Answer:
Sherlok asked him wasssupppp and got job.
Explanation:
Custom Metal Works produces castings and other metal parts to customer specifications. The company uses a job-order costing system and applies overhead costs to jobs on the basis of machine- hours. At the beginning of the year, the company used a cost formula to estimate that it would incur S4,320,000 in manufacturing overhead cost at an activity level of 576,000 machine-hours. The company had no work in process at the beginning of the year. The company spent the entire month of January working on one large order—Job 382, which was an order for 8,000 machined parts. Cost data for January follow:
a. Raw materials purchased on account, $312,000.
b. Raw materials used in production, $254,000 (80% direct materials and 20% indirect materials).
c. Labor cost accrued in the factory, $171,000 (one-third direct labor and two-thirds indirect labor).
d. Depreciation recorded on factory equipment, $64,000.
e. Other manufacturing overhead costs incurred on account, $84,200.
f. Manufacturing overhead cost was applied to production on the basis of 40,670 machine-hours actually worked during the month.
g. The completed job for 12,400 custom-made machined parts was moved into the finished goods warehouse on January 31 to await delivery to the customer. (In computing the dollar amount for this entry, remember that the cost of a completed job consists of direct materials, direct labor, and applied overhead.)
Required:
1. Prepare journal entries to record items (a) through (f) above. Ignore item (g) for the moment.
2. Prepare T-accounts for Manufacturing Overhead and Work in Process. Post the relevant items from your journal entries to these T-accounts.
3. Prepare a journal entry for item (g) above.
4. Compute the unit product cost that will appear on the job cost sheet for Job 382.
Answer:
Custom Metal Works
1. Journal Entries to record items (a) through (f) above. Ignore item (g):
a. Debit Raw materials $312,000
Credit Accounts payable $312,000
To record raw materials purchased on account.
b. Debit Work in Process $203,200
Debit Manufacturing Overhead $50,800
Credit Raw materials $254,000
To record the raw materials used in production.
c. Debit Work in Process $57,000
Debit Manufacturing Overhead $114,000
Credit Factory Labor Payable $171,000
To record the labor cost accrued in the factory.
d. Debit Manufacturing Overhead $64,000
Credit Depreciation Expense $64,000
To record factory equipment depreciation.
e. Debit Manufacturing Overhead $84,200
Credit Expenses Payable $84,200
To record other manufacturing overheads incurred on account.
f. Debit Work in Process $305,025
Credit Manufacturing Overhead $305,025
To record overhead applied on the basis of machine-hours.
2. T-accounts for:
Manufacturing Overhead
Account Titles Debit Credit
Raw materials $50,800
Factory labor 114,000
Depreciation expense 64,000
Other expenses 84,200
Work in Process $305,025
Work-in-Process
Account Titles Debit Credit
Raw materials $203,200
Factory labor 57,000
Mfg overhead 305,025
Finished Goods $565,225
3. Journal Entry for item (g):
Debit Finished Good $565,225
Credit Work in Process $565,225
To record the transfer to the finished goods inventory.
4. Computation of the unit product cost for Job 382:
Total cost of production = $565,225
Total machined parts worked = 8,000
Unit cost = $70.65
Explanation:
a) Data and Calculations:
Estimated Manufacturing Overhead Cost = $4,320,000
Estimated Machine-Hours = 576,000
Job 383 Parts Worked = 8,000 machined parts
Predetermined overhead rate = $4,320,000/576,000 = $7.50
Applied manufacturing overhead = $7.50 * 40,670 = $305,025
[The following information applies to the questions displayed below.
Consider the following narrative describing the process of registering a car with the DMV:
Heide lives in California and it is time to renew her automobile registration. The California DMV sends her a renewal form and indicates that she needs a smog check for her automobile. She takes her car to the smog check station. She completes the smog check. If the smog check is successful, she can then go to the DMV website and renew her registration, paying with a credit card. Two weeks later she receives a new registration form and tags for her license plates. She puts the registration in the glove box of her car and places the tags on her license plates.
Required: c. Consider the same narrative as described in the beginning, except include data objects. The renewal form is created when Heide receives mail from the DMV. She uses the renewal form information at the smog check station. The smog check station then provides her a smog check certificate. She uses the certificate information and her renewal form to update her registration on the DMV website.
For each step in the diagram from the beginning, list the data object used or created during that step. Steps 1 and 2 are filled in for example.
