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In developing unit costs, overhead costs should be assigned using activity drivers. Which would be the likely activity driver for a production process using a lathe?

In multiple-product analysis, direct fixed costs can be __________ to each segment.

__________ is a costing system that blends job-order and process-costing procedures applied to batches of homogeneous products.

Algonquin Products produces two products, X and Y, in a single process. In 2011, the joint costs of this process were $25,000. In addition, 4,000 units of X and 6,000 units of Y were produced. Separable processing costs beyond the split-off point were X-$10,000; Y-$20,000. X sells for $10.00 per unit; Y sells for $7.50 per unit. ​ What is the gross profit of product Y assuming the net realizable value method is used?

Burgandy Company produces and sells mattresses. It expects to sell 7,000 mattresses in the current year and had 800 mattresses in finished goods inventory at the end of the previous year. Burgandy would like to complete operations in the current year with at least 900 completed mattresses in inventory. There is no ending work-in-process inventory. The mattresses sell for $500 each. How many mattresses will be produced in the current year? 

For the receiving department of a process-costing manufacturer, transferred-in goods are materials that are added at the end of the process.

Golden Ring Company produces two types of product: Large and Larger. Two work orders for two batches of the products are shown below, along with some additional cost information:   ​ Large Larger ​ Work Order 10 Work Order 11 Direct materials (actual costs) $45,000 $75,000 ​ ​ ​ Applied conversion costs: ​ ​ Mixing ? ? Cooking $12,000 $12,000 Bottling $10,000 $15,000 ​ ​ ​ Batch size (bottles) 5,000 5,000 ​ In the Mixing Department, conversion costs are applied on the basis of direct labor hours. Budgeted conversion costs for the department for the year were $50,000 for labor and $125,000 for overhead. Budgeted direct labor hours were 2,500. It takes three minutes to mix the ingredients needed for each bottle. Large (Work Order 10) and Larger (Work Order 11) flow through the Mixing Department first, then through the Cooking and Bottling departments. What is Golden Ring Company’s amount transferred from the Bottling Department to Finished Goods for Work Order 10?

Eagle Company applies factory overhead in its two producing departments using a predetermined rate based on budgeted machine hours in the Blending Department and based on budgeted labor hours in the Containerizing Department. Variable cafeteria costs are allocated to the producing departments based on budgeted number of employees, and fixed costs are allocated based on the capacity number of employees. Variable maintenance costs are allocated on the budgeted number of direct labor hours, and fixed costs are allocated on labor hour capacity. The data concerning next year’s operations are as follows:   ​ ​   Support Departments Producing Departments Budgeted costs: Cafeteria Maintenance Blending Containerizing Variable costs $60,000 $84,000 $300,000 $324,000 Fixed costs  18,000  30,000  120,000  140,000 ​ Other data:        Direct labor hours (capacity) 10,000 20,000    Direct labor hours (budgeted) 8,000 16,000    Number of employees (capacity) 30 60    Number of employees (budgeted) 20 40    Machine hours (capacity) 33,000 66,000    Machine hours (budgeted) 20,000 60,000 ​ Required: ​ a. Prepare a schedule showing the allocation of budgeted support department costs to producing departments. b. Determine the predetermined overhead rate for the producing departments.

In operation costing, job-order procedures are used to assign direct materials costs and process procedures are used to assign conversion costs.

In order to determine product costs, JIT firms are usually structured so they can use: