Advanced Financial Accounting Final Examination Formula Sheet and Study Resource

ACCT 526 Final Exam Formula Sheet
Activity Rate=ActivityCost
Hours
COGS=Beginning inventory+COGM−Endinginventory

Variable Rate (High Point Cost – Low PointCost)
= (High Point Output – Low PointOutput
)
TotalCost=Total¿Cost+(Variable Rate x Units of Output)
¿Cost(High point)=TotalCost at High Point –(Variable Rate xOutput at High
Point)¿Cost(Low Point)=TotalCost at Low Point –(Variable Rate xOutput at Low
Point) Cost ofMaterials Purchased=MaterialUsed – Beginninginv .+Ending Inv .

Predetermined Overhead Rate (Estimated AnnualOverhead )
= (Estimated Annual Activity Level)

Applied Overhead=Predetermined Overhead Rate x Actual Activity Level
Overhead Variance=Actual Overhead−Applied Overhead Rate
Applied Overhead > Actual Overhead means Over-applied Overhead, subtract for COGS
Applied Overhead < Actual Overhead means Under-applied Overhead, add for COGS
COGM=Direct Labor+ ManufacturingOH +Direct Materials+(Beginv .−endinginv .)
COGS=Beginning inventory+COGM−Endinginventory
Consumption Ratio=Amount ofActivity Driver per Product
(Total Driver Quantity)
ConversionCost=Direct Labor+ManufacturingOverhead
Gross Margin=Sales Revenue – Cost of GoodsSold
Total Product Cost=Direct Materials+ Direct Labor+ManufacturingOverhead

CycleTime=
Units Produced Velocity=Units Produced

Variable Expense=Total Revenue−Net Income−¿Cost
Unit Contribution Margin=Price−Unit Variable Cost
TotalContribution Margin=Sales−Total
VariableCost Contribution Margin per Unit=Contributi
c c c c




on Margin
c c Number of Units
c c