Select from the following data objects
a. Renewal forms
b. Smog certificate
c. New registration and tags
(If there is no appropriate label for a particular step, select 'None! If more than one data object is appropriate for a given step, select the choice that represents all possible choices.) Step Data Object Used Symbol(s) Start Message Event Task Data Object Crea None 1 None 2 3 Task Label(s) None Complete Smog Check Submit Renewal Receive New Documents None Place registration in glove box, Put tags on license None Task None New registration and t 6 Parallel Gateway Task, task End Event 7
Answer:
The vehicle are registered with the license plates to identify the owner of the vehicle. For the smog check her certificate will be labelled as smog certificate.
Explanation:
Heide went for renewing the vehicle certificate. She went for smog test and received a smog certificate for her car. She can now add this certificate with her renewal form for further processing. New registration and tag will be provided to her once she is done with all the pre requisites of the renewal process.
Kingbird, Inc. reported net sales of $267,000, cost of goods sold of $160,200, operating expenses of $48,900, net income of $42,720, beginning total assets of $532,300, and ending total assets of $618,100. Calculate profit margin and gross profit rate. (Round answers to 1 decimal place, e.g. 10.2%.)
Answer and Explanation:
The computation is shown below:
Profit margin = Net income ÷ Net sales
= $42,720 ÷ $267,000
= 16%
Now the gross profit rate is
But before that the gross profit is
Gross profit = Net sales - Cost of goods sold
= $267,000 - $160,200
= $106,800
Now Gross profit rate is
= Gross profit ÷ Net sales
= $106,800 ÷ $267,000
= 40%
Below is the balance sheet for Glucose Control Company as of Dec. 31, 2015. The company reported an annual net income of $86,000 for the following year, 2016, but did not change its or tiabilities, unless otherwise noted.
Assets Liabilities and Equity
Cash 8000 Accounts payable 16000
Marketable securities2,000 Notes payable 6000
Accounts receivable 6,000 Current liabilities 22000
Inventory 45000 Long term debt 95000
Current assets 61000 Total liabilities 117000
Machines 34000 Paid in capital 20000
Real estate 800000 Reatained earnings 38000
Fixed assets 114000 Equity 58000
Total assets 175000 Total liab. & equity 175000
a. If the company distributed its entire net income as dividends, what would be the value of total equity on Dec. 31, 2016?
b. If the company distributed half of its net income as dividends and used the rest to invest in nevw machines, what would be the value of total equity on Dec. 31, 2016?
c. If the company didn't pay any dividends, but used the entire net income to pay back long-term debt, what would be the value of total equity on Dec. 31, 2016?
d. If the company distributed half of its net income as dividends, used the rest to invest in new machines and sold all its marketable securities to pay back some long-term debt, what would be the value of total equity on Dec. 31, 2016?
Answer:
Glucose Control Company
a. The value of total equity would be $58,000 on December 31, 2016.
b. The value of total equity would be $101,000 on December 31, 2016.
c. The value of total equity would be $144,000 on December 31, 2016.
d. The value of total equity would be $101,000 on December 31, 2016.
Explanation:
a) Data and Calculations:
GLUCOSE CONTROL COMPANY
Balance Sheet as of December 31, 2015:
Assets Liabilities and Equity
Cash 8,000 Accounts payable 16,000
Marketable securities 2,000 Notes payable 6,000
Accounts receivable 6,000 Current liabilities 22,000
Inventory 45,000 Long term debt 95,000
Current assets 61,000 Total liabilities 117,000
Machines 34,000 Paid in capital 20,000
Real estate 800,000 Retained earnings 38,000
Fixed assets 114,000 Equity 58,000
Total assets 175,000 Total liab. & equity 175,000
Annual net income for 2016 = $86,000
Scenario A:
Total assets = 261,000 - 86,000 = 175,000
Total liabilities 117,000
Total equity = 144,000 - 86,000 = 58,000
Scenario B:
Total assets = 261,000 - 43,000 = 218,000
Total liabilities 117,000
Total equity = 144,000 - 43,000 = 101,000
Scenario C:
Total assets = 261,000 - 86,000 = 175,000
Total liabilities 117,000 - 86,000 = 31,000
Total equity = 144,000
Scenario D:
Total assets = 261,000 - 43,000 - 2,000 = 216,000
Total liabilities 117,000 - 2,000 = 115,000
Total equity = 144,000 - 43,000 = 101,000
b) The effect of dividend payment on equity is that cash dividends reduce the total equity just as cash is diminished. But when it retains its net income without paying dividends, the total equity is increased just as its assets are bolstered.
