Department M had 2,000 units 56% completed in process at the beginning of June, 13,500 units completed during June, and 1,000 units 28% completed at the end of June. What was the number of equivalent units of production for conversion costs for June if the first-in, first-out method is used to cost inventories? a.14,780 units b.13,780 units c.12,660 units d.11,500 units
Answer:
c.12,660 units
Explanation:
Calculation to determine What was the number of equivalent units of production for conversion costs for June if the first-in, first-out method is used to cost inventories
Using this formula
EUP (FIFO) = Completed Units + Ending units - Beginning units
Let plug in the formula
EUP (FIFO)=13,500 +( 1,000 x 28%)- (2,000 x 56%)
EUP (FIFO)= 13,500+280-$1120
EUP (FIFO)=12,660 units
Therefore the number of equivalent units of production for conversion costs for June if the first-in, first-out method is used to cost inventories is 12,660 units
Marconi Co. has the following information available for the current year:
Net Sales (all on credit) $1,125,000
Bad Debt Expense 90,000
Accounts Receivable, Beginning of Year 180,000
Accounts Receivable, End of Year 82,500
Allowance For Doubtful Accounts, Beginning of Year 57,000
Allowance For Doubtful Accounts, End of Year 77,000
Required:
What was the amount of write-offs during the year?
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of $3.00 per unit. The variable cost to manufacture is $2.00 per unit. The monthly fixed costs are $8000. Its current sales are 29,000 units per month. If the company wants to increase its operating income by 20%, how many additional units must it sell
Answer: 33,200 units
Explanation:
Current operating income = Sales - Variable costs - fixed costs
= (29,000 * 3) - (29,000 * 2) - 8,000
= $21,000
An increase of 20% would be:
= 21,000 * 1.20
= $25,200
The number of units that must be sold is:
= (Fixed costs + Required profit) / Contribution margin
Contribution margin = Selling price - Variable cost
= 3 - 2
= $1
Number of units to be sold is:
= (8,000 + 25,200) / 1
= 33,200 units
MC Qu. 97 The standard materials cost to produce... The standard materials cost to produce 1 unit of Product R is 7 pounds of material at a standard price of $47 per pound. In manufacturing 6,000 units, 41,000 pounds of material were used at a cost of $48 per pound. What is the total direct materials cost variance
Answer:
total direct materials cost variance is $6,000 Favourable
Explanation:
first we get here Standard cost to manufacture
Standard cost to manufacture 6,000 units is = 7 × $47 × 6,000
Standard cost = $1,974,000
and
now we get here Actual cost to manufacturing
Actual cost to manufacturing 6,000 units is = 41,000 × $48
Actual cost = $1,968,000
and
now we get here Direct material cost variance that is express as
Direct material cost variance = Standard cost - Actual cost ..........1
put here value
Direct material cost variance = $1,974,000 - $1,968,000
Direct material cost variance = $6,000 Favourable
Denny works for Engineers, P.A. While working on an Engineers project, Denny is injured. Under state workers' compensation laws, he will be compensated only if the injury was:________.
a. incidental
b. material
c. accidental
d. intentional
Answer:
c. Accidental
Explanation:
Since in the given situation it is mentioned that denny worked for enginners and at the time of working on an engineer project denny is injured so as per the state worker compensation loan he would be compensated only when the injury is to be considered as an accidental as the compensation is only to be provided when there is an accidental injuries
Therefore the option c is correct
Depletion Entries Alaska Mining Co. acquired mineral rights for $9,432,000. The mineral deposit is estimated at 52,400,000 tons. During the current year, 7,850,000 tons were mined and sold. a. Determine the amount of depletion expense for the current year. Round the depletion rate to two decimal places. $fill in the blank b21c5bf8507dfbf_1 b. Journalize the adjusting entry on December 31 to recognize the depletion expense. If an amount box does not require an entry, leave it blank.
