Process Costing using First-in-First Out (FIFO) Crone Corporation uses the FIFO method in its processing costing system. The following data concern the company's Assembly Department for the month of October.

Cost in beginning work in process inventory $1,920
Units started and completed this month 3,130

Materials Conversion:

Cost per equivalent unit $9.50 $20.40
Equivalent units required to complete the units in
beginning work in process inventory 360 140
Equivalent units in ending work in process inventory 330 264


Required:
a. Determine the cost of ending work in process inventory
b. Determine the cost of units transferred out of the department during October.

Answers

Answer 1

Answer:

Cost of ending inventory= $8,520.6

Total cost  of units transferred out=$99,863

Explanation:

Cost of ending inventory

Cost of items of inventory = cost per equivalent unit × No of units

Cost of items of inventory =  ($9.50×330) +  ($20.40 × 264)= $8,520.6

Total cost of units transferred out

The FIFO method of valuation of working in progress separates the units transferred out into opening inventory and fully worked.

The fully worked represents the units of inventory started and completed in the sames period.

The cost of units transferred out is the sum of h opening inventory and he fully worked. This done below:

Opening inventory = ($9.50 × 360)   + ($20.40×140)= 6276

Transferred of fully worked =  $(9.50 +$20.40) ×  3,130= 93,587

Total cost  of units transferred out =  (6276 +93587)=  $99,863


Related Questions

"In the Modigliani Miller perfect world with no taxes, if we assume that the effect of adding debt to firm's capital structure is exactly balanced by an increase in the cost of equity as more debt is added, what is the effect of increased debt usage on the weighted average cost of capital (WACC)

Answers

Answer: WACC remains constant as leverage increases.

Explanation:

Here is the complete question:

In the Modigliani Miller perfect world with no taxes, if we assume that the effect of adding debt to firm's capital structure is exactly balanced by an increase in the cost of equity as more debt is added, what is the effect of increased debt usage on the weighted average cost of capital (WACC)?

a. WACC first increases, then decreases as leverage increases.

b. WACC remains constant as leverage increases.

c. WACC increases continuously as leverage increases.

d. WACC decreases continually as leverage increases.

In the Modigliani Miller perfect world with no taxes, the capital structure is not relevant as the way a company finances it operations does not really matter.

For the capital markets, they will be perfectly competitive and there will be no taxes, bankruptcy costs or transactions cost and investors all have the same expectations. The weighted average cost if capital will be thesame even though leverage increases.

On January 1, 2019, Nash Corporation granted 9,600 options to key executives. Each option allows the executive to purchase one share of Nash’s $5 par value common stock at a price of $21 per share. The options were exercisable within a 2-year period beginning January 1, 2021, if the grantee is still employed by the company at the time of the exercise. On the grant date, Nash’s stock was trading at $24 per share, and a fair value option-pricing model determines total compensation to be $438,000.
On May 1, 2021, 7,440 options were exercised when the market price of Culver’s stock was $30 per share. The remaining options lapsed in 2023 because executives decided not to exercise their options.
Prepare the necessary journal entries related to the stock option plan for the years 2019 through 2023.

Answers

Answer:

Dec 31 2019

Dr Compensation Expenses 219,000

Cr Paid in Capital- Stock Options 219,000

Dec 31 2020

Dr Compensation Expenses 219,000

Cr Paid in Capital- Stock Options 219,000

Dec 31 2021

Dr Cash 256,200

Dr Paid in Capital- Stock Options 339,450

Dr Common Stock 37,200

Cr Paid in capital in excess of par common stock 632,850

Dec 31, 2023

Dr Paid in capital stock options 98,550

Paid in capital Expired Stock Options 98,550

Explanation:

Nash Corporation

Dec 31 2019

Dr Compensation Expenses 219,000

Cr Paid in Capital- Stock Options 219,000

( 438,000/2 years)

Dec 31 2020

Dr Compensation Expenses 219,000

Cr Paid in Capital- Stock Options 219,000

Dec 31 2021

Dr Cash 256,200

(219,000+37,200)

Dr Paid in Capital- Stock Options 339,450

Dr Common Stock 37,200

Cr Paid in capital in excess of par common stock 632,850

Dec 31, 2023

Dr Paid in capital stock options 98,550

(438,000×22.5%)

Paid in capital Expired Stock Options 98,550

Computation of Paid in capital stock options

438,000×77.5%= $339,450

Common stock 7,440 X 5 per share

= 37,200

Stock options redeemed 7,440/9,600= 77.5%

A hardware store is interested in reaching people who are characterized by the VALS system as being practical,down-to-earth,and self-sufficient who like to work with their hands,the ________ category.A) believersB) striversC) survivorsD) experiencersE) makers

Answers

Answer: Makers--E

Explanation:The VALS  system is a system that describes the Values, Attitude lifestyles of individuals and their responsiveness to buying products. Understanding this system, affords businesses the opportunity to tailor their products to suit their target consumers.

