To start the exam, please angle your computer webcam down to show your scratch paper area, then put your computer screen back up like normal and hold up both sides of your note card up to the webcam. ***For the rest of the exam, your computer webcam should be pointed towards you just like it normally is when you are working on a computer screen.***

What is the financial advantage (disadvantage) for the company of dropping product M12C?  If you calculate it as a disadvantage, enter your number using a negative sign. For example, a $100 disadvantage would be entered as -100.

Determine the total product costs assigned to each product using activity-based costing  (hint: remember that total product costs = direct materials + direct labor + manufacturing overhead). 

Calculate the per unit product cost for Job T506.

Calculate the predetermined overhead rate for the year per machine hour.

What is the unit product cost for the month under variable costing?

Estimate how many units must be sold to achieve a target profit of $50,400.

Determine the total product costs assigned to each product using traditional costing by using machine hours as the allocation base (hint: remember that total product costs = direct materials + direct labor + manufacturing overhead). 

Vance Refrigeration makes 50,000 units per year of a part it uses in the products it manufactures. The unit product cost of this part is computed as follows: Direct materials $12.00 Direct labor $10.10 Variable manufacturing overhead $2.00 Fixed manufacturing overhead $14.10 Unit product cost $38.20   An outside supplier has offered to sell the company all of these parts it needs for $37.30 a unit. If the company accepts this offer, the facilities now being used to make the part could be used to make more units of a product that is in high demand. The additional contribution margin on this other product would be $310,000 per year. If the part were purchased from the outside supplier, all of the direct labor cost of the part would be avoided. However, $9.70 of the fixed manufacturing overhead cost being applied to the part would continue even if the part were purchased from the outside supplier. This fixed manufacturing overhead cost would be applied to the company’s remaining products. What is the financial advantage (disadvantage) of buying the part rather than making it?  

Which of the following statements is true of Children’s Internet Protection Act (CIPA)?