Answer:
a.$1,413,000
b.Dr Depletion Expense $1,413,000
Cr Accumulated Depletion $1,413,000
Explanation:
a. Calculation to determine the amount of depletion expense for the current year.
First step is calculate the depletion per ton
Depletion per ton=$9,432,000/52,400,000 tons Depletion per ton= $0.18 per ton
Now let calculate the depletion expense
Depletion expense =7,850,000 tons × $0.18
Depletion expense = $1,413,000
Therefore the amount of depletion expense for the current year is $1,413,000
b. Preparation of the adjusting entry on December 31 to recognize the depletion expense
Dr Depletion Expense $1,413,000
Cr Accumulated Depletion $1,413,000
(To record Depletion of mineral deposit)
A consol is a bond that: a. Pays a fixed annual coupon amount, and when originally issued, is set to mature in 30 years. b. Pays a fixed annual coupon amount, and when originally issued, is set to mature in 50 years. c. Does not pay an annual co
Complete Question:
A consol is a bond that:
a. Pays a fixed annual coupon amount, and when originally issued, is set to mature in 30 years.
b. Pays a fixed annual coupon amount, and when originally issued, is set to mature in 50 years.
c. Does not pay an annual coupon (i.e., the annual coupon payment is $0) but when it matures pays out the par value of the bond.
d. Does not pay an annual coupon (i.e., the annual coupon payment is $0) and never matures.
e. Pays a fixed annual coupon amount forever.
Answer:
A consol is a bond that:
e. Pays a fixed annual coupon amount forever.
Explanation:
This debt instrument issued by the government does not have any scheduled date for the return of principal, but it pays perpetual interest payments without any maturity date. It is a perpetual annuity. The government determines when to repay the principal if it so chooses. This implies that the holders continue to receive annual interests.
Darby Company, operating at full capacity, sold 163,500 units at a price of $87 per unit during the current year. Its income statement is as follows:
Sales $14,224,500
Cost of goods sold 5,046,000
Gross profit $9,178,500
Expenses:
Selling expenses $2,523,000
Administrative expenses 1,508,000
Total expenses 4,031,000
Income from operations $5,147,500
The division of costs between variable and fixed is as follows:
Variable Fixed
Cost of goods sold 60% 40%
Selling expenses 50% 50%
Administrative expenses 30% 70%
Management is considering a plant expansion program for the following year that will permit an increase of $1,131,000 in yearly sales. The expansion will increase fixed costs by $150,800, but will not affect the relationship between sales and variable costs.
Required:
Determine the total variable costs and the total fixed costs for the current year.
Answer:
Variable costs in current year:
= Variable Cost of goods sold + Variable Selling expense + Variable Admin expenses
= (5,046,000 * 60%) + (2,523,000 * 50%) + (1,508,000 * 30%)
= 3,027,600 + 1,261,500 + 452,400
= $4,741,500
Fixed costs:
= (Total cost of goods sold + Total selling expenses + Total admin expenses) - Variable expenses
= (5,046,000 + 2,523,000 + 1,508,000) - 4,741,500
= $4,335,500
You own a portfolio that is invested 15 percent in Stock X, 35 percent in Stock Y, and 50 percent in Stock Z. The expected returns on these three stocks are 9 percent, 15 percent, and 12 percent, respectively. What is the expected return on the portfolio
Answer:
12.60%
Explanation:
The expected return on the portfolio is the sum of the weighted expected return of each stock in the portfolio
(0.15 x 9) + (0.35 x 15) + (0.5 x 12)
= 1.35 + 5.25 + 6
= 12.6%
Which of the following types of mortgages would be most advantageous to have on your house if you expected the annual rate of inflation would be higher than most people thought?
a. reverse annuity mortgage
b. interest-only mortgage
c. adjustable-rate mortgage
d. fixed-rate mortgage
Answer:
d. fixed-rate mortgage
Explanation:
Inflation can be defined as the persistent general rise in the price of goods and services in an economy at a specific period of time.
