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Posted: June 15th, 2022
Downside 2
Cameron
Company has two production departments and a maintenance division. In
addition, the company retains different prices for the normal plant in a separate
account. The estimated price knowledge for 12 months 1 observe:
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The overall plant companies the three departments in the following proportions:
50 % (Division 1); 30 % (Division 2); 20 % (Maintenance).
Allocate maintenance prices primarily based on maintenance hours. Allocate maintenance
division and normal plant prices to the production departments. Use the step
methodology, beginning with normal plant prices
Downside three
A company processes a chemical,
DX-1, via a strain remedy operation. The entire course of has two
outputs, L and T. The January prices to course of DX-1 are $50,000 for supplies
and $100,000 for conversion prices. This processing leads to two outputs, L
and T that promote for a complete of $250,000. The gross sales income from L quantities to $200,000
of the complete. Utilizing the internet realizable methodology, assign prices to L and T for
January.
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