Campfire Outfitters Drivers Cost Center Case Study
BM 220 -- MANAGEMENT ACCOUNTING AND CONTROL
Answers: B.Campfire Outfitters Drivers Cost Centers Purchasing Cost 450 675.00 3,600 72.00 75.00 1,600.00 225.00 Engineering Cost 650 975.00 5,200 104.00 125.00 3,200.00 375.00 Backpacks Cost 800 1,200.00 7,200 144.00 250.00 700.00 125.00 661.75 1,194.75 4,275.50 625 6.84 875 6.20 Tents Cost 1,100 1,650.00 9,900 198.00 200.00 700.00 75.00 926.45 1,672.65 5,422.10 1,000 5.65 Sleeping Bags Cost 1,000 1,500.00 9,100 182.00 150.00 750.00 100.00 1,058.80 1,911.60 5,652.40 2,500 Total 4,000 = (sqft / total sq ft) x 6000 35,000 =(c. Ft / total c.ft )x700
Square feet - Rent Cubic feet - Heating Cost Electricity Indirect Labor Supplies Purchasing Engineering Total Cost
2,647 =( DL/ DL total )x total …show more content…
Brainerd Company Drivers Data Processing Cost 1,875.00 Library Services Information Retrieval Cost 8,125.00 Cost 5,000.00 Cost Centers Report Writing Cost 5,000.00 1,200 300 1,500 6,800.00 112.50 1,900.00 8,812.50 2,900.00 487.50 250.00 3,637.50 750.00 300.00 1,050 300.00 300 4,000.00 5,500 1,400 1,925.00 8,400 11,550 13800 375.00 150.00 525.00 2,400 750 3,150 Project A Project B Project C Total
Square feet - Rent Expense Direct information retrieval labor Direct report preparation 1.) Total Direct Cost Indirect labor Utilities expense Other cost 2.) Total Indirect Cost 3.) Indirect labor rates 4.) Full Costs per project
1,500 …show more content…
Paper cost ( 1,300 copies x .007) 9.10 Other supplies & electricity (1,300 copies x 0.004) 5.20 Total variable cost 14.30 2.) Calculate the total labor cost of these jobs Labor cost ( $ 8 x 4 hrs ) 32.00 3.) Suggest a way to assign labor and indirect costs to the cost of a copy made on that Sunday Direct Labor hours used because it is fixed and can be easily measured. 4.) Determine the full cost of one copy on the last Sunday in June, using the cost method in preceeding question. Paper cost 0.007 Other supplies & electricity Other supplies & electricity 0.004 0.004 Labor Cost (8/ hrx 4 hrs)/1300 copies 0.0246 Monthly operating cost (total cost (($5,000/30 days)/8hrs ) hourly rate ( 20.83/ hr x 4hrs )/1,300 copies 0.064 Total Full Cost per copy 0.0996 5. ) Determine the average annual full cost of one copy No. Of copies made / No. Of copies made 1,300 copies / 4hrs = 325 copies per hour Total no. Of copies made = total direct labor-hours x copies made per hour 7,280 hrs x 325 copies per hour = 2,366,000 copies Variable Cost ( 0.011 x 2,366,000 copies ) Labor cost (.0246 x 2,366,000 copies ) Other monthly cost total cost 5,000 x 12 months Total annual cost 26,026.00 58,203.60 144,000.00
Answers: B.Campfire Outfitters Drivers Cost Centers Purchasing Cost 450 675.00 3,600 72.00 75.00 1,600.00 225.00 Engineering Cost 650 975.00 5,200 104.00 125.00 3,200.00 375.00 Backpacks Cost 800 1,200.00 7,200 144.00 250.00 700.00 125.00 661.75 1,194.75 4,275.50 625 6.84 875 6.20 Tents Cost 1,100 1,650.00 9,900 198.00 200.00 700.00 75.00 926.45 1,672.65 5,422.10 1,000 5.65 Sleeping Bags Cost 1,000 1,500.00 9,100 182.00 150.00 750.00 100.00 1,058.80 1,911.60 5,652.40 2,500 Total 4,000 = (sqft / total sq ft) x 6000 35,000 =(c. Ft / total c.ft )x700
Square feet - Rent Cubic feet - Heating Cost Electricity Indirect Labor Supplies Purchasing Engineering Total Cost
2,647 =( DL/ DL total )x total …show more content…
Brainerd Company Drivers Data Processing Cost 1,875.00 Library Services Information Retrieval Cost 8,125.00 Cost 5,000.00 Cost Centers Report Writing Cost 5,000.00 1,200 300 1,500 6,800.00 112.50 1,900.00 8,812.50 2,900.00 487.50 250.00 3,637.50 750.00 300.00 1,050 300.00 300 4,000.00 5,500 1,400 1,925.00 8,400 11,550 13800 375.00 150.00 525.00 2,400 750 3,150 Project A Project B Project C Total
Square feet - Rent Expense Direct information retrieval labor Direct report preparation 1.) Total Direct Cost Indirect labor Utilities expense Other cost 2.) Total Indirect Cost 3.) Indirect labor rates 4.) Full Costs per project
1,500 …show more content…
Paper cost ( 1,300 copies x .007) 9.10 Other supplies & electricity (1,300 copies x 0.004) 5.20 Total variable cost 14.30 2.) Calculate the total labor cost of these jobs Labor cost ( $ 8 x 4 hrs ) 32.00 3.) Suggest a way to assign labor and indirect costs to the cost of a copy made on that Sunday Direct Labor hours used because it is fixed and can be easily measured. 4.) Determine the full cost of one copy on the last Sunday in June, using the cost method in preceeding question. Paper cost 0.007 Other supplies & electricity Other supplies & electricity 0.004 0.004 Labor Cost (8/ hrx 4 hrs)/1300 copies 0.0246 Monthly operating cost (total cost (($5,000/30 days)/8hrs ) hourly rate ( 20.83/ hr x 4hrs )/1,300 copies 0.064 Total Full Cost per copy 0.0996 5. ) Determine the average annual full cost of one copy No. Of copies made / No. Of copies made 1,300 copies / 4hrs = 325 copies per hour Total no. Of copies made = total direct labor-hours x copies made per hour 7,280 hrs x 325 copies per hour = 2,366,000 copies Variable Cost ( 0.011 x 2,366,000 copies ) Labor cost (.0246 x 2,366,000 copies ) Other monthly cost total cost 5,000 x 12 months Total annual cost 26,026.00 58,203.60 144,000.00