Question 1
8 / 8 points
Alpha manufactures chairs, and each requires 4 board feet of lumber. Alpha expects that
1,500 and 1,700 chairs will be built in April and May, respectively. Alpha keeps lumber on
hand at 40% of the next month's production needs. Use this information to determine
number board feet of lumber that Alpha Company: (Round & enter final answers to: the
nearest whole dollar for total dollar answers, nearest penny for unit costs or nearest whole
number for units.)
1. should buy in April
2. have for desired March ending raw material inventory
Answers available at http://bit.ly/2Pzrddt
FIB - 2
Question 2
8 / 8 points
Alpha company anticipated unit sales of widgets are January, 5,000; February, 4,000; and
March 8,000. Alpha consistently maintained finished goods inventory at 80% of the
following month's sales. The historic total unit cost has been $10 for each unit produced.
Use this information to determine the total cost of completed production for: (Round &
enter final answers to: the nearest whole dollar for total dollar answers, nearest penny for
unit costs or nearest whole number for units)
1. January
2. February
Answers available at http://bit.ly/2Pzrddt
Answer
for blank $42,000
(50 %)
# 1:
Answer
for blank $72,000
(50 %)
# 2:
Hide Feedback
Answers available at http://bit.ly/2Pzrddt
FIB - 3
Question 3
5 / 5 points
Alpha Company began operations on January 1 with cash of $75,000. All of January's
$150,000 sales were on account. During January no customer collections occurred. Cost of
goods sold was $45,000, and there was no ending inventories or any accounts payables. Use
this information to determine the ending balance of cash on hand for January. (Round &
enter final answers to: the nearest whole dollar for total dollar answers, nearest penny for
unit costs or nearest whole number for units)
FIB - 4
Question 4
5 / 5 points
Alpha Company has budgeted activity for October to reflect net income $120,000. All sales
are credit sales. Receivables are planned to increase by $35,000, payables to decrease by
$25,000 and Depreciation Expense is $55,000. Use this information to determine how much
cash will increase (decrease) during the month of October. (Round & enter final answers
to: the nearest whole dollar for total dollar answers, nearest penny for unit costs or nearest
whole number for units)
Answers available at http://bit.ly/2Pzrddt
FIB - 5
Question 5
12 / 12 points
Alpha Company began operations on January 1. All sales are on credit. Alpha has sales
budgeted as $170,000 for February. Receivables at January 31 were $25,000. Accounts
Receivable collections are expected to be 60% in the month of sale, 30% the next month,
and 10% in the next. Use this information to determine the dollar value of: (Round & enter
final answers to: the nearest whole dollar for total dollar answers, nearest penny for unit
costs or nearest whole number for units)
1. January Sales
2. January Cash Collections from Customers
3. February Expected Cash Collections from Customers
FIB - 6
Question 6
5 / 5 points
Alpha Company is preparing its cash budget for the month of May. The company
estimated credit sales for May at $200,000. Actual credit sales for April were $150,000.
Estimated collections in May for credit sales in May are 20%. Estimated collections in
May for credit sales in April are 70%. Estimated Collections in May for credit sales prior
to April are $12,000. Estimated write-offs in May for uncollectible credit sales are
$8,000. Estimated provision for bad debts in May for credit sales in May are $7,000. What
are the estimated cash receipts from accounts receivable collections in May?
Answers available at http://bit.ly/2Pzrddt
FIB - 7
8 / 8 points
Question 7
Alpha Company has provided projected information as follows:
Net sales
Fixed manufacturing costs
$10,000
$1,000
Additionally, Alpha has experienced a variable manufacturing costs of 45% of net sales
and sees not changes during the budget period. Alpha expects that there will be no changes
to any inventory values. Use this information to determine Alpha's: . (Round & enter final
answers to: the nearest whole dollar for total dollar answers, nearest penny for unit costs
or nearest whole number for units)
1. Budgeted Cost of Goods Sold
2. Budgeted Gross Profit
FIB - 8
12 / 12 points
Question 8
Alpha Company has two service departments (Cafeteria Services & Maintenance Services).
Alpha has two production departments (Printing Department & Binding Department.)
Cafeteria Services has costs of $140,000 and are allocated to production departments based
on their number of employees. Employees are:
Cafeteria Services
2
Maintenance Services
2
Printing Department
4
Binding Department
8
Alpha uses the direct method for service cost allocation. Use this information to determine
for Alpha Company the dollar amount of its Cafeteria costs that are to be absorbed by: .
(Round & enter final answers to: the nearest whole dollar for total dollar answers, nearest
penny for unit costs or nearest whole number for units)
1. the Maintenance Service Department
2. the Printing Department
3. the Binding Department
Answers available at http://bit.ly/2Pzrddt
FIB - 9
Question 9
9 / 9 points
Alpha Company has two service departments (Cafeteria Services & Maintenance Services).
Alpha has two production departments (Printing Department & Binding Department.)
Cafeteria Services has costs of $140,000 and are allocated to production departments based
on their number of employees. Employees are:
Cafeteria Services
2
Maintenance Services
2
Printing Department
4
Binding Department
8
Alpha uses the step method for service cost allocation. Use this information to determine
for Alpha Company the dollar amount of its Cafeteria costs that are to be absorbed by:
(Round & enter final answers to: the nearest whole dollar for total dollar answers, nearest
penny for unit costs or nearest whole number for units)
1. the Printing Department
2. the Binding Department
FIB - 10
14 / 14 points
Question 10
Alpha Company provides the following information for their first year of operations in
2016:
Sales, 5,000 units @ $10 each
Total production, 7,500 units
Selling and administrative costs:
Fixed
$1,000
Variable
$1 per unit
Production costs per unit:
Direct materials
$2.00
Direct labor
$2.00
Variable overhead
$1.00
Fixed manufacturing overhead
$7,500
Alpha Company uses absorption costing. Use this information to determine for Alpha
Company the FY 2016: (Round & enter final answers to: the nearest whole dollar for total
dollar answers, nearest penny for unit costs or nearest whole number for units)
1. Cost of Goods Sold
2. Net Income
3. Cost of Ending Inventory
Answers available at http://bit.ly/2Pzrddt
FIB - 11
14 / 14 points
Question 11
in 2016:
Sales, 5,000 units @ $10 each
Total production, 7,500 units
Selling and administrative costs:
Fixed
$1,000
Variable
$1 per unit
Production costs per unit:
Direct materials
$2.00
Direct labor
$2.00
Variable overhead
$1.00
Fixed manufacturing overhead
$7,500
Alpha Company uses direct (variable) costing. Use this information to determine for Alpha
Company the FY 2016: (Round & enter final answers to: the nearest whole dollar for total
dollar answers, nearest penny for unit costs or nearest whole number for units)
1. Contribution Margin
2. Net Income
3. Cost of Ending Inventory