As of December 31, 2019, Sheffield Corp. had $3000 of raw materials inventory. At the beginning of 2019, there was $2500 of materials on hand. During the year, the company purchased $375000 of materials; however, it paid for only $322500. How much inventory was requisitioned for use on jobs during 2019
Answer:
the inventory that was requisitioned is $374,000
Explanation:
The computation of the inventory that was requisitioned as follows:
= Opening inventory + purchased inventory - ending inventory
= $2,500 + $375,000 - $3,000
= $374,000
hence, the inventory that was requisitioned is $374,000
The same would be considered
9. Physical and mental examinations:
A. are not legitimate forms of discovery because such information is privileged.
B. are permissible forms of discovery if physical or mental condition of the party is relevant and requires a court
order.
C. are legitimate forms of discovery without court order.
D. are not permissible because it is an invasion of one's privacy.
Answer:
d
Explanation:
palaran mode pramissss
Access the FASB Accounting Standards Codification at the FASB website (www.fasb.org). Determine each of the following:
Required:
1. The topic number (Topic XXX) that provides the accounting for earnings per share.
2. The specific eight-digit Codification citation (XXX-XX-XX-X) that describes the additional information for earnings per share that must be included in the notes to the financial statements.
3. The specific eight-digit Codification citation (XXX-XX-XX-X) that requires disclosure of transactions affecting the number of common shares outstanding that occur after the most recent reporting period but before the financial statements are issued.
Answer:
The following are the answers to the question, using the FASB Acounting Standards Codification at the FASB website:
1. Topic 260, FASB Accounting Standards Codification is the topic number (Topic XXX) that provides the accounting for earnings per share.
2. FASB ASC 260-10-50-1
3. FASB ASC 260-10-50-2
Team managers need to monitor and reward the team’s progress. How can the manager of a virtual team best do this? Check all that apply. Post targets and progress reports in a shared online workspace. Analyze electronic communication patterns. Have online recognition ceremonies to celebrate accomplishments. Wait to tell people they’re doing a good job until an in-person meeting can occur.
Answer:
Post targets and progress reports in a shared online workspace. Analyze electronic communication patterns.Have online recognition ceremonies to celebrate accomplishments.Explanation:
The Team manager can monitor the progress of the team by analysing electronic communication patterns and then post the team's targets and progress in a shared space where they can all access it so that they may each see how they are faring.
And then in recognition for their work, little rewards like online recognition ceremonies to celebrate accomplishments can go a long way in boosting morale.
Decisions about pricing strategies should be set in conjunction with other marketing decisions about product design, packaging, branding, distribution, and promotion. All these marketing decisions are interrelated. Prices must be related to the cost of producing the product and prices are usually set somewhere above cost. But price and cost aren't always related. There are three major approaches to pricing strategy: cost-based, demand-based (target costing), and competition-based. Other pricing strategies include skimming price strategy, penetration strategy, everyday low pricing (EDLP), high-low pricing strategy, bundling, psychological pricing, and demand-oriented pricing. Match each scenario to the strategy it best illustrates.
1. When the Mays family went to Europe, they used a travel agent who worked out a trip that included airfare, hotels, and some tours all for one price.
2. Marquis Suites shows movies in a "living room" atmosphere with comfortable chairs and food and beverage service. It deliberately charges more than other theaters for this experience.
3. Chad is a do-it-yourself guy. He shops at Home Depot because, although they don’t usually run sales, he knows the store will offer the lowest price around on the tools he needs.
4. A major national retailer charges "full retail" for most of the lines it carries but runs "special sales" during which the company lowers its price.
5. When Walmart enters a new geographic area, the company undersells its more well-established competitors and eventually raises its prices once it has a loyal customer base.
6. When Aaron was looking for mortgage lenders, he noticed that one major lender lowered their rates, and several others did the same within a few days.
7. Larry Dietzel, a real estate agent, advised his clients to price their home at $199,900 when they listed with his agency.
8. Overture Audio home theater systems can run as high as $100,000 but there are only a few companies offering the systems.