Generally, inflation usually causes the value of money to fall and as a result, it imposes more cost on an economy.
On a related note, when the level of inflation is low in a particular country; their current account balance would be high. However, when the level of inflation is high; it results in low growth and as such increases the home country's current account balance, other things being equal (ceteris paribus).
Hence, if you anticipate a higher annual rate of inflation than most people thought, the fixed-rate mortgage would be most advantageous to have on your house because the interest is fixed or constant over the life of the mortgage loan.
A fixed-rate mortgage can be defined as an installment or fully amortizing mortgage loan that has a fixed (constant) interest rate that doesn't change throughout the entire duration of the loan.
This ultimately implies that, an equal amount of money is paid as principal and interest throughout the life of the mortgage loan.
Bonita Industries uses flexible budgets. At normal capacity of 21000 units, budgeted manufacturing overhead is $168000 variable and $360000 fixed. If Bonita had actual overhead costs of $546000 for 26000 units produced, what is the difference between actual and budgeted costs
Answer:
$22,000 Favorable
Explanation:
The computation of the difference between actual and budgeted cost is given below:
Budgeted Variable Manufacturing Overhead Per Unit is
= $168,000 ÷ 21,000 units
= $8
The Fixed Overhead = $360,000
Now
For 26,000 Units, total Overhead Should be:
Variable = 26,000 × 8 = $208,000
Fixed = $360,000
Total = $568,000
And,
Actual Overhead Cost = $546,000
So,
Difference between Actual and Budgeted Cost is
= $568,000 - $546,000
= $22,000 Favorable
Which of the following is not a standard organizational structure
Question Completion with Options:
i. Line Organisation
ii. Staff Organisation
iii. Functional Organisation
iv. Committee Organisation Code
Answer:
The option that is not a standard organizational structure is:
iv. Committee Organisation Code
Explanation:
The organizational structure adopted by an entity reflects how some of its rules, roles, and responsibilities are directed between organizational levels in order to achieve its goals. The organizational structure also shows the information flows between different levels within the entity. Traditionally, organizations maintained hierarchical, functional, divisional, matrix, and flat organizational structures. Given current digitalization with its internet of things (IoT), more decentralized, network, and team-based organizational structures have emerged.
Sheridan Company purchased a delivery truck. The total cash payment was $43,718, including the following items. Negotiated purchase price $34,800 Installation of special shelving 2,880 Painting and lettering 930 Motor vehicle license 280 Two-year insurance policy 2,740 Sales tax 2,088 Total paid $43,718 Calculate the cost of the delivery truck.
Answer:
the cost of the delivery truck is $40,698
Explanation:
The computation of the cost of the delivery truck is given below:
Negotiated purchase price $34,800
Installation of special shelving $2,880
Painting and lettering $930
Sales tax $2,088
Cost of the delivery truck $40,698
Hence, the cost of the delivery truck is $40,698
The same should be considered and relevant
A standard cost is: Group of answer choices The actual cost of a unit of production. A budget for the production of one unit of a product or service. Useful in calculating equivalent units. The average cost within the industry. The cost from prior years.
Answer:
A budget for the production of one unit of a product or service.
Explanation:
A standard cost is an expected cost where the company normally created at the starting of the year for the prices that are paid and the amount that are applied. It is an expected amount that should be paid for material and labor cost
So it is a budget where the production of one unit with respect to the product or service could be done
Define the KPI ‘rate of staff absenteeism’.
Answer:
KPI, Key Performance Indicators are used for measuring the average absenteeism rate per employee. This is computed as a % of the total working days.
Explanation:
Individual employee Key Performance Indicators (KPIs) are metrics that assist in tracking the ability of your employees to meet your expectations and their impact on the business goals.
