D Corporation applies manufacturing overhead to jobs using a predetermined overhead rate of 75% of direct labor cost. Any under of overapplied manufacturing overhead cost is closed out to Cost of Goods Sold at the end of the month. During May, the following transactions were recorded by the company:
Raw materials (all direct materials):
Purchased during the month $38,000
Used in production $35,000
Labor:
Direct labor-hours worked during the month 3,150
Direct labor cost incurred $30,000
Manufacturing overhead cost Incurred (total) $24,500
Inventories:
Raw materials (all direct), May 31 $8,000
Work in process, May 1 $9,000
Work in process, May 31 $12,000
Contains $4,400 in direct labor cost.
The Cost of Goods Manufactured for May was:____.
a. $84,500.
b. $95,000.
c. $75,500.
d. $81,500.

Answer:

D Corporation

The Cost of Goods Manufactured for May was:____.

a. $84,500.

Explanation:

a) Data and Calculations:

Predetermined overhead rate = 75% of direct labor cost

Raw materials (all direct materials):

Purchased during the month $38,000

Used in production                 $35,000

Labor:

Direct labor-hours worked during the month 3,150

Direct labor cost incurred $30,000

Manufacturing overhead cost Incurred (total) $24,500

Inventories:

Raw materials (all direct), May 31 $8,000

Work in process, May 1 $9,000

Work in process, May 31 $12,000

Contains $4,400 in direct labor cost.

Cost of Goods Manufactured:

Work in process

Beginning balance May 1     $9,000

Raw materials used           $35,000

Direct labor cost incurred $30,000

Overhead applied               22,500

Cost of goods manufactured          $84,500

Work in process, May 31                  $12,000

Flying Cloud Co. has the following operating data for its manufacturing operations:
Unit selling price $ 350
Unit variable cost $ 100
Total fixed costs $980,000
The company has decided to increase the wages of hourly workers which will increase the unit variable cost by 10%. Increases in the salaries of factory supervisors and property taxes for the factory will increase fixed costs by 5%. If sales prices are held constant, the next break-even point for Flying Cloud Co. will be:__________
a) increased by 368 units
b) decreased by 368 units
c) increased by 132 units
d) decreased by 264 units

Change Treaster in equilibrium Income Investment adultiplier =Y-S II 1-6 In au A the (ID Accure acanany Tax Increased by eas what will be the change in equilibrium Income if the slope of the saving function is 0.5 Initial equilibrium income was cu 1000 what will be the new squilibrium. & Incame after tax decrease Interprete your findings​

Morgana Company identifies three activities in its manufacturing process: machine setups, machining, and inspections. Estimated annual overhead cost for each activity is $140,000, $240,000, and $54,000, respectively. The cost driver for each activity and the estimated annual usage are number of setups 2,000, machine hours 24,000, and number of inspections 1,200.

Required:
Compute the overhead rate for each activity.

A company borrowed $4,000 from the bank at an interest rate of 9%. By the end of the accounting period, the loan had been outstanding for 30 days. Demonstrate the required adjusting entry by choosing the correct statement below.
Debit Interest payable for $30.
Credit Unearned revenues for $30.
Credit Interest expense for $30.

We are in a world with a real interest rate of 7%. The economy of Smoothiland is hit by a temporary shock to GDP of 200 million units at time T. The population of Smoothiland have a strong preference for consumption smoothing, and Smoothiland has an open economy.
1. By how much does consumption to fall in time T+1? (in millions, round to the closes decimal).
2. How much does the country have to borrow to maintain smooth consumption? (round to the closest decimal)

Polarix is a retailer of ATVs (all-terrain vehicles) and accessories. An income statement for its Consumer ATV Department for the current year follows. ATVs sell for $4,000 each. Variable selling expenses are $230 per ATV. The remaining selling expenses are fixed. Administrative expenses are 70% variable and 30% fixed. The company does not manufacture its own ATVs; it purchases them from a supplier for $1,880 each.
POLARIX
Income Statement—Consumer ATV Department
For Year Ended December 31, 2017
Sales $619,200
Cost of goods sold 311,320
Gross margin 307,880
Operating expenses
Selling expenses $160,000
Administrative expenses 42,500 202,500
Net income $105,380
Required:
1. Prepare an income statement for this current year using the contribution margin format.
2. For each ATV sold during this year, what is the contribution toward covering fixed expenses and earning income?