9. Toyota’s approach to entering the U.S. market was to set a certain net profit margin, then determine what price the company had to offer to get Americans to buy its cars instead of domestic cars.
A. Psychological pricing
B. Bundling
C. Target costing
D. Penetration pricing
E. High-low pricing
F. Competition-based pricing
G. Price leadership
H. Skimming price
I. Everyday low pricing (EDLP)
Answer:
1. When the Mays family went to Europe, they used a travel agent who worked out a trip that included airfare, hotels, and some tours all for one price.
Most Suitable Pricing Strategy: Bundling
2. Marquis Suites shows movies in a "living room" atmosphere with comfortable chairs and food and beverage service. It deliberately charges more than other theaters for this experience.
Most Suitable Pricing Strategy: Competition-based pricing
3. Chad is a do-it-yourself guy. He shops at Home Depot because, although they don’t usually run sales, he knows the store will offer the lowest price around on the tools he needs.
Most Suitable Pricing Strategy: Everyday low pricing (EDLP)
4. A major national retailer charges "full retail" for most of the lines it carries but runs "special sales" during which the company lowers its price.
Most Suitable Pricing Strategy: High-low pricing
5. When Walmart enters a new geographic area, the company undersells its more well-established competitors and eventually raises its prices once it has a loyal customer base.
Most Suitable Pricing Strategy: Penetration pricing
6. When Aaron was looking for mortgage lenders, he noticed that one major lender lowered their rates, and several others did the same within a few days.
Most Suitable Pricing Strategy: Price leadership
7. Larry Dietzel, a real estate agent, advised his clients to price their home at $199,900 when they listed with his agency.
Most Suitable Pricing Strategy: Psychological pricing
8. Overture Audio home theater systems can run as high as $100,000 but there are only a few companies offering the systems.
Most Suitable Pricing Strategy: Skimming price
9. Toyota’s approach to entering the U.S. market was to set a certain net profit margin, then determine what price the company had to offer to get Americans to buy its cars instead of domestic cars.
Most Suitable Pricing Strategy: Target costing
The Sisyphean Company's common stock is currently trading for $25.00 per share. The stock is expected to pay a $2.50 dividend at the end of the year and the Sisyphean Company's equity cost of capital is 14%. If the dividend payout rate is expected to remain constant, then the expected growth rate in the Sisyphean Company's earnings is closest to:
Answer:
4%
Explanation:
The Gordon constant growth dividend model =
Value = dividend / cost of capital - growth rate
Subsisting with the values given in the question gives :
25 = 2.5/0.14 - g
To solve for g,
1. multiply both sides by 0.14 - g
25(0.14 -g) = 2.5
2. divide both sides by 25
0.14 - g = 0.10
g = 0.04 = 4%
Frances Newberry is the payroll accountant for Pack-It Services of Jackson, Arizona. The employees of Pack-It Services are paid semimonthly. An employee, Glen Riley, comes to her on November 6 and requests a pay advance of $1,650, which he will pay back in equal parts on the November 15 and December 15 paychecks. Glen is married with eight withholding allowances and is paid $58,640 per year. He contributes 3 percent of his pay to a 401(k) and has $25 per paycheck deducted for a Section 125 plan.
Required:
Compute his net pay on his November 15 paycheck.
Answer:
Net pay is $1,201.80
Explanation:
The salary is $58,640 annually
The semi monthly gross salary will be ($58,640 / 24) = $2,443.33
The deductions will be:
Social security 6.2% = $151.49
Medicare 1.45% = $35.42
3% contribution to 401k = $73.30
Section 125 Plan = $25
Advance repayment ($1,650 / 2) = $825
Taxable Income is $2,443.33 - $73.30 - $25 = $2,345.03
Federal Income Tax 1.6% = $37.52
State Income Tax 4% = $93.80
Net pay is ($2,345.03 - $37.52 - $93.80 - $151.49 - $35.42 - $825) = $1,201.80
To increase tax revenue, the U.S. government imposed a 2-cent tax on checks written on bank account deposits in 1932 (in today's dollars, about 34 cents per check). Complete the following statements on the impact of this tax on the money multiplier and the money supply.
a. The tax on written checks would make people ___________ likely to write checks. Thus, people might start holding more money as__________ . This would____________ the currency-deposit ratio.
b. Under this check tax, the money supply would have:
1. decreased, because the currency-deposit ratio increased, which in turn decreases the money multiplier.