The Makers are characterized as being practical  and expressive, having skills  which enable them to carry out their task successfully.  They value family life and therefore cut down on frivolities and non functional possessions. when it comes to consumption, they would rather go for the basic essential commodities that have value  than luxury goods.

Therefore, A hardware store is interested in reaching people who are characterized by the VALS system as being practical,down-to-earth,and self-sufficient who like to work with their hands,the MAKERS category.

What are the benefits and risks of being acquired by a larger company?

Answers

The benefits are more customers , more money the company makes , they are more establishment , have greater access to funding. Risks are financial risks , operational risks , the company could fall apart , economic risks , etc. hope this helps you !

Way Cool produces two different models of air conditioners. The company produces the mechanical systems in their components department. The mechanical systems are combined with the housing assembly in its finishing department. The activities, costs, and drivers associated with these two manufacturing processes and the production support process follow.Process Activity Overhead Cost Driver Quantity Components Changeover $ 500,000 Number of batches 800 Machining 279,000 Machine hours 6,000 Setups 225,000 Number of setups 120 $ 1,004,000 Finishing Welding $ 180,300 Welding hours 3,000 Inspecting 210,000 Number of inspections 700 Rework 75,000 Rework orders 300 $ 465,300 Support Purchasing $ 135,000 Purchase orders 450 Providing space 32,000 Number of units 5,000 Providing utilities 65,000 Number of units 5,000 $ 232,000 Additional production information concerning its two product lines follows.Model 145 Model 212 Units produced 1,500 3,500 Welding hours 800 2,200 Batches 400 400 Number of inspections 400 300 Machine hours 1,800 4,200 Setups 60 60 Rework orders 160 140 Purchase orders 300 150 1. Using ABC, compute the overhead cost per unit for each product line. (Round your final answers to 2 decimals places.)2. Determine the total cost per unit for each product line if the direct labor and direct materials costs per unit are $250 for Model 145 and $180 for Model 212. (Round your final answers to 2 decimals places.)3. Assume if the market price for Model 145 is $820 and the market price for Model 212 is $480, determine the profit or loss per unit for each model. (Round your final answers to 2 decimals places.)

Answers

Answer:

1. Overhead cost per unit for Model 145 is $515.59, and overhead cost per unit for Model 212 is $265.12.

2.Total cost per unit for Model 145 is $765.59, and total cost per unit for Model 212 is $445.12.

3. Profit per unit for Model 145 is $54.41, while profit per unit for Model 212 is $34.88.

Explanation:

1. Using ABC, compute the overhead cost per unit for each product line. (Round your final answers to 2 decimals places.)

Note: See the attached excel file for the computation.

2. Determine the total cost per unit for each product line if the direct labor and direct materials costs per unit are $250 for Model 145 and $180 for Model 212. (Round your final answers to 2 decimals places.)

Total cost per unit for each model = Overhead cost per unit + direct labor and direct materials costs per unit.

Therefore, we have:

Total cost per unit for Model 145 =  $515.59 + $250 = $765.59

Total cost per unit for Model 212 = $265.12 + $180 = $445.12

3. Assume if the market price for Model 145 is $820 and the market price for Model 212 is $480, determine the profit or loss per unit for each model. (Round your final answers to 2 decimals places.)

Profit or loss per unit for each model = Market price per unit - Total cost per unit.

Therefore, we have:

Profit or loss per unit for Model 145 = $820 - $765.59 = $54.41 profit

Profit or loss per unit for Model 212 = $480 - 445.12 = $34.88 profit

A young couple is planning for the education of their two children. They plan to invest the same amount of money at the end of each of the next 16 years. The first contribution will be made at the end of the year and the final contribution will be made at the end of the year the older child enters college. The money will be invested in securities that are certain to earn a return of 8% each year. The older child will begin college in 16 years and the second child will begin college in 18 years. The parents anticipate college costs of $25,000 a year (per child). These costs must be paid at the end of each year. If each child takes four years to complete their college degrees, then how much money must the couple save each year

Answers

Answer:

The couple must save $ 6,598 each year

Explanation:

Calculating the payment amount:

Cost per year = $25,000 per each child

Cost for 4 years = $25,000 × 4 = $100,000

For the oldest child, the college will begin in 16 years and the second child the college will begin in 18 years.

Calculating the amount to be deposited each year for the oldest child.

Using Microsoft Excel PMT function  

Rate = 8%

N = 16

PV = 0

FV = -100000

= $3,298

Therefore, they must deposit $3,298 each year for their oldest child.

Calculating the amount to be deposited each year for the second child:

Using Microsoft Excel PMT function  

Rate = 8%

N = 18

PV = 0

FV = -100000

= $2,670

Therefore, they must deposit $2,670 each year for their second child.

Total sum to be saved per year = $3,298 + $2,670 = $6,598

Pitchfork, Inc. is preparing its 2020 financial statements. The company's accountant calculated Income from Continuing Operations to be $1,700,000, but upon further review is not certain this number is accurate. Pitchfork has a corporate income tax rate of 30%. Additionally, the company reports only one year of financial data on the face of the financial statements. All amounts listed are pretax unless otherwise noted. After reviewing the following information, determine the appropriate adjustments, if any, to Income from Continuing Operations. Once you have determined the CORRECT Income from Continuing Operations, complete the remainder of the Income Statement for reporting EPS.