Bramble Corp. is planning to sell 1200 boxes of ceramic tile, with production estimated at 1170 boxes during May. Each box of tile requires 44 pounds of clay mix and a 0.50 hour of direct labor. Clay mix costs $0.40 per pound and employees of the company are paid $10 per hour. Manufacturing overhead is applied at a rate of 110% of direct labor costs. Bramble has 3200 pounds of clay mix in beginning inventory and wants to have 4100 pounds in ending inventory. What is the total amount to be budgeted for manufacturing overhead for the month

Required information Skip to question [The following information applies to the questions displayed below.] Timberly Construction makes a lump-sum purchase of several assets on January 1 at a total cash price of $900,000. The estimated market values of the purchased assets are building, $508,800; land, $297,600; land improvements, $28,800; and four vehicles, $124,800. Required: 1-a. Allocate the lump-sum purchase price to the separate assets purchased. 1-b. Prepare the journal entry to record the purchase. 2. Compute the first-year depreciation expense on the building using the straight-line method, assuming a 15-year life and a $27,000 salvage value. 3. Compute the first-year depreciation expense on the land improvements assuming a five-year life and double-declining-balance depreciation.

The direct method of reporting operating cash flows: ________
a. Separately lists cash receipts and payments.
b. Must be used by all companies.
c. Is used by most companies.
d. Is considered supplementary disclosure.
e. Is not recommended by the FASB, but is commonly used.

Comparing Three Depreciation Methods Dexter Industries purchased packaging equipment on January 8 for $249,400. The equipment was expected to have a useful life of four years, or 8,800 operating hours, and a residual value of $20,600. The equipment was used for 3,080 hours during Year 1, 1,848 hours in Year 2, 2,464 hours in Year 3, and 1,408 hours in Year 4. Required: 1. Determine the amount of depreciation expense for the four years ending December 31 by (a) the straight-line method, (b) the units-of-activity method, and (c) the double-declining-balance method. Also determine the total depreciation expense for the four years by each method. Round the answer for each year to the nearest whole dollar. Depreciation Expense Year Straight-Line Method Units-of-Activity Method Double-Declining- Balance Method Year 1 $fill in the blank 1 $fill in the blank 2 $fill in the blank 3 Year 2 $fill in the blank 4 $fill in the blank 5 $fill in the blank 6 Year 3 $fill in the blank 7 $fill in the blank 8 $fill in the blank 9 Year 4 $fill in the blank 10 $fill in the blank 11 $fill in the blank 12 Total $fill in the blank 13 $fill in the blank 14 $fill in the blank 15 2. What method yields the highest depreciation expense for Year 1

A company purchased $10,300 of merchandise on June 15 with terms of 2/10. n/45, and FOB shipping point. The freight charge, $650, was added to the .amount. On June 20, it returned $1,040 of that merchandise. On June 24, it paid the balance owed for the merchandise taking any discount it is entitled to. The cash paid on June 24 equals:_________
a. $9,224.
b. $10,590
c. $10.950.
d. $10.690.
e. $9,725.

Historical demand for a product is: DEMAND January 13 February 12 March 16 April 13 May 17 June 16 a. Using a weighted moving average with weights of 0.50 (June), 0.30 (May), and 0.20 (April), find the July forecast

(10 points) The Wall Street journal recently reported that the Chinese central bank has decided to increase its reserve holdings of U.S. government bonds. What effect might this policy change have on the U.S. bond markets, currency valuations, and the U.S. Balance of Payments

Roanoke Company produces chocolate bars. The primary materials used in producing chocolate bars are cocoa, sugar, and milk. The standard costs for a batch of chocolate (1,827 bars) are as follows: Ingredient Quantity Price Cocoa 600 lbs. $0.40 per lb. Sugar 180 lbs. $0.60 per lb. Milk 150 gal. $1.70 per gal. Determine the standard direct materials cost per bar of chocolate. If required, round to the nearest cent.

A _____________ strategy entails an organization developing a product and/or service that offers unique attributes that are valued by customers and that the customer perceives to be distinct from competitor offerings.

The maximum price that can be asked for the new jPad model is $2,000 at which point they would sell 0 units. It costs Pear $600 to manufacturer and deliver these jPads to their stores. Determine the optimal price for this new jPad, which can be assumed to operate in a monopoly (at least upon introduction).

