Simpson Company, a Manufacturer of Windows, Has Prepared the Following

question 23

Essay

Simpson Company, a manufacturer of windows, has prepared the following list of accounts and their balances: $\begin{array}{ll}\text { Advertising } & \$ 7,200 \\\text { Assemblers' wages } & 16,840 \\\text { Depreciation of machinery } & 1,840 \\\text { Factory utilities } & 11,120 \\\text { Lathe operators' wages } & 13,280 \\\text { Machinery rep airs } & 4,520 \\\text { Office salaries } & 22,760 \\\text { Purchases of glue } & 320 \\\text { Purchases of nails } & 160 \\\text { Purchases of oak } & 50,000 \\\text { Purchases of pine } & 19,800 \\\text { Supervis ors' salaries } & 38,280\end{array}$ There were no beginning or ending inventories. Calculate the following:
a. Direct materials used
b. Direct labor
c. Factory overhead
d. Prime costs
e. Conversion costs

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Definitions:

External Adaptation

The process by which an organization or individual modifies itself or its strategies to cope with changes in its external environment.

Niche

describes a specialized segment of the market for a particular kind of product or service, where specific demand exists.

Organizational Culture

The set of shared values, beliefs, behaviors, and norms that influence how work gets done within an organization.

Shared Assumptions

Fundamental beliefs and understandings that are implicitly agreed upon by members of an organization or group, guiding their behavior and decision-making.