Location via proxy:   [ UP ]  
[Report a bug]   [Manage cookies]                
Scribd Logo
Upload

Welcome to Scribd!

  • 51 views

    Managerial Accounting Formulas

    Uploaded by

    Kimberly Toralde
    The document provides definitions and equations for calculating costs and profits. It includes: 1) Equations for calculating raw materials, work in process, cost of goods sold, and cost of goods manufactured using beginning balances, transfers in and out, and ending balances. 2) Formulas for calculating predetermined overhead rates, applied and unapplied/overapplied overhead, and cost per equivalent unit for process costing. 3) Models for calculating break-even point, target profit, and contribution margin for cost-volume-profit analysis of single- and multiple-product companies.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd

    Managerial Accounting Formulas

    Uploaded by

    Kimberly Toralde
    51 views6 pages
    The document provides definitions and equations for calculating costs and profits. It includes: 1) Equations for calculating raw materials, work in process, cost of goods sold, and cost of goods manufactured using beginning balances, transfers in and out, and ending balances. 2) Formulas for calculating predetermined overhead rates, applied and unapplied/overapplied overhead, and cost per equivalent unit for process costing. 3) Models for calculating break-even point, target profit, and contribution margin for cost-volume-profit analysis of single- and multiple-product companies.

    Original Description:

    Formulas

    Copyright

    © © All Rights Reserved

    Available Formats

    PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    The document provides definitions and equations for calculating costs and profits. It includes: 1) Equations for calculating raw materials, work in process, cost of goods sold, and cost of goods manufactured using beginning balances, transfers in and out, and ending balances. 2) Formulas for calculating predetermined overhead rates, applied and unapplied/overapplied overhead, and cost per equivalent unit for process costing. 3) Models for calculating break-even point, target profit, and contribution margin for cost-volume-profit analysis of single- and multiple-product companies.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    51 views6 pages

    Managerial Accounting Formulas

    Uploaded by

    Kimberly Toralde
    The document provides definitions and equations for calculating costs and profits. It includes: 1) Equations for calculating raw materials, work in process, cost of goods sold, and cost of goods manufactured using beginning balances, transfers in and out, and ending balances. 2) Formulas for calculating predetermined overhead rates, applied and unapplied/overapplied overhead, and cost per equivalent unit for process costing. 3) Models for calculating break-even point, target profit, and contribution margin for cost-volume-profit analysis of single- and multiple-product companies.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    of 6

    Basic Cost Flow Equation To calculate UNKNOWN BALANCES

    = Beginning Balance (BB) + Transfer In (TI) - Ending Balance (EB) = Transfers Out (TO)

    Schedule of Raw Materials Placed In Schedule of Cost of Goods Manufactured


    Raw Materials, Beginning Balance (BB) WIP Inventory, Beginning Balance (BB)
    Add: Current period raw materials purchased (TI) Add: Current period manufacturing cost:
    Raw Materials Available For Production/Use Direct Materials (result in Sched of RM)
    Less: Raw Materials, Ending Balance (EB) Direct Labor
    Raw Materials Placed In Production/Used (TO) Manufacturing Overhead
    Less: Indirect Materials included in FOH Total current period manufacturing costs (TI)
    Direct Materials Placed In Production Total Cost of Work-In-Process
    Less: WIP Inventory, Ending Balance (EB)
    Cost of Goods Manufactured (TO)

    Schedule of Cost of Goods Sold


    Finished Goods Inventory, Beginning Balance (BB)
    Add: Cost of Good Manufactured (TI)
    Cost of Goods Available for Sales
    Less: Finished Goods Inventory, Ending Balance (EB)
    Cost of Goods Sold (TO)

    Predetermined Rate
    = Estimated Overhead Cost / Estimated Activity in Allocation base

    Overhead Applied
    = Allocation Base x Predetermined Rate

    Manufacturing Overhead Actual Manufacturing Overhead


    Actual Overhead Overhead Costs
    UnDErapplied OverApplied
    Costs incurred Applied to Jobs
    PROCESS COSTING
    Physical
    Units To Be Accounted For Units
    Units in Beginning WIP Inventory (BB + TI) xx
    Units Started During the Month xx
    Total Units To Be Accounted For xx

    EQUIVALENTS UNITS OF
    PRODUCTION
    Physical
    Units Accounted For Units DM DL MO
    Units Competed and Transferred Out (EB + TO) xx xx xx xx
    Units in Ending WIP Inventory xx xx xx xx
    Total Units Accounted For xx xx xx xx

    Cost To Be Accounted For DM DL MO TOTAL


    Cost in Beginning WIP Inventory xx xx xx xx
    Cost Incurred During the Month xx xx xx xx
    Total Costs To Be Accounted For xx xx xx xx
    Total Equivalent Units Accounted For xx xx xx xx
    Cost per Equivalent Unit xx xx xx xx
    Cost Assigned to Units Transferred Out xx xx xx xx Dapat magkaparehas
    Cost Assigned to Ending WIP Inventory xx xx xx xx
    Rounding Difference (+,-) xx
    Total Cost Accounted For xx
    COST-VOLUME-PROFIT ANALYSIS
    Single Product Companies Multiple Product Companies Service Companies
    Total Revenues (Selling Price (S) x Number of (Unit CM for Product No.1 x
    Units (Q)) - Total Variable Costs (Variable Cost Quantity of Pr. No.1) + (Unit CM Can be Single or Multiple Product
    Profit Equation
    Per Unit (v) x Number of Units (Q)) - Total Fixed for Product No.2 x Quantity of Pr. Company
    Costs No.2) -F

    Break - Even Point PROFIT IS EQUAL TO ZERO

    Q = F/ Weighted Average
    In Units Q = F/ (S - V)
    Contribution Margin Per Unit

    Weighted Average (CM Per Unit of Pr. No.1 x Sales


    Contribution Margin Per Mix) + (CM Per Unit of Pr. No.2 x
    Unit Sales Mix)
    F/Weighted Contribution Margin
    In Sales Dollar F /Contribution Margin Ratio
    Ratio
    Contribution Margin Per
    S-V
    Unit
    Can be Single or Multiple Product
    Contribution Margin
    (S - V)/S Company
    Ratio
    Weighted Average
    Contribution Margin Total Contribution Margin/Sales
    Ratio
    Target Profit PROFIT IS NO LONGER EQUAL TO ZERO
    Q = (F + Target Profit)/ Weighted
    In Units Q = (F + Target Profit )/ (S - V) Average Contribution Margin Per
    Unit
    (F + Target Profit)/Weighted Can be Single or Multiple Product
    In Sales Dollar
    F + Target Profit/Contribution Margin Ratio Contribution Margin Ratio Company
    Mixed Costs Contribution Margin Income Statement
    Total Fixed Cost (f) + (Variable Cost Per Unit Sales xx
    Y =
    (v) x Number of Units (X)) Variable Costs:
    Y = Total Cost Cost of Goods Sold xx
    Selling and Administrative costs xx
    Total Variable Costs xx
    Fixed Costs:
    Cost of Goods Sold xx
    Selling and Administrative costs xx
    Total Fixed Costs xx
    Operating Profit xx

    You might also like