1. On January 1, 2017, Pitchfork purchased a machine for $180,000 with a salvage value of $20,000 and useful life of eight years which was depreciated using the straight-line method. During 2020, Pitchfork decided to change to double-declining-balance method. The $1,700,000 Income from Continuing Operations had already been calculated using the straight-line depreciation method.

Determine the correct ADJUSTMENT to Income from Continuing Operations (ICO) for Depreciation Expense in 2020.

Adjustment for Depreciation Expense (2020):___________

Continuing with the information presented in #1 above, Pitchfork has ICO of $1,700,000 and a corporate tax rate of 30%. Determine if ICO should be adjusted based on the following information:

2. Pitchfork had an unrealized loss from foreign currency translation adjustments of $120,000 (pretax) that was included in calculating the $1,700,000 income from continuing operations.

Adjustment to I.C.O. for Translation Loss from Foreign Currency: __________

Continuing with the information presented in #1 above, Pitchfork Inc has Income from Continuing Operations (ICO) of $1,700,000 and a corporate tax rate of 30%. Determine if ICO should be adjusted based on the following information:

3. During 2020, Pitchfork closed one of its stores for a pre-tax loss of $150,000. This store closure did not qualify as a component of the entity, nor did it create a strategic shift in the operations of the entity. Therefore, it should not be treated as Discontinued Operations. The $150,000 restructuring charges were excluded in determining the $1,700,000 income from continuing operations.

To correct I.C.O., the Adjustment for Restructuring Charges would be $ _________

Continuing with the information presented in #1 above, Pitchfork has Income from Continuing Operations (ICO) of $1,700,000 and a corporate tax rate of 30%. Determine if ICO should be adjusted based on the following information:

4. On April 1, 2019 Pitchfork paid $24,000 for two years rent on office space and at the time debited Rent Expense. No adjusting or correcting entries were made for this transaction in 2019 or 2020.

a. To correct I.C.O for 2020, the correct Rent Expense (after tax) would be: $ _________


b. Determine the amount of the Prior Period Adjustment to be reported on the Retained Earnings Statement to correct the Beginning Balance at Jan 1, 2020: ______

5. Pitchfork sold investments during the year that resulted in a pre-tax loss of $18,000. The company also had unrealized gains on Available for Sale securities of $20,000 (pre-tax). Both of these transactions were excluded in determining the $1,700,000 Income from Continuing Operations calculation.

To correct I.C.O. for 2020, the adjustment for gains/losses on investments would be: $_________

6. Using the adjustments you made in items 1-5 above, determine the CORRECTED Income From Continuing Operations _________

7. Referring to the information presented above in questions 1-6, determine Pitchfork's Comprehensive Income as of year-end: $_________

Answers

Answer:

1.)19,600

2.) 84,000

3.) 105,000

4a) 8400

4b) 10500

5) 12,600

6) 1668500

7) 1739900

Explanation:

Kindly check attached picture

An asset was acquired on September 30, 2021, for $104,000 with an estimated five-year life and $25,000 residual value. The company uses double-declining-balance depreciation. Calculate the gain or loss if the asset was sold on December 31, 2022, for $54,000. Partial-year depreciation is to be calculated.

Answers

Answer:

There is a loss on disposal of $80

Explanation:

The double declining rate method of depreciation is an accelerated form of charging depreciation on an asset. It charges higher depreciation in the earlier years and lower depreciation in the later years of the useful life of the asset. the formula for double declining balance depreciation per year is,

Depreciation expense = 2 * [ (Cost - Accumulated depreciation) / estimated useful life of the asset ]

The depreciation expense per year on this asset is,

Depreciation expense = 2 * [(104000 - 0) / 5]

Depreciation expense for the 1 year(2021) = $41600

As the asset was purchased in September, we will charge a depreciation expense of 4 months.

Depreciation expense for 2021 = 31600 * 4/12   = $13866.67

Accumulated depreciation at the end of 2021 = $13866.67

Depreciation expense for 2nd year (2022) = 2 * [(104000 - 13866.67) / 5]

Depreciation expense for 2nd year (2022) = $36053.33

Accumulated depreciation at the end of 2022 = 13866.67 + 36053.33

Accumulated depreciation at the end of 2022 = $49920

To calculate the gain or loss on disposal, we need to determine the Net Book value of the asset at the end of 2022 and compare it with the cash received from the sale. If the cash received is more than the Net Book Value, there is a gain on disposal and if the cash received is less than the Net Book Value, there is a loss on disposal.

Net Book value at the end of 2022 = 104000 - 49920   = $54080

Loss on disposal = 54000 - 54080  =  - $80 (loss on disposal)

The loss on the sale of the asset is $2,160.