You are the curator of a museum. The museum is running short of funds, so you decide to increase revenue. What should you do to increase revenue if the price elasticity of demand is 0.45? Lower the admission price Nothing, revenue is maximized at current admission price Raise the admission price
Answer:
The answer is "Raise the admission price ".
Explanation:
Users are indeed the museum's curator. The gallery is short of funds, so you decide to improve their revenue. Increase admittance price because demand in this situation is inelastic and higher pricing will lead to larger revenues which generate revenue when the online listing is 0.45.
It won't affect the level that is required. The revenue will increase due to the increase in the price as well as a price inelastic toll on the museum admission, therefore not adversely affected the market.
g The company is deciding whether to drop product line Apple because it has an operating loss. Assuming fixed costs are unavoidable, if Berry Pie Inc. drops product line Apple and rents the space formerly used to produce product Apple for $20,000 per year, total operating income will be ________.
Fruit Pie Inc. has three product lines—Strawberry, Cherry, and Apple. The following information is available:
Strawberry Cherry Apple
Sales revenue $70,000 $60,000 $31,000
Variable costs (20,000) (15,000) (11,000)
Contribution margin $50,000 $45,000 $20,000
Fixed costs (20,000) (5000) (25,000)
Operating income (loss) $30,000 $40,000 $(5000)
The company is deciding whether to drop product line Apple because it has an operating loss. Assuming fixed costs are unavoidable, if Berry Pie Inc. drops product line Apple and rents the space formerly used to produce product Apple for $20,000 per year, total operating income will be ________.
Group of answer choices
$25,000
$65,000
$11,000
$20,000
Answer:
Fruit Pie Inc.
Assuming fixed costs are unavoidable, if Berry Pie Inc. drops product line Apple and rents the space formerly used to produce product Apple for $20,000 per year, total operating income will be ________.
= $65,000.
Explanation:
a) Data and Calculations:
Strawberry Cherry Apple
Sales revenue $70,000 $60,000 $31,000
Variable costs (20,000) (15,000) (11,000)
Contribution margin $50,000 $45,000 $20,000
Fixed costs (20,000) (5000) (25,000)
Operating income (loss) $30,000 $40,000 $(5000)
Income Statement after the Elimination of Apple:
Strawberry Cherry Total
Sales revenue $70,000 $60,000 $130,000
Variable costs (20,000) (15,000) (35,000)
Contribution margin $50,000 $45,000 $95,000
Fixed costs (20,000) (5000) (25,000)
Fixed costs (Apple's) (25,000)
Rent income 20,000
Operating income (loss) $30,000 $40,000) $65,000
Garcia Company issues 10%, 15-year bonds with a par value of $240,000 and semiannual interest payments. On the issue date, the annual market rate for these bonds is 8%, which implies a selling price of 117 1/4.
A Confirm that the bonds' selling price is approximately correct (within $100). Use the present value tables B.1 and B.3 in Appendix B. (Round all table values to 4 decimal places, and use the rounded table values in calculations. Round your other final answers to the nearest whole dollar amount.)
Per value x price = Selling price
$240,000 117 1/4 $281,400
Cash flow Table value Present Value
$240,000 par (maturity) value
$12,000 interest payment
price of the bond
Difference due to rounding of table values
Par Value x price = Selling Price
240,000 x 117.25 = 281,400
Cashflow Table value = Present value
240,000 0.3083 (Present Value table 4%, 30 periods) 73,992
12,000 17.292 (PV annuity table 4%, 30 periods) +207,504
281,496
Difference due to rounding 281,400 -281,496 = -96
1 if we want to fill the post, we'll have to........ ........ a qualified technician
2 our agent .... $500 .....the fire-damaged merchandise
3 the whole company is going to.....the south american order
4 the management and workers....each other...the strike.