2. increased, because the currency-deposit ratio increased, which in turn decreases the money multiplier.
3. decreased, because the currency-deposit ratio increased, which in turn increases the money multiplier.
4. not changed, because the check tax would not impact the money supply or the money multiplier.
5. increased, because the currency-deposit ratio increased, which in turn increases the money multiplier.
c. Many economists believe that the sharp decline in the__________ in the early 1930s was at least partially responsible for the severity of the Great Depression.
Answer:
a. The tax on written checks would make people LESS likely to write checks. Thus, people might start holding more money as CASH. This would INCREASE the currency-deposit ratio.
b. Under this check tax, the money supply would have:
1. decreased, because the currency-deposit ratio increased, which in turn decreases the money multiplier.Banks' ability to create money through fractional lending depends on people depositing money on banks and not holding cash themselves. The less cahs held by the public, the more money deposited in banks, the larger the money multiplier.
The tangible assets of an organization include
A. Company reputation
B. Patents
C. Real estate
D. Technical knowledge
Answer:
a. company reputation
Explanation:
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You need an inexpensive, reliable network for about twenty-five computers, all of which will be in two rooms. It is important that the network not entirely depend on one hub or one node. However, nodes will regularly be added and removed from the network, so flexibility is essential. Which topology should you use?
a.bus
b.mesh
c.star
d.ring
Answer:
a.bus
Explanation:
The bus type of topology used in connecting computers is the type whereby the connection is not entirely dependent on each other but still connected to each other in a bus form.The connection is done in such a way that, nodes can be regularly removed from the connection without crippling the whole connection of the computer network.
The answer is
A.) Bus
. Suppose this year you buy 5% coupon rate, $100 face value bond for $90 that has 3 years left till maturity. Suppose next year market interest rates decrease to 2% and you decide to sell it your bond that year.a) Calculate the selling price of your bond next year. In another words, what price would make your bond competitive when market yields are at 2.0%?
Answer:
$105.83
Explanation:
The computation of the selling price of the bond is as follows
Number of coupons remaining = n = 2
Coupon amount = C = 100 × 5% = $5
Maturity amount = FV = $100
Purchase price = P = $90
Selling price = PV of future payments at 2%
Now
Selling price = S is
= 5 × (P/A,0.02,2) + 100 × (P/F,0.02,2)
= 5 × 1.9416 + 100 × 0.9612
= $105.83
The greatest economic consequence of the trans-continental railroad was that it:______.
Immersive Reader (1 Point) spread the U.S. population across the whole continent allowed people from farms and small towns to visit big cities united the nation into a single integrated national market made it possible for some immigrants to settle in the West developed a skilled industrial workforce
Answer:
united the nation into a single, integrated national market
Explanation:
A transcontinental railroad is also known as a transcontinental railway. It is contiguous railroad trackage that crosses a continental land mass. A transcontinental railroad has terminals at different continental borders or oceans.
The greatest economic consequence of the trans-continental railroad was that it united the nation into a single, integrated national market
Cullumber Co. invested $1,100,000 in Riverbed Co. for 25% of its outstanding stock. Riverbed Co. pays out 30% of net income in dividends each year. Use the information in the following T-account for the investment in Riverbed to answer the following questions. Investment in Riverbed Co. 1,100,000 108,000 32,400
(a) How much was Cullumber Co.’s share of Sub Co.’s net income for the year?
Net income $Cullumber Co. invested $1,000,000 in Sub Co. for
(b) How much was Cullumber Co.’s share of Sub Co.’s dividends for the year?
Dividends $Cullumber Co. invested $1,000,000 in Sub Co. for
(c) What was Sub Co.’s total net income for the year?
Total net income $Cullumber Co. invested $1,000,000 in Sub Co. for
(d) What was Sub Co.’s total dividends for the year?
Total Dividends $Cullumber Co. invested $1,000,000 in Sub Co. for
Answer and Explanation:
The computation is shown below:
a. The net income is $108,000
b. The dividend for the year is $32,400
c. The total net income is
= $108,000 ÷ 0.25
= $432,000
d. And, the total dividend is
= $432,000 × 0.30
= $129,600
hence, the same would be considered and relevant too
Name at least 4 of the sources of ethical issues
Answer:
Religion:
Culture:
Law:
Corresponds to Basic Human Needs:
Credibility in the Public:
Credibility with the Employees:
Better Decision Making:
Profitability:
Answer:
Religion:
Culture:
Law:
Basic Human Needs
Explanation:
Ethical challenges and their attendant dilemmas may be caused by failure of personal mentality problems with personal values and organizational goals; organizational goals versus social values and harmful, but popular products.