There would be a loss on the sale of the asset is the book value of the asset is greater than the selling price of the asset.

Depreciation is a method used to reduce the carrying value of an asset.

Double declining depreciation = (2/ useful life) x cost of the asset

Depreciation expense in 2021 = (2/5) x $104,000 = $41,600

3/12 x  $41,600 = $10,400

Book value in 2021 = $104,000 - $10,400 = $93,600

Depreciation expense in 2022 = (2/5) x $93,600 = $37,440

Book value in 2022 =  $93,600 - $37,440 = $56,160

Loss = $56,160 - $54,000.= $2,160

To learn more about depreciation, please check: https://brainly.com/question/25887124

MC algo 3-13 Equity Multuiplier Use the following information to answer this question Windswept, Inc. 2017 Income Statement ($ in millions) $ 8.700 Net sales Cost of goods sold 7,250 350 Depreciation Earnings before interest and taxes Interest paid $ 1,100 83 $ 1,017 Taxable income 356 Taxes 661 Net income Windswept, Inc. 2016 and 2017 Balance Sheets ($ in millions) 2017 2016 2017 2016 $ 1070 $ 1,212 Cash $ 140 120 Accounts payable Long-term debt Accounts rec. 800 720 980 1,213 1,510 1,535 Inventory Common stock 3,150 450 2,890 $2.450 $ 2,375 Retained earnings Total 700 Net fixed assets 3,200 3,640 $ 6,015 $5,650 5,650 6,015 Total liab. & equity Total assets What is the equity multiplier for 2017? a) 2.08 times b) 2.42 times c) 3.01 times d) 1,68 times e) 1,26 times

Answers

Answer:

The answer is Option D. 1.68 times

Explanation:

The formula for equity multiplier is:

Equity Multiplier = Total assets ÷ Total stockholder's equity

In 2017:

Total stockholder's equity = Common stock + Retained earnings

Total stockholder's equity = $2890 + $700 = $3590

Total assets = $6,015

Now, putting these values in the above formula, we get,

Equity multiplier = $6,015 ÷ $3,590 = 1.68 times

The following information pertains to Blue Flower Company. Assume that all balance sheet amounts represent both average and ending balance figures. Assume that all sales were on credit.
Assets
Cash and short-term investments $ 45,000
Accounts receivable (net) 30,000
Inventory 25,000
Property, plant and equipment 210,000
Total Assets $310 000
Liabilities and Stockholders Equity
Current liabilities $ 60,000
Long-term liabilities 95,000
Stockholders' equity-common 155,000
Total Liabilities and Stockholders Equity $310.000
Income Statement
Sales revenue $ 116,000
Cost of goods sold 66.000
Gross margin 50,000
Operating expenses 30.000
Net income $20,000
Number of shares of common stock 6,000
Market pice of common stock $20
Dividends per share on common stock .50
Cash provided by operations $35,000
What is the inventory turnover for this company?
1) 2.6 times
2) 4.6 times
3) 5.3 times
4) 0.38 time

Answers

Answer:

1) 2.6 times

Explanation:

The Inventory turnover ratio measures the activity of liquidity of a company`s Inventory.

Inventory turnover = Cost of goods sold / Inventory

                               =  $66,000 / $25,000

                               =  2.64 times

Assume that the full-employment level of output is $5000 billion and the natural unemployment rate is 5%. Suppose the current unemployment rate is 8%. What would be the current level of output according to Okun's law (when the Okun's law coefficient is 2)?

Answers

Answer:

$4700 Billion

Explanation:

Solution

Given that:

Assume that full-employment level of output is =$5000 billion

Natural employment rate is =5%

Current unemployment rate = 8%

Now,

We find the current level of output according to Okun's law when the Okun's law coefficient is 2 which is given below:

2 (unemployment rate -natural unemployment) = potential GDP - actual GDP/potential GDP *100% this is known as the Okun's law

Thus

2( 8 - 5 ) = 5000 - actual GDP / 5000 * 100

or (6 * 5000 ) / 100 = 5000 - actual GDP = $4700 Billion

or

300 = 5000 - actual GDP

Hence, the actual GDP or current output = 5000 - 300 = 4700 $ billion

g Lydia, a citizen of Italy, produces scarves and purses that she sells to department stores in the United States. Other things the same, these sales a. increase U.S. net exports and have no effect on Italian net exports. b. decrease U.S. net exports and have no effect on Italian net exports. c. increase U.S. net exports and decrease Italian net exports. d. decrease U.S. net exports and increase Italian net exports.

Answers

Answer:

d. decrease U.S. net exports and increase Italian net exports.

Explanation:

As it is given that

Lydia, who is a citizen of Italy produced scarves and purses in order to sell to the department stores in the united states keeping other things constant. So the sales would reflect an increased in the net exports of Italian as she is a producer and sell its products to the united states and at the same time it decreased or decline the net exports of united states

The net exports is

= Exports - imports

Hence, the correct option is d.

