Lucky Company produces silver medallions that are awarded to people around the world who commit random acts of kindness. The firms uses a standard costing system. The standard cost card for the medallions follows: $5.41 6.38 DM11 ounces of silver @ $49.16 per ounce DL.25 hours @ $25.43 per hour YOHL34 MH @ $8.60 per MH FOH 34 MH @ $15.64 per MH Unit Cost 2.92 5.32 $20.03 Silver is purchased from a mining operation in Argentina, La Tierra. I pound of grade B silver costs $50 and I pound of grade A silver costs $75. Purchases of 100 pounds or more are subject to a 10% discount. In addition, cash purchases (made in Argentia's currency) receive an additional 5% discount. La Tierra pays for all shipping at a rate of 55 per pound. Duties to import silver into Canada are about 15% of the declared value of each shipment. Lucky has decided to use grade B silver and to take advantage of both of the offered discounts Each finished medallion must weigh one tenth of a pound. First, any impurities in the silver must be removed. On average this results in the loss of about 5% of the weight of the silver. After that, the medallions are formed by melting the silver and pouring it into round forms. Spillage during this process amounts to about 3% of the molten silver. Finally the design must be stamped onto the face of the medallion. During this process, an average of 2% of the medallions break and must be discarded. During the month of April, Lucky purchased 6,000 pounds of silver at a total cost of $295,300 3,900 pounds were used to produce 30,000 medallions. A total of 6,680 DL hours were worked on silver medallions. The associated cost was $191,240. Overhead is applied on the basis of machine hours. 1. Compute the DMPV. 2. Compute the DMOV Compute the DLEV.
https://papertowriters.com/wp-content/uploads/2020/07/Writerspng-300x62.png 0 0 admin https://papertowriters.com/wp-content/uploads/2020/07/Writerspng-300x62.png admin2021-11-02 06:18:442021-11-02 06:18:44Lucky Company produces silver medallions that are awarded to people around the world who commit rand