividend payout ratio for Year 2?
D. What is the company’s dividend yield ratio for Year 2?
E. What is the company’s book value per share at the end of Year 2?

Paper Assignments
Calculate your paper price
Pages (550 words)
Approximate price: -

Why Work with Us

Top Quality and Well-Researched Papers

We always make sure that writers follow all your instructions precisely. You can choose your academic level: high school, college/university or professional, and we will assign a writer who has a respective degree.

Professional and Experienced Academic Writers

We have a team of professional writers with experience in academic and business writing. Many are native speakers and able to perform any task for which you need help.

Free Unlimited Revisions

If you think we missed something, send your order for a free revision. You have 10 days to submit the order for review after you have received the final document. You can do this yourself after logging into your personal account or by contacting our support.

Prompt Delivery and 100% Money-Back-Guarantee

All papers are always delivered on time. In case we need more time to master your paper, we may contact you regarding the deadline extension. In case you cannot provide us with more time, a 100% refund is guaranteed.

Original & Confidential

We use several writing tools checks to ensure that all documents you receive are free from plagiarism. Our editors carefully review all quotations in the text. We also promise maximum confidentiality in all of our services.

24/7 Customer Support

Our support agents are available 24 hours a day 7 days a week and committed to providing you with the best customer experience. Get in touch whenever you need any assistance.

Try it now!

Calculate the price of your order

Total price:

How it works?

Follow these simple steps to get your paper done

Place your order

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

Receive the final file

Once your paper is ready, we will email it to you.

Our Services

No need to work on your paper at night. Sleep tight, we will cover your back. We offer all kinds of writing services.


Essay Writing Service

No matter what kind of academic paper you need and how urgent you need it, you are welcome to choose your academic level and the type of your paper at an affordable price. We take care of all your paper needs and give a 24/7 customer care support system.


Admission Essays & Business Writing Help

An admission essay is an essay or other written statement by a candidate, often a potential student enrolling in a college, university, or graduate school. You can be rest assurred that through our service we will write the best admission essay for you.


Editing Support

Our academic writers and editors make the necessary changes to your paper so that it is polished. We also format your document by correctly quoting the sources and creating reference lists in the formats APA, Harvard, MLA, Chicago / Turabian.


Revision Support

If you think your paper could be improved, you can request a review. In this case, your paper will be checked by the writer or assigned to an editor. You can use this option as many times as you see fit. This is free because we want you to be completely satisfied with the service offered.