On January 1, Year 1, Milton Manufacturing Company purchased equipment with a list price of $37,000. A total of $4,000 was paid for installation and testing. During the first year, Milton paid $6,000 for insurance on the equipment and another $700 for routine maintenance and repairs. Milton uses the units-of-production method of depreciation. Useful life is estimated at 100,000 units, and estimated salvage value is $8,000. During Year 1, the equipment produced 14,000 units. What is the amount of depreciation for Year 1

Answers

Answer:

Annual depreciation= $4,620

Explanation:

Giving the following information:

Purchasing price= $37,000

Installation= $4,000

Milton uses the units-of-production method of depreciation. Useful life is estimated at 100,000 units, and the estimated salvage value is $8,000. During Year 1, the equipment produced 14,000 units.

First, we will determine the total cost consisting of the purchasing price and all costs to make the equipment operable.

Total cost= 37,000 + 4,000= $41,000

Now, to calculate the depreciation expense, we need to use the following formula:

Annual depreciation= [(original cost - salvage value)/useful life of production in units]*units produced

Annual depreciation= [(41,000 - 8,000)/100,000]*14,000

Annual depreciation= $4,620

Job A3B was ordered by a customer on September 25. During the month of September, Jaycee Corporation requisitioned $1,800 of direct materials and used $3,300 of direct labor. The job was not finished by the end of the month, but needed an additional $2,300 of direct materials and additional direct labor of $5,100 to finish the job in October. The company applies overhead at the end of each month at a rate of 200% of the direct labor cost incurred. What is the balance in the Work in Process account at the end of September relative to Job A3B? Multiple Choice $7,400 $11,700 $4,100 $8,400

Answers

Answer:

$11,700

Explanation:

The computation of the balance in the work in process at the end of the month is shown below:

= Direct material cost + direct labor cost + manufacturing overhead cost percentage of direct labor cost

= $1,800 + $3,300 + $3,300 × 200%

= $1,800 + $3,300 + $6,600

= $11,700

We simply added the direct material cost, direct labor cost and the manufacturing overhead cost so that the ending balance could arrive

A day trader buys an option on a stock that will return $150 profit if the stock goes up today and lose $650 if it goes down. Complete parts a and b below given that the trader thinks there is a 70 % chance that the stock will go up.
a) What is her expected value of the option's profit?
b) What do you think of this option?

Answers

Answer:

A.-90

B.What I think of the option is that it will be extremely risky reason been that her expected value was a loss in (a).

Explanation:

Option on stock $150

Loss$650

Percentage 70 %

A.

150*.70= $105

100%-70%

=30%

-650*.30

= -195

$105 + (-195)

= -90

Therefore the expected value of the option's is losing 90

b.

What I think of the option is that it will be extremely risky reason been that her expected value was a loss in (a).

A firm has fixed assets of $28,000, long-term debt of $12,000, current liabilities of $4,000, current assets of $5,000 and equity of $17,000. What is the total of the assets side of the balance sheet of the firm

Answers

Answer:

$33,000

Explanation:

assets = liabilities + stockholders' equity

assets include current assets + non current or fixed assets = $5,000 + $28,000 = $33,000

liabilities and stockholders' equity include current liabilities + long term liabilities + equity = $4,000 + $12,000 + $17,000 = $33,000

both sides of the accounting equation must always be equal, that is meant by balance.

In a situation of neither input nor output fixed, the proper economic criterion is to _________________. A. Maximize the output B. Minimize the inputs C. Minimize (inputs - outputs) D. Maximize (outputs - inputs)

Answers

Answer:

D. Maximize (outputs - inputs)

Explanation:

The input is the raw material, labor, the efforts that is used in making the product while the output is the product or the result arising from the input

The profit arises when output and the input varies from each other

i.e

Profit = Output - input

In the case where there is neither an input nor output fixed, so we have to maximize the profit i.e (output - input) but the condition is that they are different from each other

Hence, the correct option is D.

You have $17,000 to invest in a stock portfolio. Your choices are Stock X with an expected return of 15 percent and Stock Y with an expected return of 10 percent. Assume your goal is to create a portfolio with an expected return of 12.15 percent. How much money will you invest in Stock X and Stock Y

Answers

Answer:

For X = $7,130

For Y = $9,690

Explanation:

The calculation of investment in stock X and stock Y is shown below:-

We assume the weight of investment in stock x = x

Expected return = Weight of x × Return of x + Weight of y × Return of y

12.15 = x × 15 + (1 - x) × 10

12.15 = 15x + 10 - 10x

x = (12.15 - 10) ÷ 5

x = 43%

Investment in stock Y = 100 - 43

= 57%

Now,

Dollar Investment in x = Stock investment × Expected return

= $17,000 × 43%

= $7,130

Dollar Investment in x = Stock investment × Expected return

= $17,000 × 57%

= $9,690

So, we have applied the above formula.