5. all reports need to be carefully written and above all.........facts
6 the managing director was very satisfied; he approve of my recommendations.
account for advertise for apply to backlog of bid for blame for bring up benefit from
Answer:
1. hire
2. charges
3. get
4. support
5. mentioned
6. all
Explanation:
The company wants to hire a qualified technician for the vacant post. The management and workers both support the strike for common purpose. The reports need to be carefully written and all mentioned facts should be reported correctly.
A foreign company has offered to buy 85 units for a reduced sales price of $350 per unit. The marketing manager says the sale will not affect the company's regular sales. The sales manager says that this sale will require variable selling and administrative costs. The production manager reports that it would require an additional $30,000 of fixed manufacturing costs to accommodate the specifications of the buyer. If Belfry accepts the deal, how will this impact operating income? (Round any intermediate calculations to the nearest cent, and your final answer to the nearest dollar.)
Answer:
Option b is correct
Explanation:
The computation of the impact in the operating income is given below:
Sale price per unit 350
Less: variable cost per unit -94.49
Contribution margin per unit 255.51
multiplied by units 85
Total contribution margin 21718
Less fixed cost -$30,000
Increase or decrease in operating income $8,282
The variable cost should be
Manufacturing 900,000
Add: selling & admin 300,000
Total 1,200,000
Divided by no of units 127
Variable cost per unit 94.49
Inc. has just now paid a dividend of $2.50 per share (Div0); its dividends are expected to grow at a constant rate of 4 percent per year forever. If the required rate of return on the stock is 14 percent, what is the current value of the stock, after paying the dividend?
a. $26
b. $25
c. $17.86
d. $21.33
Answer: a. $26
Explanation:
Given the details in the question, the value of the stock can be calculated by the Gordon Growth Model:
= Next dividend / (Required return - growth rate)
= (Current dividend * growth rate) / (Required return - growth rate)
= (2.50 * (1 + 4%)) / (14% - 4%)
= 2.625 / 10%
= $26.25
= $26
Cheers Corporation purchased for $500,000 5,000 shares of Beer Corporation common stock (less than 5% of the outstanding Beer stock) at the beginning of the current year. It used $400,000 of borrowed money and $100,000 of its own cash to make this purchase. Cheers paid $50,000 of interest on the debt this year. Cheers received a $40,000 cash dividend on the Beer stock on September 1 of the current year. Cheers has $5 million of taxable income before any dividends-received deduction. a. What amount can Cheers deduct for the interest paid on the loan
Answer:
Cheers Corporation
The amount that Cheers can deduct for the interest paid on the loan is:
= $50,000.
Explanation:
a) Data:
Investment in Beer Corporation = $500,000
Number of Beer shares purchased = 5,000
Percentage shareholding in Beer Corporation < 5%
Amount borrowed for the investment = $400,000
Own cash used for the purchase = $100,000
Interest paid on the debt for this year = $50,000 = 12.5%
Cash dividend received for the year = $40,000
Cheers taxable income before dividends = $5 million
The amount of interest deductible = $50,000
b) Since the interest was made for the purpose of the investment in Beers Corporation, the whole amount of interest expense for the year is deductible.
Which measure of central tendency and dispersion can syafig calculate
Answer:
nominal variables
Explanation:
The following monthly data are available for Bonita Industries. which produces only one product: Selling price per unit, $42; Unit variable expenses, $14; Total fixed expenses, $42000; Actual sales for the month of June, 5000 units. How much is the margin of safety for the company for June
Answer:
70%
Explanation:
Margin of safety is the amount of sales a company makes in excess of the breakeven point
Margin of safety = (actual sales - break-even sales) / actual sales
Breakeven quantity are the number of units produced and sold at which net income is zero
Breakeven quantity = fixed cost / price – variable cost per unit /
$42000 / (42 -14) = 1500
(5000 - 1500) / 5000 = 70%
Under IFRS, when a lessee recognizes a balance sheet asset and liability for a new lease: the asset and liability are equal. the asset is typically greater than the liability. the liability is typically greater than the asset.
Answer:
the asset and liability are equal.
