ACCT-UB 4 Lecture 17: Variance Analysis pt. 1
Get access
Related Documents
Related Questions
Rock Slide is a distributor that assembles power units. Using the material presented in Schedules A and Schedule B:
(1) Determine Rock Slideâs cost of goods sold and the ending inventory using the inventory costing methods of FIFO, LIFO, and Weighted Averages;
(2) Determine Rock Slideâs gross profit (margin) using the inventory costing methods of
FIFO, LIFO and Weighted Averages;
S c h e d u l e A A s s e m b l y o f P o w e r U n i t s Rock Slide
Assembly Activity | Units | Cost/Unit | Total Cost |
Beginning Inventory 1/1/12 | 70 | $105 | $7,350 |
Assembly Units Placed Into Inventory | |||
2/15/12 | 85 | $110 | $9,350 |
4/20/12 | 90 | $112 | $10,080 |
9/18/12 | 65 | $112 | $7,280 |
11/16/12 | 110 | $112 | $12,320 |
12/20/12 | 80 | $120 | $9,600 |
Total Assembled Units Available for Sale- 2012 | 500 | $55,980 |
Schedule B
Sales of Power Units Rock Slide
Sales Activity | Units | Unit Sales Price | Total Sales |
1/15/12 | 60 | $145 | $8,700 |
3/20/12 | 80 | $150 | $12,000 |
5/2/12 | 100 | $150 | $15,000 |
10/8/12 | 60 | $150 | $9,000 |
11/30/12 | 110 | $150 | $16,500 |
12/28/12 | 30 | $175 | $5,250 |
Total 2012 Sales | 440 | $66,450 |
Kipley Company is a small manufacturing firm located inPittsburgh, Pennsylvania. The company has a workforce of bothhourly and salaried employees. Each employee is paid for hoursactually worked during each week, with the time worked beingrecorded in quarter-hour increments. The standard workweek consistsof 40 hours, with all employees being paid time and one-half forany hours worked beyond the 40 regular hours.
Wages are paid every Friday, with one week's pay being held backby the company. Assume that the first payday for Kipley Company isJanuary 14 for the workweek ending January 8 (Saturday).
You are being asked to complete Kipley's Payroll Register forthe pay period ending January 8, 20--. Ms. Glenda B. Robey preparesthe Time Clerk's Report for each pay period. This alongwith the Hourly Wage / Salary Report is provided.
Requirement:
Record the regular hours and the overtime hours worked for eachemployee, using the time clerk's report as your reference.
Complete the Regular Earnings columns (Rate per Hour and Amount)for hourly employees. For only hourly employees that workedovertime, complete the Overtime Earnings columns (Rate per Hour andAmount).
For salaried workers, complete the Regular Earnings column and showthe hourly overtime rate and earnings only if overtime wasworked.
Record the Total Earnings for each employee by adding theRegular Earnings and the Overtime Earnings.
Hourly Wage / Salary Report
Kipley's Hourly Wage / Salary Report is provided below, listingeach employee's assigned time card number as well as theirindividual hourly rate or salary.
Time Card No. | Employee Name | Hourly Wage orSalary | ||
---|---|---|---|---|
11 | Fran M. Carson | $17.50 | per hour | |
12 | William A. Wilson | 17.25 | per hour | |
13 | Harry T. Utley | 18.10 | per hour | |
21 | Lawrence R. Fife | 17.90 | per hour | |
22 | Lucy K. Smith | 19.75 | per hour | |
31 | Gretchen R. Fay | 515 | per week | |
32 | Glenda B. Robey | 2,700 | per month | |
33 | Thomas K. Schork | 3,350 | per month | |
51 | Barbara T. Hardy | 2,510 | per month | |
99 | Carson C. Kipley | 52,000 | per year |
Time Clerk's Report
Ms. Glenda B. Robey prepares the time clerk's report for eachpay period. Her report for the first week of operations is givenbelow.
Note: All employees, except for Carson Kipley, are paidfor hours worked beyond 40 at one and one-half times their regularhourly rate of pay.
|
Payroll Register
This is the first task to completing Kipley Company's payrollregister. Complete the steps outlined below:
Record the regular hours and the overtime hours worked for eachemployee, using the time clerk's report as your reference.
Complete the Regular Earnings columns (Rate per Hour and Amount)for hourly employees. For only hourly employees that workedovertime, complete the Overtime Earnings columns (Rate per Hour andAmount).
For salaried workers, complete the Regular Earnings column and showthe hourly overtime rate and earnings only if overtime wasworked.
Record the Total Earnings for each employee by adding theRegular Earnings and the Overtime Earnings.
If an amount box does not require an entry, leave it blank orenter "0". If required, round your intermediate calculations to thenearest cent and use the rounded amounts in subsequentcomputations. Round fraction values to the nearest two decimalplaces, e.g. 1 1/2 to 1.50.
KIPLEY COMPANY, INC. Employee Payroll Register For Period Ending January 8, 20 -- | ||||||||||
Regular Earnings | Overtime Earnings | |||||||||
Time Card No. | Name | Marital Status | No.W/H Allow. | Hours Worked | Rate per Hour | Amount | Hours Worked | Rate per Hour | Amount | Total Earnings |
---|---|---|---|---|---|---|---|---|---|---|
11 | Carson, F. | S | 1 | $ | $ | $ | $ | $ | ||
12 | Wilson, W. | S | 0 | |||||||
13 | Utley, H. | M | 2 | |||||||
21 | Fife, L. | M | 4 | |||||||
22 | Smith, L. | S | 2 | |||||||
31 | Fay, G. | M | 3 | â¦â¦â¦ | ||||||
32 | Robey, G. | M | 6 | â¦â¦â¦ | ||||||
33 | Schork, T. | S | 1 | â¦â¦â¦ | ||||||
51 | Hardy, B. | M | 5 | â¦â¦â¦ | ||||||
99 | Kipley, C. | M | 7 | â¦â¦â¦ | ||||||
Totals | $ | â¦â¦â¦ | â¦â¦â¦ | $ | $ |