平衡计分卡实施案例
QUIZ 2 CH 4/5/8
（20 MARKS）1.Gold Nest Company of Guandong, China, is a family-owned enterprise that
makes birdcages for the South China market. A popular pastime among older Chinese men is to take their pet birds on daily excursions to teahouses and public parks where they meet with other bird owners to talk and play mahjong. A great deal of attention is lavished on these birds, and the birdcages are often elaborately constructed from exotic woods and contain porcelain feeding bowls and silver roosts. Gold Nest Company makes a broad range of birdcages that it sells through an extensive network of street vendors who receive commissions on their sales. The Chinese currency is the renminbi, which is denoted by Rmb. All of the company’s transactions with customers, employees, and suppliers are conducted in cash; there is no credit.
The company uses a job-order costing system in which overhead is applied to jobs on the basis of direct labor cost. At the beginning of the year, it was estimated that the total direct labor cost for the year would be Rmb110,000 and the total manufacturing overhead cost would be Rmb275,000. At the beginning of the year, the inventory balances were as follows:
Raw materials ........Rmb13,000 Work in process ......Rmb30,000 Finished goods .......Rmb65,000
During the year, the following transactions were completed:
a. Raw materials purchased for cash, Rmb150,000.
b. Raw materials requisitioned for use in production, Rmb158,000. (Materials costing
Rmb135,000 were charged directly to jobs; the remaining materials were indirect.) c. Costs for employee services were incurred as follows:
Direct labor ........ Rmb100,000 Indirect labor ...... Sales commissions ... Administrative salaries ...........
Rmb35,000 Rmb40,000 Rmb22,000
d. Rent for the year was Rmb36,000. (Rmb30,000 of this amount related to factory
operations, and the remainder related to selling and administrative activities.) e. Utility costs incurred in the factory, Rmb90,000. f. Advertising costs incurred, Rmb88,000.
g. Depreciation recorded on equipment, Rmb80,000. (Rmb66,000 of this amount was on
equipment used in factory operations; the remaining Rmb14,000 was on equipment used in selling and administrative activities.)
h. Manufacturing overhead cost was applied to jobs, Rmb ? . i. Goods that cost Rmb490,000 to manufacture according to their job cost sheets were
completed during the year.
j. Sales for the year totaled Rmb995,000. The total cost to manufacture these goods
according to their job cost sheets was Rmb550,000.
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平衡计分卡实施案例
Required:
1. Prepare journal entries to record the transactions for the year.
2. Prepare T-accounts for inventories, Manufacturing Overhead, and Cost of Goods Sold.
Post relevant data from your journal entries to these T-accounts. (Don’t forget to enter the beginning balances in your inventory accounts.) Compute an ending balance in each account.
3. Is Manufacturing Overhead underapplied or overapplied for the year? Prepare a
journal entry to close any balance in the Manufacturing Overhead account to Cost of Goods Sold.
4. Prepare an income statement for the year. (Do not prepare a schedule of cost of goods
manufactured; all of the information needed for the income statement is available in the journal entries and T-accounts you have prepared.)
（20 MARKS）2.Harwood Company is a manufacturer that operates a job-order costing system.
Overhead costs are applied to jobs on the basis of machine-hours. At the beginning of the year, management estimated that the company would incur $380,000 in manufacturing overhead costs and work 47,500 machine-hours.
Required:
1. Compute the company’s predetermined overhead rate.
2. Assume that during the year the company works only 45,000 machine-hours and incurs
the following costs in the Manufacturing Overhead and Work in Process accounts:
(Maintenance)
(Indirect labor)
Copy the data in the T-accounts above onto your answer sheet. Compute the amount
of overhead cost that would be applied to Work in Process for the year and make the entry in your T-accounts.
3. Compute the amount of underapplied or overapplied overhead for the year and show
the balance in your Manufacturing Overhead T-account. Prepare a journal entry to close out the balance in this account to Cost of Goods Sold.
4. Explain why the manufacturing overhead was underapplied or overapplied for the year.
Manufacturing Overhead 47,000 20,000 105,000 77,500 26,000 91,500 ?
(Direct materials) Work in Process 980,000
(Indirect materials) (Direct labor) 170,000 (Overhead)
? (Utilities) (Insurance) (Depreciation) （20 MARKS）3. Contrasting ABC and Conventional Product Costs
Siegel Corporation manufactures a product that is available in both a deluxe and a regular model. The company has made the regular model for years; the deluxe model was introduced
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平衡计分卡实施案例
several years ago to tap a new segment of the market. Since introduction of the deluxe model, the company’s profits have steadily declined. Sales of the deluxe model have been increasing rapidly.
