Requirements:

1. Students who practice PLAGIARISM will get the same sanctions as cheating.
2. If you use references from books, journals, or websites (websites in the form of blogs/ WordPress/
similar unofficial websites are not permitted), you must include the reference source used.
Important: Do paraphrasing and have reference sources
3. Answers should be typed using Microsoft Excel (use formulas for calculation problems).
4. Write your complete identity at the top left of the answer sheet as follows:
Name:
NIM :
Code – Course : Class
:
Lecturer Code & Name :

Problem 2 – 35 points (LO2)

Heaven Burger produces and sells 10,000 hamburgers during December for $1.50 each. The restaurant
employs a cook, waiter, and owner, Peter. All cooks and waiters are part-time employees. A janitor is
hired to clean the building weekly, and the owner schedules work, opens buildings, counts cash,
creates advertisements, and is responsible for hiring and laying off employees. The following expenses
were incurred during December as follows:
a. Burger meat $ 1600
b. Lettuce 300
c. Tomato 250
d. Raisin 300
e. Other ingredients 20
f. Chef wages 2550
g. Waiter wages 2032
h. Owner’s salary 2000
i. Telephone 500
j. Electricity 500
k. Depreciation of cooking utensil 200
l. Depreciation of cash register 50
m. Advertisements 100
n. Rent 800
o. Cleaning supplies 50
p. Cleaning staff wages 120

Required:
1. Classify, compute, and please explain the result:
a. Product cost and period cost (5 points)
b. Direct cost and indirect cost (5 points)
c. Prime costs and conversion costs (5 points)
2. What is cost behavior? Please classify the costs above into the appropriate cost behavior and give
your explanation! (15 points)

Problem 3 – 15 points (LO2)

Norton company is a manufacturer that sells oven products. In June 2019, it could sell as many as 400
ovens at a selling price of $250 per oven. The variable costs are $150 per oven, and the fixed costs are
$35,000.

Required:
1. How much is the contribution margin? Please explain the effect of a 10% decrease in the selling
price of a product and a 10% increase in variable costs on net income! (10 points)
2. Profit is the primary goal of profit-oriented companies, so it is necessary to plan profit on the
products to be sold. To prepare the primary goal, several factors can affect the company's profit,
namely: costs, selling prices, and sales volume. What is the relationship between cost behavior and
revenue? Please explain your argument! (5 points)

Problem 4 - 25 points (LO3, LO4)

Berwin Inc. is a small industrial equipment manufacturer with approximately $3.5 million in annual
sales. Berwin can always compete with other small appliance manufacturers. However, the market
expands only when there is product innovation. The following is information on Berwin Inc's
performance report:
Required:
1. Compute and analyze if the variance is favorable or unfavorable! (10 points)
2. Identify the strengths and weaknesses of the performance report and give your explanation! (10
points)
3. How should the report be revised to eliminate these weaknesses? Please explain! (5 points)

GOOD LUCK
- It always seems impossible until its done - Nelson Mandela