Tutorial 8

Question 1

Direct Materials Budget -Paper

Units to be produced
Paper per Unit
Total Paper for Production
Desired Ending Inventory
Total Need
Less: Beginning Inventory
Total Paper to be purchased
Cost per sheet
Total \_\_\_\_\_\_\_\_

Answer 1

Paper Cost

Question 2

Direct Labor Budget

Units to be produced
Direct Labor per Unit
Total Direct Labor Hours
Wage Rate per Hour
Total Direct \_\_\_\_\_\_\_\_\_\_\_\_

Answer 2

Labor Cost

Question 3

Manufacturing Cost: 3 types

Direct Materials
Direct Labor
_________ Overhead

Answer 3

Manufacturing

Question 4

Direct Materials:

Materials that go into a _______ product.

Answer 4

final

Question 5

Direct Labor:

Labor that can be ________ to individual units of production

Answer 5

traced

Question 6

Manufacturing Overhead:

All manufacturing costs that are not DM or DL

ex: indirect materials, ________labor,

Answer 6

indirect

Question 7

3 types of inventory

1. Raw materials (steel)
2. WIP (incomplete)
3. ________ (ready to be sold)

Answer 7

Finished goods

Question 8

Total Manufacturing Cost = Direct material (DM) + Direct Labor (DL) + Manufacturing ________

Answer 8

Overhead

Question 9

Amount of X (any asset, such as material) that was used or consumed or expended during a period = beginning balance off X + amount of X added during the period - _________ balance of X

Answer 9

ending

Question 10

Cost of Goods _________ = beginning WIP balance + total (or “current) mfg costs - ending WIP balance

Answer 10

manufactured

Question 11

Cost of Goods ________ = beginning FG balance + COGM - ending FG balance

Answer 11

Sold

Question 12

Gross Margin: Sales - ________

Answer 12

COGS