Huron Company produces a commercial cleaning compound known as Zoom. The direct materials and direct labor standards for one unit of Zoom are given below: Standard Standard Quantity or Hours 6.80 pounds 0.50 hours Standard Price or Rate $ 3.00 per pound $11.00 per hour Direct materials Direct labor $20.40 $ 5.50 During the most recent month, the following activity was recorded:
a. 22,900.00 pounds of material were purchased at a cost of $2.70 per pound.
b. All of the material purchased was used to produce 3,000 units of Zoom.
c. 1,400 hours of direct labor time were recorded at a total labor cost of $18,200.
Required:
1. Compute the materials price and quantity variances for the month.
2. Compute the labor rate and efficiency variances for the month.
(For all requirements, Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values. Round your intermediate calculations to the nearest whole dollar.)
1. Materials price variance
Materials quantity variance
2. Labor rate variance
Labor efficiency variance

Country A has a GDP of $4,600 in Country A dollars, and Country B has a GDP of $2,400 in Country B dollars. If the exchange rate is 1.5 Country B dollars to 1 Country A dollar, what is Country B's GDP in Country A dollars

Happy Lawn Company started a lawn services business on January 1, 20X1 (so all account balances were zero on January 1, 20X1). It sends invoices to its customers for lawn maintenance services at the end of each month, and expects the customer to pay within 30 days. All of these sales were made on credit. During 20X1, cash collected from its customers totaled $750,000 for services rendered during the year. At the end of 20X1, the Accounts Receivable for Happy Lawn had a balance of $60,000. After all write-offs but before the year-end adjusting entry, the Allowance for Doubtful Accounts had a debit balance of $4,000.

Assume that Happy Lawn uses the percentage of credit sales method (to directly calculate the bad debt expense) instead of the aging method, and it is estimated that it will not collect 1% of the total credit sales.

Required:
Under this assumption what is Happy Lawn's 20X1 Bad Debt Expense?

The Japanese economy has been experiencing slow growth. As a result the Prime Minister, who thinks John Maynard Keynes was the greatest economist ever, has decided to increase government spending. As head of the economic council the Prime Minister asks you to determine the size of the increase needed to bring the economy to full employment.
Assume there is a GDP gap of 1 billion yen and the marginal propensity to consume (MPC) is .60. What advise do you give the Prime Minister?
a. The recessionary gap is equal to 625 million yen.
b. The inflationary gap is equal to 1 billion yen divided by 2.5 or 0.4 billion yen.
c. The recessionary gap is equal to 1 billion yen divided by 2.5 or 0.4 billion yen.
d. The inflationary gap is equal to 1 billion yen divided by 1.66 or 0.625 billion yen.

Lila Harrison is the sole employee of ABC Grocers. Her gross pay for the week was $400. She had deductions of $50 for federal income tax, $24.80 for social security tax, and $5.80 for Medicare tax. The journal entry to record her gross pay would include:

If you had to recommend one product, which product would you recommend they create? Underline or highlight your answer:
● Organic Bloom Shampoo.
● Moisturizing Black Soap Shampoo with Dandruff Control.
● Coconut Protein Shampoo and Conditioner.

Full service brokerage service includes: A. Origination, underwiritng, and sales B. Registration of securities, storage of securities, and execution of trades C. Execution of trades, investment advice, and margin credit D. Cash management service, private placements, and security distribution

Marks Corporation has two operating departments, Drilling and Grinding, and an office. The three categories of office expenses are allocated to the two departments using different allocation bases. The following information is available for the current period:

Office Expenses Total Allocation Basis
Salaries $30,000 Number of employees
Depreciation 20,500​ Cost of goods sold
Advertising 41,500​ Net sales

Item Drilling Grinding Total
Number of employees 1080​ 1620​ 2700​
Net sales $326,625​ $477,375​ $804,000​
Cost of goods sold $76,500​ $127,500​ $204,000​

The amount of the total office expenses that should be allocated to Grinding for the current period is : ____________

Senior managers are responsible for making specific plans to implement the strategy. The above statement is true or false. explained

Corporation sold 210000 watches and produced 217000 watches that it sold for $19 each. The company determined that fixed manufacturing cost per unit was $8 per watch. The company reported a $1,302,000 gross margin on its financial statements. Determine the total contribution margin.

The biggest advantage of business blogs is that they Group of answer choices are the primary method of internal business communications. provide anytime access to digital audio and video files containing corporate training, marketing, and informational messages. have the potential to reach a vast, far-flung audience. can safeguard against hackers and rival companies.

Pettygrove Company had 800,000 shares of $10 par value common stock outstanding. The amount of additional paid-in capital is $4,000,000, and Retained Earnings is $1,200,000. The company issues a 2-for-1 stock split. The market price of the stock is $14. What is the balance in the Common Stock account after this issuance

what is the purpose of the Statement of Understanding

MC Qu. 150 Glaston Company manufactures... Glaston Company manufactures a single product using a JIT inventory system. The production budget indicates that the number of units expected to be produced are 184,000 in October, 192,500 in November, and 189,000 in December. Glaston assigns variable overhead at a rate of $0.80 per unit of production. Fixed overhead equals $141,000 per month. Compute the total budgeted overhead that would appear on the factory overhead budget for month of October.