Overhead is applied to products on the basis of direct labor-hours. At the beginning of the current year, management estimated that $3,080,000 in overhead costs would be incurred and the company would produce and sell 10,000 units of the deluxe model and 50,000 units of the regular model. The deluxe model requires 2.0 hours of direct labor time per unit, and the regular model requires 1.0 hours. Materials and labor costs per unit are given below:
Direct materials cost per
unit ................... $50.00 $30.00 Direct labor cost per unit
....................... $30.00 $15.00
RegulaDeluxe r
Required
1. Compute the predetermined overhead rate using direct labor-hours as the basis for
allocating overhead costs to products. Compute the unit product cost for one unit of each model.
2. An intern suggested that the company use activity-based costing to cost its products.
A team was formed to investigate this idea. . It came back with the recommendation that four activity cost pools be used. These cost pools and their associated activities are listed below:
Estimated Overhead Cost
$
Activity
Activity Cost Pool and Activity Measure Delux e Regular Total
500 800
1,000 2,000
1,500 2,800
Purchase orders (number of orders) . 60,000 Rework requests (number of requests) 280,000
2,500
Machine-related (machine-hours) ....
Product testing (number of tests) .. 240,000 7,000
,000 4,500
0
3,000 10,000 8,000 12,500
$3,080,00
Compute the activity rate (i.e., predetermined overhead rate) for each of the
activity cost pools.
3.Assume that actual activity is as expected for the year. Using activity-based costing,
do the following:
a. Determine the total amount of overhead that would be applied to each model for
the year.
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平衡计分卡实施案例
b. Compute the unit product cost for one unit of each model.
4. Can you identify a possible explanation for the company’s declining profits? If
so, what is it?
（20 MARKS）4. Cost flows and Unit Product Costs in Activity-Based Costing
Hunter Corporation uses activity-based costing to determine product costs for external financial reports. At the beginning of the year, management made the following estimates of cost and activity in the company’s five activity cost pools:
Activity Cost Pool Activity Measure
Material receipts Number of receipts
General factory .. Machine-hours Relay assembly ... Number of relays Labor related .... Direct labor-hours Production orders Number of orders
Estimated Overhead Cost
$200,000 $110,000 $108,000 $960,000 $1,260,00
0
Expected Activity
20,000 DLHs 5,000 orders
receipt1,800 s 12,000 relays 70,000 MHs
Required
1. Compute the activity rate (i.e., predetermined overhead rate) for each of the
activity cost pools.
2. During the year, actual overhead cost and activity were recorded as follows:
Actual Overhead Activity Cost Pool Cost Actual Activity
$ 205,
Labor related .....
000 107,000 112,000 980,000 1,300,0
General factory ...
00
$2,704,00Total overhead cost
0
a. Prepare a journal entry to record the incurrence of actual manufacturing overhead
cost for the year (credit Accounts Payable). Post the entry to the company’s Manufacturing Overhead T-account.
b. Determine the amount of overhead cost applied to production during the year. c. Prepare a journal entry to record the application of manufacturing overhead cost
to Work in Process for the year. Post the entry to the company’s Manufacturing Overhead T-account.
73,000 MHs 22,000 DLHs 4,500 orders
receipt
Material receipts .
2,000 s 13,000 relays
Relay assembly .... Production orders .
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平衡计分卡实施案例
d. Determine the amount of underapplied or overapplied manufacturing overhead for
the year.
3. The actual activity for the year was distributed among the company’s four products
as follows:
Actual Activity
Product A Product B Product C Product D
7,000 800 400 3,500
1,000 900 800 2,000 26,000
8,000 1,100 300 3,000 17,000
6,000 1,700 500 4,500 14,000
Activity Cost Pool
Production orders
Labor related (DLHs) ... (orders) ............. Material receipts (receipts) ........... Relay assembly (relays)
General factory (MHs) .. 16,000
a. Determine the total amount of overhead cost applied to each product.
b. Does the total amount of overhead cost applied to the products above tie in to
the T-accounts in any way? Explain.
（10 MARKS）5 Equivalent Units; Cost Reconciliation—Weighted Average Method
Martin Company manufactures a single product. The company uses the weighted-average method in its process costing system. Activity for June has just been completed. An incomplete production report for the first processing department follows: Quantity Schedule and Equivalent Units Units to be accounted for: Work in process, June 1 (materials 80% complete; labor Quantity Schedule and overhead 60% complete) .. 10,000 Units accounted for as follows: Transferred to the next department ................. 68,000 Work in process, June 30 (materials 50% complete, labor 6,0 ? and overhead 20% complete) .. 00 页脚内容
Started into production ...... 64,000 Total units .................... 74,000 Equivalent units (EU) Labor ? ? Materials ? Overhead ? ? 5
管理会计quiz 2--ch 4 5 8