Weisman, Inc. uses activity-based costing as the basis for information to set prices for its six lines of seasonal coats.
Activity Cost Pools Estimated Overhead Estimated Use of Cost Drivers per
Activity
Designing $455,000 14,000 designer hours
Sizing and cutting 3,948,000 168,000 machine hours
Stitching and trimming 1,479,725 78,500 labor hours
Wrapping and packing 333,000 30,000 finished units
Compute the activity-based overhead rates using the following budgeted data for each of the activity cost pools.
Activity-based overhead rates
Designing $ per designer hour
Sizing and cutting $ per machine hour
Stitching and trimming $ per labor hour
Wrapping and packing $ per finished unit

Answers

Answer:

Designing =  $32.50 per designer hour

Sizing and cutting =  $23.50 per machine hour

Stitching and trimming =  $18.85 per labor hour

Wrapping and packing = $11.10 per finished unit

Explanation:

The Activity Based Overhead Costing involves calculation of cost driver rate for each activity center.

Cost Driver Rate = Cost of Activity / Number of Times that Activity is Performed

Designing = $455,000 / 14,000

                 = $32.50

Sizing and cutting = $3,948,000 / 168,000

                              = $23.50

Stitching and trimming = $1,479,725 / 78,500

                                      = $18.85

Wrapping and packing = $333,000 / 30,000

                                      = $11.10

Managers can use CSR and sustainability information as important feedback to guide decision making in a variety of areas. Which of the following areas is least likely to be impacted by this feedback?

a. cost control decisions
b. FASB compliance with U.S. GAAP
c. strategic and operational areas
d. resource allocation decisions

Answers

Answer:

Option B. FASB compliance with U.S. GAAP

Explanation:

Because FASB is an independent body and publishes amendmends in Accounting standards which are internationally accepted so it has nothing to do with the US GAAP. Our decision making impact can be seen on the matters that are dependent on us not on the things we don't have control of or if they independent body. So the least impacted would be FASB compliance with US GAAP.

Whereas the rest of options are controlled by the managers so they can be easily influenced by the decision making power of the managers.

Niler Corporation reported the following after-tax information for its current fiscal year: $35,000 income from continuing operations, $8,400 income from operations of discontinued Line C, and $12,500 loss on disposal of Line C.
Starting with income from continuing operations, prepare a partial income statement for Niler for the current year. Ignore earnings per share.

Answers

Answer:

The net income for Niler Corporation for the current year is $30,900.

Explanation:

When there is a discontinued operation, the income from the discontinued operation is added to the income from continuing operations while the loss on disposal of the same operation is added to obtain the net income for the company. This can be done as follows for this question:

Niler Corporation

Partial Income Statement

Details                                                                               $      

Income from continuing operations                           35,000

income from operations of discontinued Line C         8,400

Loss on disposal of Line C                                         (12,500)

Net income                                                                   30,900  

Therefore, the net income for Niler Corporation for the current year is $30,900.

Baka Corporation applies manufacturing overhead on the basis of direct labor-hours. At the beginning of the most recent year, the company based its predetermined overhead rate on total estimated overhead of $243,000 and 8,000 estimated direct labor-hours. Actual manufacturing overhead for the year amounted to $244,200 and actual direct labor-hours were 5,700.The applied manufacturing overhead for the year was closest to:________
a. 229586
b. 234600
c. 242006
d. 236854

Answers

Answer:

Allocated overhead= $173,137.5

Explanation:

Giving the following information:

Estimated overhead= $243,000

Estimated direct-labor hours= 8,000

Actual direct labor-hours were 5,700.

First, we need to calculate the predetermined overhead rate:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Predetermined manufacturing overhead rate= 243,000/8,000

Predetermined manufacturing overhead rate= $30.375 per direct labor hour

Now, we can allocate overhead based on actual direct labor hours:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Allocated overhead= 30.375*5,700= $173,137.5

The topic of email is written in _________________.

a) CC Box
b) BCC Box
c) Subject Box
d) None of these

Answers

Answer:

the subject box is where you write your topic of email

Answer:

C. Subject box

Explanation:

The CC box is the carbon copy box. This is where you put other people's emails. They will receive a copy of the email, and they will be able to see who else received the copy.

The BCC box is the blind carbon copy box. This is also where you can put other people's emails. They will receive a copy, but they can't see the others who also got the copy, hence the name blind carbon copy.

The subject box is where you write the subject or topic of the email. This tells the recipients what the email is about, before they begin reading it.

Therefore, the best choice is C: subject box.

Thorley Inc. is considering a project that has the following cash flow data. What is the project's IRR? Note that a project's projected IRR can be less than the WACC or negative, in both cases it will be rejected. Year 0 1 2 3 4 5 Cash flows -$1,100 $325 $325 $325 $325 $325 a. 15.18% b. 14.59% c. 11.24% d. 13.43% e. 16.20%

Answers

Answer:

b. 14.59%

Explanation:

The computation of Project IRR is Shown below:-

Year        Cash Flow

0                -$1,100

1                   $325

2                   $325

3                   $325

4                   $325

5                   $325

Project IRR  14.59%  

For more clarification we attached the spreadsheet which shown the computation of Project IRR.

