1. Provide several examples of cost objects. 2. Calla Manufacturing Company has 40 machines in its factory. The machines run for two shifts each day, with 30 workers per shift. Allowing for machine...

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1. Provide several examples of cost objects.
2. Calla Manufacturing Company has 40 machines in its factory. The machines run for two shifts each day, with 30 workers per shift. Allowing for machine maintenance and break time for machine operators, each machine can be used for production for an average of 6.5 hours per shift. Assuming the factory operates for an average of 22 days per month, what is Calla’s practical capacity number of machine hours per month?
3. Kappa Company runs two shifts each day. Workers on average have four weeks off per year and after training and breaks, average 34 hours per week. What is Kappa’s practical capacity number of labor hours per year?




Answered Same DayDec 22, 2021

Answer To: 1. Provide several examples of cost objects. 2. Calla Manufacturing Company has 40 machines in its...

David answered on Dec 22 2021
129 Votes
1. Provide several examples of cost objects.
A cost object is a managerial term for a product, proc
ess, customer or a department that costs
originate from or associated with. In other words, it’s something that the costs can be traced back
to and identified with.
Examples:
For example, when a company manufactures a product, it spends money on raw materials. This
cost can be traced back to the products that the materials went to. Thus, in this case, the product
is the cost object. Similarly, some other examples of cost objects are:
 Goods
 Products
 Projects
 Contracts
 Services
 Customers
...
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