Explanation:
IFRS 16 lease and IAS 17 deals in important changes where the lease transactions are reported in the lessee financial statement
In this the assets and liabilities that are occured from the lease should be initially determined on the present value basis
Also the assets and liability are equivalent to each other
Therefore the first option is correct
Elson co, needs to raise debt and for this purpose issued two different bonds, Bond A and Bond B. Both bonds have 20 years to maturity with a face value of $20000. Bond A will make no coupon payment over the entire life, however Bond B is a semiannual coupon bond. It will make first coupon payment of $1100 at sixth year semiannually for the next 8 years. After that it will make coupon payment of $1400 for the rest of its remaining life. Find the price of Bond A and B if the required rate of return on these bonds is 7 percent compounded semiannually.
Answer:
The right solution is "$20.733.16".
Explanation:
According to the question,
Face value,
= $20000
Rate (r),
= .035
Bond A:
= [tex]\frac{Face \ value}{(1+r)^n}[/tex]
= [tex]\frac{20000}{(1+.035)^{40}}[/tex]
= [tex]5051.45[/tex] ($)
Bond B:
= [tex]\frac{1100\times 12.0941}{(1+.035)^{10}} + \frac{1400\times 10.9205}{(1+.035)^{26}} + \frac{20000}{(1+.035)^{40}}[/tex]
= [tex]9431.11+6250.6+5051.45[/tex]
= [tex]20733.16[/tex] ($)
World-Tour Co. has just now paid a dividend of $2.83 per share (Div0); its dividends are expected to grow at a constant rate of 6 percent per year forever. If the required rate of return on the stock is 16 percent, what is the current value of the stock, after paying the dividend
Answer:
the current value of the stock is $30
Explanation:
The computation of the current value of the stock is given below:
Price of stock today is
= Dividend per share × (1 + growth rate) ÷ (required rate of return - growth rate)
= $2.83 × (1 + 0.06) ÷ (0.16 - 0.06)
= $2.9998 ÷ 0.10
= $29.9980
= $30
Hence, the current value of the stock is $30
Current liabilities could include all of the following except: A. any part of long-term debt due during the current period. B. a notes payable due in 9 months. C. a bank loan due in 18 months. D. an accounts payable due in 30 days.
Answer: C. a bank loan due in 18 months.
Explanation:
Current liabilities include all the debt obligations that a company has in the current period.
This means that only debt obligations that mature within a year are to be considered current liabilities.
Bank loans that are due in 18 months are over a year and so have to be considered long-term liabilities not current liabilities.
How would you need to shift the supply and demand curves in a market to result in a situation where equilibrium quantity increases while the equilibrium price change is indeterminate?
a. Supply must increase while demand decreases.
b. Either supply or demand must increase.
c. Both supply and demand must increase.
Answer:
C
Explanation:
An increase in supply would lead to a rightward shift of the supply curve. As a result price decreases and quantity increases.
An increase in demand leads to a rightward shift of the demand curve. As a result, equilibrium price and quantity increases.
Taking these two effects together, there is an increase in equilibrium quantity and an indeterminate change in equilibrium price
When real GDP grows more slowly than potential GDP, labor productivity falls. the unemployment rate rises. nominal GDP rises. the unemployment rate falls.
Answer:
the unemployment rate rises.
Explanation:
Gross domestic product is the total sum of final goods and services produced in an economy within a given period which is usually a year
GDP calculated using the expenditure approach = Consumption spending by households + Investment spending by businesses + Government spending + Net export
Potential GDP is the GDP of an economy when labour and capital are employed at their sustainable rate.
Real GDP has been adjusted for inflation. It reflects the value of goods and services produced in an economy.
When the real GDP of an economy grows more slowly than potential GDP, it means that the resources in the economy, labour and capital are not employed at their sustainable rate. This is referred to as output gap. As a result of the output gap, the unemployment level rises