Barry, a solvent individual but a recovering alcoholic, embezzled $6,000 from his employer. In the same year that he embezzled the funds, his employer discovered the theft. His employer did not fire him and told him he did not have to repay the $6,000 if he would attend Alcoholics Anonymous. Barry met the conditions and his employer canceled the debt.
A. Barry did not realize any income because his employer made a gift to him.
B. Barry must include $6,000 in gross income from discharge of indebtedness.
C. Barry must include $6,000 in gross income under the tax benefit rule.
D. Barry may exclude the $6,000 from gross income because the debt never existed.
E. None of these.

Answers

Answer: Barry must include $6,000 in gross income from discharge of indebtedness

Explanation:

Feom the question above, we are told that Barry embezzled $6,000 from his employer and that even though his employer discovered the theft, the employ did not fire him and told him that he did not have to repay the $6,000 if he attend Alcoholics Anonymous. Barry met the conditions and the employer canceled the debt.

In this case, Barry will have to include the $6,000 he stole in gross income from discharge of indebtedness. The gross income has to do with the sum of the wages, profits, salaries, rents, interest payments, and every other earnings, before the deductions of taxes or other deductions. Since Barry stole the money and.he.has been forgiven, the $6,000 has to be included in the gross income from discharge of indebtedness.


Zombie Corp. has a profit margin of 5.1 percent, a total asset turnover of 1.95, and ROE of 16.15 percent.
What is this firm's equity multiplier?
What is this firm's debt-equity ratio?

Answers

Answer:

This firm's equity multiplier is 1.6239

This firm's debt-equity ratio is 0.6239

Explanation:

According to the given data we have the following:

Profit Margin (PM) = 5.10%

That is, Net Profit/Sales = 5.10% = 0.051

Total Assets Turnover (TAT) = 1.95

That is, Sales/Total Assets = 1.95

Return on Equity (ROE) = 16.15%

That is, Net Profit/Total Equity = 16.15% = 0.1615

In order to calculate this firm's equity multiplier we would have to use the following formula:

Equity Multiplier (EM) = Total Assets / Total Equity

=(total assets/sales)*(sales/total equity)

=(total assets/sales)*(sales/net profit)*(net profit/total equity)

=(1/T AT)*(1/PM)*(ROE)

=(1/1.95)*(1/0.051)*(0.1615)

=1.6239

This firm's equity multiplier is 1.6239

In order to calculate this this firm's debt-equity ratio we would have to use the following formula:

Debt Equity Ratio = Debt/Equity

=(total assets- total equity)/(total equity)

=(total assets/total equity)-(total equity/total equity)

= equity multiplier-1

=1.6239-1

=0.6239

This firm's debt-equity ratio is 0.6239

Melody and Todd are married and have employee wages of $250,000 each in 2019. They have no other income. How much additional 0.9% Medicare tax will Melody and Todd have to pay or receive as a refund when they file their 2019 income tax return?

Answers

Answer:

$1,350

Explanation:

The computation of the amount pay or received as a refund at the time of filing the income tax return for the year 2019 is shown below:

As we know that

The Medicare tax rate is 1.45% till $200,000

And, if it is above $200,000 than 2.35% is charged (1.45% + 0.9%)

Now

For individually calculated,

Melody = ($200,000 × 1.45%) + ($50,000 × 2.35%) = $4,075

Todd = ($200,000 × 1.45%) + ($50,000 × 2.35%) = $4,075

So, the total is

= $4,075 + $4,075

= $8,150

Now if they filling their joint return so

Total salary is $500,000   ($250,000 × 2)

Medicare upto $250,000 = $3,625 ($250,000 × 1.45%)

for remaining $250,000 = $5,875 ($250,000 × 2.35%)

So, the Total is

= $3,625 + $5,875

= $9,500

Now the refund is

= Joint return - individually return for each one

= $9,500 - $8,150

= $1,350

Listed below are a few events and transactions of Kodax Company.

Jan. 2 Purchased 92,000 shares of Grecco Co. common stock for $526,000 cash. Grecco has 276,000 shares of common stock outstanding, and its activities will be significantly influenced by Kodax.
Sept. 1 Grecco declared and paid a cash dividend of $1.50 per share.
Dec. 31 Grecco announced that net income for the year is $507,900. Year 2
June 1 Grecco declared and paid a cash dividend of $3.80 per share.
Dec. 31 Grecco announced that net income for the year is $735,400.
Dec. 31 Kodax sold 13,000 shares of Grecco for $96,500 cash.

Required:
Prepare journal to record the above transactions and events of kodax Company.

Answers

Answer:

Jan. 2

Investment in Associate $526,000 (debit)

Cash $526,000 (credit)

Sept. 1

Cash $138,000 (debit)

Dividend Received $138,000 (credit)

June 1

Cash $349,600 (debit)

Dividend Received $349,600 (credit)

Dec. 31

Cash $96,500 (debit)

Investment in Associate $96,500 (credit)

Explanation:

When Kodax Company purchased  92,000 shares of Grecco Co she had significant influence (more than 20% of shareholding in Grecco Co). We call this an Investment in an Associate.