What Does Ethical Issues Mean?
Ethical issues happen when a given decision, scenario or activity creates a problem with a society's moral principles These conflicts occasionally legally dangerous, since some of the possible ways to solve the issue might breach a particular law.
hope this helps!
-Tobie
A company which uses austenitic nickel chromium ions to manufacture resistance heating wire is considering a new annealing drawing process to reduce cost. If the new process will cost $1.75 million dollars now, how much must be saved each year to cover the investment in ten years at an interest rate of 12%
Answer:
Annual deposit= $99,722.29
Explanation:
Giving the following information:
Future value (FV)= $1,750,000
Number of years (n)= 10
Interest rate (i)= 12%
To calculate the annual deposit, we need to use the following formula:
FV= {A*[(1+i)^n-1]}/i
A= annual deposit
Isolating A:
A= (FV*i)/{[(1+i)^n]-1}
A= (1,750,000*0.12) / [(1.12^10) - 1]
A= $99,722.29
Green Day Corporation has outstanding 500,000 shares of $10 par value common stock. The corporation declares a 70% stock dividend when the fair value of the stock is $45 per share. Prepare the journal entries for Green Day Corporation for both the date of declaration and the date of distribution.
Date of Declaration:
Dr: Retained Earnings 22,850,000
Cr: Common Stock Dividend Distributable 350,000
Cr: Paid-in Capital in Excess of Par-Common 22,500,000
500,000*45 = 22,500,000
22,500,000+350,000=22,850,000
Date of Distribution:
(70%*500,000) = 350,000
Dr: Common Stock Dividend Distributable 350,000
Cr: Common Stock 350,000
The Clark Sports Camp operates three sports programs: basketball, lacrosse and field hockey. The camp provides a unique opportunity for boys and girls to engage in intensive summer sports activities. Parents often bring their all of children for the six week session. Due to diminishing profits in the basketball program, they are considering eliminating the basketball program. Camp owner Mikey Matheny has asked you to review the income statement, determine the impact on profit from dropping the basketball program and make a recommendation.
Clark Sports Camp Project Income Statement
Total Basketball Lacrosse Field Hockey
Camp Tuition $190,000 $75,000 $65,000 $50,000
Variable Costs $26,000 $12,000 $8,000 $6,000
for Food and Staff
Contribution Margin $ 164,000 $63,000 $57,000 $44,000
Fixed Expenses
Rent - Traceable $25,000 $10,000 $7,500 $7,500
Salaries of Sports $21,000 $10,000 $10,000 $1,000
Program Directors*
Allocated Common $90,000 $41,538 $27,692 $20,769
Fixed Expenses**
Total Fixed Expenses $136,000 $61,538 $45,192 $29,269
Net Operating Income $28,000 $1,462 $11,808 $14,731
(Loss)
*There is NO alternative work for the sports directors, if the sport program is eliminated, the sport program director will be eliminated.
**Common Fixed Costs are allocated based upon the number of campers but will remain constant.
Use the information above to answer questions 1-3.
1. What is the impact on profit if the basketball program is dropped?
2. For partial credit on the problem above, you can upload a spreadsheet here. (You will not receive full credit for the problem shown above if you do not upload a spreadsheet.)
3. Assume now that we are able to eliminate $50,000 of the allocated fixed costs if we drop the basketball program. What do you recommend? Write a memo to Mr. Matheny outlining your recommendation and your reasoning. Be sure to consider all of the stakeholders and use an appropriate decision model.
Answer:
1. Impact on profits:
Contribution Margin = $63,000
Less: Traceable Rent = $10,000
Less: Salary of Director = $10,000
Total avoidable fixed expenses = $20,000
Decrease in Profits = $43,000
Hence, the profits will reduce by $43,000 if the basketball program is eliminated.
3. If the allocated fixed costs can be reduced by $50,000. The program should be dropped since there will be an increase in profits by $7,000 (50,000 - 43,000). The avoidable costs and revenues should be taken into account for the purpose of this decision. If the avoidable costs are more than the revenues, the line should be dropped else not.
