Question 9 This is a 2 part question. Make sure you answer both parts. Part 1: Use the following information to calculate inventory carrying cost percentage at the warehouse. Part 2: If there are any costs you did not use in your Part 1 calculation, explain why you did not use them. Direct variable manufactured cost of inventory $850,000 Variable cost of transportation from warehouse to retail store $35,000 Variable cost of labor to move product into warehouse $5,000 Fixed warehouse overhead cost $10,000 Cost of money 9% Taxes on inventory at warehouse $4,000 Insurance on warehoused inventory $1,500 Inventory shrinkage at warehouse $8,000
Question 9 This is a 2 part question. Make sure you answer both parts. Part 1: Use the following information to calculate inventory carrying cost percentage at the warehouse. Part 2: If there are any costs you did not use in your Part 1 calculation, explain why you did not use them. Direct variable manufactured cost of inventory $850,000 Variable cost of transportation from warehouse to retail store $35,000 Variable cost of labor to move product into warehouse $5,000 Fixed warehouse overhead cost $10,000 Cost of money 9% Taxes on inventory at warehouse $4,000 Insurance on warehoused inventory $1,500 Inventory shrinkage at warehouse $8,000
Principles of Cost Accounting
17th Edition
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Edward J. Vanderbeck, Maria R. Mitchell
Chapter2: Accounting For Materials
Section: Chapter Questions
Problem 13P: Webster Company uses backflush costing to account for its manufacturing costs. The trigger points...
Related questions
Question
None
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Recommended textbooks for you
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
College Accounting (Book Only): A Career Approach
Accounting
ISBN:
9781337280570
Author:
Scott, Cathy J.
Publisher:
South-Western College Pub
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
College Accounting (Book Only): A Career Approach
Accounting
ISBN:
9781337280570
Author:
Scott, Cathy J.
Publisher:
South-Western College Pub
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:
9781337679503
Author:
Gilbertson
Publisher:
Cengage