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Coca Cola manufacturers a standard juice

Accounting

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Coca Cola manufacturers a standard juice. During February, the firm's Assembly Department started production of 75,000 boxes. During the month, the firm completed 85,000 boxes and transferred them to the Finishing Department. The firm ended the month with 10,000 boxes in ending inventory 40% complete. All direct materials costs are added at the beginning of the production cycle. Conversion costs are incurred uniformly over the production cycle. Weighted-average costing is used by Coca Cola. the units accounted for is:

a.

89,000 boxes

b.

85,000 boxes

c.

75,000 boxes

d.

95,000 boxes

 

 

 

 

Original company manufactures two models of juice, Big model and Small model. The Following activity and cost information has been compiled: Number of setups 3 setups for Big and 7 setups for Small, number of components 30 and 50 respectively and number of direct labor hours 650 and 150 respectively. Assume a traditional costing system applies the $80,000 of overhead costs based on direct labor hours. the total amount of overhead costs assigned to the Small model is:

a.

$65,000.

b.

$40,000.

c.

$15,000.

d.

$60,000.