Hence, since after considering the reduction in allocated fixed costs, the avoidable costs are greater than revenues, the program should be dropped
Air United, Inc. manufactures two products: missile range instruments and space pressure gauges. During April, 50 range instruments and 200 pressure gauges were produced, and overhead costs of $97,045 were estimated. An analysis of estimated overhead costs reveals the following activities.
Activities Cost Drivers Total Cost
1. Materials handling Number of requisitions $40,000
2. Machine setups Number of setups 21,500
3. Quality inspections Number of inspections 33,000
$94,500
The cost driver volume for each product was as follows:
Cost Drivers Instruments Gauges Total
Number of requisitions 400 600 1,000
Number of setups 200 300 500
Number of inspections 200 400 600
Required:
a. Determine the overhead rate for each activity.
b. Assign the manufacturing overhead costs for April to the two products, using activity-based costing.
Answer:
Results are below.
Explanation:
First, we need to calculate the activities predetermined overhead rate:
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Materials handling= 40,000 / 1,000= $40 per requisition
Machine setups= 21,500 / 500= $43 per setup
Quality inspections= 33,000 / 600= $55 per inspection
Now, we can allocate overhead costs to each product:
Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Instruments:
Materials handling= 40*400= $16,000
Machine setups= 43*200= $8,600
Quality inspections= 55*200= $11,000
Total overhead= $35,600
Gauges:
Materials handling= 40*600= $24,000
Machine setups= 43*300= $12,900
Quality inspections= 55*400= $22,000
Total overhead= $58,900
Explain in your own words the process of Accounting cycle. Marks will be only given if written in own words and is not copy pasted.
Answer:
Accounting cycle
Explanation:
Accounting cycle is the sequence of accounting procedures to record, classify and summarize accounting information.
The processes include;
Analyzing and Classify Data about anEconomic Event.Journalizing the transaction.Posting from the Journals to General Ledger.Preparing the Unadjusted Trial Balance.Recording Adjusting Entries.Preparing the Adjusted Trial Balance.Preparing Financial Statements.Recording Closing Entries.Preparing a Closing Trial Balance.Recording Reversing Entries.Piekos Corporation incurred $90,000 of actual Manufacturing Overhead costs during June. During the same period, the Manufacturing Overhead applied to Work in Process was $92,000. The journal entry to record the application of Manufacturing Overhead to Work in Process would include a:
Answer:
C. credit to Manufacturing Overhead of $92,000
Explanation:
The journal entry for the application of Manufacturing to Work in Process amounting to $92,000 would be as follows:
Dr. ($) Cr. ($)
Work in Process 92,000
Manufacturing Overhead 92,000
The other options are incorrect either due to wrong particular used or due to incorrect amount such as in option (b) where the Debit to Work in Process is correct but the amount $90,000 is wrong. Hence, the option (c) Credit to Manufacturing Overhead of $92,000 is the correct answer.
For each of the following accounts, indicate the effect of a debit or credit on the account and the normal balance.
Debit Effect Credit Effect Normal Balance
a. Bonds Payable.
b. Unearned Service Revenue.
c. Depreciation Expense.
d. Common Stock.
e. Buildings.
f. Rent Revenue.
Answer:
Debit effect Credit effect Normal balance
a. Bonds payable Decrease Increase Credit
b. Unearned service revenue Decrease Increase Credit
c. Depreciation expense Increase Decrease Debit
d. Common stock Decrease Increase Credit
e. Building Increase Decrease Debit
f. Rent revenue Decrease Increase Credit
All assets, expenses increase with debits and decreases with credit and have a debit normal balance. All liabilities, revenue accounts and equity accounts (except dividends) have credit.
The following accounts were taken from the unadjusted trial balance of Legislative Results Inc., a congressional lobbying firm. Indicate whether or not each account would normally require an adjusting entry. If the account normally requires an adjusting entry, use the following notation to indicate the type of adjustment:To illustrate, the answer for the first account follows:________.AR—Accrued Revenue Normally requires adjustment (AR).AE—Accrued ExpenseUR—Unearned RevenuePE—Prepaid Expense
Answer:
Note: The full question is attached below
Accounts Receivable - Normally requires adjustment (AR)
Cash - Does not normally require adjustment
Capital - Does not normally require adjustment
Interest Expense - Normally requires adjustment (AE)
Interest Receivable - Normally requires adjustment (AR)
Land - Does not normally require adjustment
Office Equipment - Does not normally require adjustment
Prepaid Rent - Normally requires adjustment (PE)
Supplies - Normally requires adjustment (PE)
Unearned Fees - Normally requires adjustment (UR)
Wages Expense - Normally requires adjustment (AE)
Focus groups an example of what type of research
Answer:
i think focus groups would be case studies? i'm not sure though
Explanation:
Methodology :
Types of research.