The Investment in Associate is a Financial Asset to the Holder (Kodax Company) and an Equity Element to the Investee (Grecco Co) and should be recorded appropriately as above.

You order a $40 Andy Warhol print online for a Christmas gift. There’s a standard shipping charge of $10, but you see that orders of $45 or more ship for free. You could also order a $5 pair of socks, but you’re not sure the gift recipient would like them. Nonetheless, you decide to order the socks. Your decision is an example of:________.
a. marginal thinking.
b. trade-offs.
c. opportunity costs.
d. incentives.

Answers

Answer: C

Explanation:

You're seeing an opportunity in savings the cost is $40 + $10 for shipping = $50 versus $45 with free shipping. You get an extra item for less and it includes free shipping. So its a deal to actually buy the extra item.

Answer:

c. opportunity costs.

Explanation:

Opportunity cost is the cost that a person face for choosing an alternative and loosing benefit from other options. The benefit foregone for choosing an alternative is opportunity cost.

in this question there is an opportunity cost of $5 if it order the stock because it involves the options of $45 or $50 ($40+$10).

Magpie Corporation uses the total cost method of product pricing. Below is cost information for the production and sale of 60,000 units of its sole product. Magpie desires a profit equal to a 25% return on invested assets of $700,000. Fixed factory overhead cost $38,700 Fixed selling and administrative costs 7,500 Variable direct materials cost per unit 4.60 Variable direct labor cost per unit 1.88 Variable factory overhead cost per unit 1.13 Variable selling and administrative cost per unit 4.50 The markup percentage on total cost for Magpie's product is

Answers

Answer:

Mark-up =22.64%

Explanation:

Profit = Return on Investment (%) × assets\

Profit = 25% × 700,000 = 175,000

Total variable cost = (4.60+ 1.88+ 1.13+ 4.50 )× 60,000= 726600

Total cost = Total variable cost + total fixed cost

                  =  726600  + 38,700+ 7,500= 772800

Mark-up = profit/cost × 100

              = 175,000/726,600 × 100 = 22.64%

Mark-up =22.64%

Other Questions
what is the answer to 18(2x+1) = ??? a vector has components x=6 m and y=8 m. what is its magnitude and direction? What is 6 divided by 2 You are at a playground with a see-saw and a large merry-go-round. You put your phone on the see-saw and find it slides when it is tilted at an angle of 38 degrees. How far can you put your phone from the center of the merry-go-round (in m) when it makes one rotation every 3 s FOR BUS LAW ICertain that Al Gore would emerge victorious from the post-election chaos, Melvin's Decorations ordered 50,000 "President Al Gore" medallions from Medallions, Inc. on December 1, 2000 for $5 per medallion. Delivery was to be on January 10, 2001. By that date, the value of the medallions had fallen to $1 per medallion. Melvin's Decorations refused to accept the medallions because it was clear that George Bush would keep the presidency, and Medallions, Inc. sued for Melvins breach. What can Medallions recover? (Assume that there was nothing wrong with the medallions and that Melvin's did breach the contract).A.Medallions' lost profit on the deal.B.The difference between the contract price and the market price.C.Either A or B.D.Neither A nor B. I need this for my notes so i can know what to do. What is the length of AC? And Length of AB? Find the literacy rate, percentage of the GDP spent on education, the unemployment rate, percentage of people in poverty, and GDP per capita. Then, complete the graphic organizer below. After you complete the chart, write one paragraph about the relationship between the literacy rate and the percent of the GDP spent on education to the GDP per capita. Click here to print a copy of the organizer. if f(x)=x+3 g(x)=2x+6 find (f+g)(x) Match the following Questions & AnswersABC123 Create a variable temp and assign the value in Celsius. Display the message Its extremely hot day today! if the temperature is greater than 40 degree C otherwise, displays Its not too hot! What is the area of the figure in the picture? For questions 1 - 2, complete the given table of values. Then sketch a graph that shows two complete cycles. 1. Y=- cosx 2. Y = sin x+1 Please help this is urgent! Look at the graph What is slope of the line What's the best meal to cook a toddler? Isabella wants the distribution of money spent on advertising to match the distribution of profit gained from each product. IfIsabella has a budget of $22.5 million, how much should she allocate for ads for peripherals, to the nearest hundred thousanddollars?a. $9.7 millionb. $7.3 millionc. $4.1 milliond. $2.2 million Triangle A B F is shown. Line B F is extended through point G. Line F A is extended through point C. A line is drawn from point A to point D. A line is drawn from point F to point E. Which represents an exterior angle of triangle ABF? BAD AFE CAD CAB Help geometry what I m jlf Picture provided Purchasing power parity is used to adjust gross national income in order to make a more direct comparison of________in various countries. a. living standards.b. population density.c. geographical area.d. factor endowments.e. labor productivity. 1. Find the measure of