Worf Co. both purchases and constructs various equipment it uses in its operations. The following items for two different types of equipment were recorded in random order during the calendar year 2014.

Purchase
Cash paid for equipment, including sales tax of $17,485 $367,185
Freight and insurance cost while in transit 6,994
Cost of moving equipment into place at factory 10,841
Wage cost for technicians to test equipment 13,988
Insurance premium paid during first year of operation on this equipment 5,246
Special plumbing fixtures required for new equipment 27,976
Repair cost incurred in first year of operations related to this equipment 4,546
Construction
Material and purchased parts (gross cost $699,400; failed to take 1% cash discount) $699,400
Imputed interest on funds used during construction (stock financing) 48,958
Labor costs 664,430
Allocated overhead costs (fixed-$69,940; variable-$104,910) 174,850
Profit on self-construction 104,910
Cost of installing equipment 15,387

Compute the total cost for each of these two pieces of equipment.

Purchase equipment
$'

Electronics assembly inc. is a contract manufacturer that assembles consumer electronics for a number of companies. currently, the operations manager is assessing the capacity requirements as input into a bid for a job to assemble cell phones for a major global company. the company would assemble three models of cell phones in the same assembly cell. setup time between the phones is negligible. electronics assembly inc. operates two 8-hour shifts for 275 days per year. cell phone demand forecast (phones/year) processing time (minutes/phone) mars 47,000 19.8 saturn 35,000 20.7 neptune 7,500 16.2 a. calculate total capacity required by line. b. determine the total operating time available. c. calculate the total number of assembly cells. (round up your answer to the next whole number.)

Post test question number 9 for entering the job market

Milden company has an exclusive franchise to purchase a product from the manufacturer and distribute it on the retail level. as an aid in planning, the company has decided to start using a contribution format income statement. to have data to prepare such a statement, the company has analyzed its expenses and has developed the following cost formulas: cost cost formula cost of good sold $35 per unit sold advertising expense $210,000 per quarter sales commissions 6% of sales shipping expense ? administrative salaries $145,000 per quarter insurance expense $9,000 per quarter depreciation expense $76,000 per quarter management has concluded that shipping expense is a mixed cost, containing both variable and fixed cost elements. units sold and the related shipping expense over the last eight quarters follow: quarter units sold shipping expense year 1: first 10,000 $ 119,000 second 16,000 $ 175,000 third 18,000 $ 190,000 fourth 15,000 $ 164,000 year 2: first 11,000 $ 130,000 second 17,000 $ 185,000 third 20,000 $ 210,000 fourth 13,000 $ 147,000 milden company’s president would like a cost formula derived for shipping expense so that a budgeted contribution format income statement can be prepared for the next quarter. required: 1. using the high-low method, estimate a cost formula for shipping expe