Correlational research.
Descriptive research.
Ethnographic research.
Cross-sectional studies.
Longitudinal studies.
Case studies.
Recording Transactions Using Journal Entries and T-Accounts Receive $40,000 cash in exchange for common stock. Purchase $4,000 of inventory on credit. Sell inventory for $6,000 on credit. Record $4,000 for cost of inventory sold in 3. Collect $6,000 cash from transaction 3. Acquire $10,000 of equipment by signing a note. Pay wages of $2,000 in cash. Pay $10,000 on a note payable that came due. Pay $4,000 cash dividend.
Answer:
a. See the explanation below for the journal entries.
b. each of the following accounts have an ending balance (in red color) after the recording as follows:
Cash, $27,000;
Common stock, $40,000;
Accounts payable, $4,000;
Accounts receivable, $3,000;
Equipment, $10,000.
However, each of the other accounts will have a zero ending balance.
Explanation:
a. Recording Transactions Using Journal Entries
The journal entries will look as follows:
Accounts Name Dr ($) Cr ($)
Cash 40,000
Common stock 40,000
(To record cash receipts for common stock.)
Inventory 4,000
Accounts payable 4,000
(To record inventory purchase.)
Account receivable 6,000
Sales 6,000
(To record credit sales.)
Cost of sales 4,000
Inventory 4,000
(To record cost of sales.)
Cash 3,000
Account receivable 3,000
(To cash collected from credit sales.)
Equipment 10,000
Note payable 10,000
(To record purchase of equipment by issuing note.)
Wages 2,000
Cash 2,000
(To record wages paid in cash.)
Note payable 10,000
Cash 10,000
(To record note due paid.)
Dividend 4,000
Cash 4,000
(To record cash dividend paid.)
b. Recording Transactions Using T-Accounts
Note: See the attached excel file for the T-Accounts.
From the attached excel file, each of the following accounts have an ending balance (in red color) after the recording as follows:
Cash, $27,000;
Common stock, $40,000;
Accounts payable, $4,000;
Accounts receivable, $3,000;
Equipment, $10,000.
However, each of the other accounts will have a no or zero ending balance.
Precilla Company uses a standard costing system that allows 2 pounds of direct materials for one finished unit of product. During July, the company purchased 40,000 pounds of direct materials for $210,000 and manufactured 12,000 finished units. The standard direct materials cost allowed for the units manufactured is $120,000. The performance report shows that Pricilla has an unfavorable direct materials usage variance of $5,000. Also, the company records any price variance for materials at time of purchase. The actual number of pounds (AQ) of direct materials used to produce July's output was: ___________
a. 20,000 pounds.
b. 25,000 pounds.
c. 12,000 pounds.
d. 40,000 pounds.
e. 24,000 pounds.
Answer:
actual quantity= 25,000 pounds
Explanation:
Giving the following information:
Standard quantity= 2 pounds per units
Production= 12,000 units
Direct material quantity variance= $5,000 unfavorable
Standard price= 120,000/(2*12,000)= $5
To calculate the actual quantity used in production, we need to use the following formula:
Direct material quantity variance= (standard quantity - actual quantity)*standard price
-5,000 = (24,000 - actual quantity)*5
-5,000 = 120,000 - 5actual quantity
125,000/5 = actual quantity
25,000 = actual quantity
You just took an Uber from home to campus for the first time and were willing to pay $13 for the trip. It was so much easier than driving yourself that you are willing to pay $21 for the same trip tomorrow. Determine if you have violated the law of demand based on your choices, and why or why not that is the case.
Answer:
We do not violate the law of demand based on my choices
Explanation:
We do not violate the law of demand because the preference for the product changed after i experienced the good. Law of demand is not violated as the preference / utility derived from Uber changes after one ride. Now the consumer derives more utility from Uber, so the willingness to pay also increases.