Answer:
cost of goods manufactured= $81,204
Explanation:
Giving the following information:
Cost of direct materials used in production $18,573
Direct labor 23,083
Factory overhead 33,632
Work in process inventory, March 1 24,104
Work in process inventory, March 31 18,188
To calculate the cost of goods manufactured, we need to use the following formula:
cost of goods manufactured= beginning WIP + direct materials + direct labor + allocated manufacturing overhead - Ending WIP
cost of goods manufactured= 24,104 + 18,573 + 23,083 + 33,632 - 18,188
cost of goods manufactured= $81,204
Determine whether each of the following statements is true, false or uncertain, and brieflyjustify your answer (a few sentences). No credit will be given for unsupported answers.1. The optimal tariff for a large open economy is 0.2. Multinational firms are important primarily in labor-intensive industries.3. Horizontal FDI is more likely to occur when trade costs are low but plant-level economiesof scale are high.4. For a small open economy, import tariffs and import quotas have identical effects onprices, welfare, and import levels.5. The median voter theory has been very successful at explaining actual trade policyoutcomes.
Answer:
1) False
2) Uncertain
3) False
4) False
5) True
Explanation:
1) Optimal tariff for a Large open economy is not zero ( 0 ) and this is because a large open economy has control over interest rates both domestically and in a larger scale, and its engaged in exports and imports trades with other economies of the world. hence its Optimal tariff should be > 0
2) The Importance of Multinational firms primarily in labor-intensive industries is Uncertain because Multinational firms can have a positive effect on labor by providing them with better wages and it can also affect labor negatively by laying off incompetent workers in the long run
3) Horizontal FDI is less likely to occur when the trade costs are low but plant-level economies of scale are high because lower trade costs will lead to a vertical FDI and not horizontal FDI
4) In an open economy the effects of import tariffs and import quotas does not have same effect on prices and import levels . reduction in import quota reduces import levels while increase in tariffs affects pricing of goods and services
5) True because increase in inequality and a country's endowment been held constant will raise trade barriers in a capital abundant economy and vice versa for less capital abundant economy .
List two types of cash flows an investor can expect to receive from an investment in stock. Explain the volatility of each of these types of cash flows.
Answer:
Operating cash flows which are activities that include a company’s day-to-day activities, for example, purchasing raw material or making sales. Investing cash flows are activities that include purchases and sales of long term assets and other investments.
Lewis Co. sold merchandise to AdCo for $60,000 and received $60,000 for that sale one month later. One week prior to receiving payment from AdCo, Lewis made a $10,000 payment to AdCo for advertising services that have a fair value of $7,500. After accounting for any necessary adjustments, how much revenue should Lewis Co. record for the merchandise sold to AdCo?
Answer:
$57,500
Explanation:
Calculation to determine how much revenue should Lewis Co. record for the merchandise sold to AdCo
Using this formula
Revenue=Transactions price-(Payment to advertisement -Fair value)
Let plug in the formula
Revenue=$60,000-($10,000-$7,500)
Revenue=$60,000-$2,500
Revenue=$57,500
Therefore the amount of revenue that Lewis Co. should record for the merchandise sold to AdCo is $57,500
The measurement of the Aggregate Supply
Curve takes into account all goods and
services and their corresponding average price
level. What is the label for the Y-Axis?
A. average income
B. maximum price level
C. average price level
Answer:
C; Average Price Level
Explanation:
Here, we want to get what is on the label of the y-axis
The aggregate supply curve is simply a plot of the average price level against the real GDP( gross domestic product)
From this definition, we can see that we have the average price level on the y-axis and we have the real GDP on the x-axis
Suppose there are three buyers of candy in a market: Tex, Dex, and Rex. The market demand and the individual demands of Tex, Dex, and Rex are shown in the following table.
Answer:
I don't know.
Explanation:
there is no table to see.
Suppose the European and Japanese economies succumb to a recession and reduce their demand for U.S. goods for several years. Using AS/AD framework, explain the macroeconomic consequences of this shock, both immediately and over time.
Alex Meir recently won a lottery and has the option of receiving one of the following three prizes: (1) $96,000 cash immediately, (2) $39,000 cash immediately and a six-period annuity of $9,800 beginning one year from today, or (3) a six-period annuity of $18,800 beginning one year from today. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) 1. Assuming an interest rate of 5%, determine the present value for the above options. Which option should Alex choose
Answer: Option 1
Explanation:
The option selected should be the one with the highest present value.
1. Present value = $96,000
2. Present value = $39,000 + Present value of $9,800 annuity
Present value of Annuity = Annuity * Present value interest factor of annuity, 6 periods, 5%
= 9,800 * 5.0757
= $49,741.86
Present value of option 2 = 39,000 + 49,741.86
= $88,741.86
3. Present value of $18,800 annuity:
= 18,800 * Present value interest factor of annuity, 6 periods, 5%
= 18,800 * 5.0757
= $95,423.16
Cash payment of $96,000 immediately is best option as it is highest.
On October 1, 2016, Adams Company paid $4,200 for a two-year insurance policy with the insurance coverage beginning on that date. As of December 31, 2016, which of the following account balances are correct after adjusting entries have been made?a. Prepaid insurance $4,200, and Insurance expense $0.b. Prepaid insurance $0, and Insurance expense $4,200.c. Prepaid insurance $2,100, and Insurance expense $2,100.d. Prepaid insurance $3,675, and Insurance expense $525.
Answer:
d. Prepaid insurance $3,675, and Insurance expense $525.
Explanation:
Preparation of the journal entry to determine which of the following account balances are correct after adjusting entries have been made
Based on the information given the account balances that are correct after adjusting entries have been made will be PREPAID INSURANCE $3,675, and INSURANCE EXPENSE $525.
First step is to calculate the amount the company pay per month
Amount pay per month=$4,200/24 months
Amount pay per month = $175 per month
Last step
Since Three months have been used which are October, November, and December which means that $175 per month × 3 months = $525 which will be recorded as INSURANCE EXPENSE while the balance in PREPAID INSURANCE will be $4,200 - $525 = $3,675
urgent................................................................................................
Answer:
Resources of economic value owned by the company
Explanation:
An asset is a resource controlled by the entity (company or business) and from which future economic benefits are expected to flow to the entity as a result of having this entity.
Assets can be divided into non-current and current assets. Non current assets are assets that are expected to be retained by the business for at least a year while current assets are assets that are constantly changing during the course of the business's activities.
Megan Company has fixed costs of $429,450. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two products are provided below. Product Selling Price Variable Cost per Unit Contribution Margin per Unit Q $320 $150 $170 Z 220 180 40 The sales mix for products Q and Z is 50% and 50%, respectively. Determine the break-even point in units of Q and Z. If required, round your answers to the nearest whole number. a. Product Q fill in the blank 1 units b. Product Z fill in the blank 2 units
Answer:Break-even point (units)= 4,090units ,
a. Product Q -2,045 units
b. Product Z -2,045 units
Explanation:
Given
Product Selling Price Variable Cost per Unit Contribution Margin per Unit Q $320 $150 $170
Z 220 180 40
Using the formulae
Break-even point (units)= Total fixed costs / Weighted average contribution margin
But weighted Q contribution: $170 x 50% = $ 85
weighted Z contribution: $ 40 x 50% = $ 20
Total Mix contribution(Weighted average contribution margin)=$105
Break-even point (units)= $429,450/ $105
Break-even point (units)= 4,090units
Now, for each product:
Q= 4,090units x 50%= 2,045 units
Z= 4,090units x 50%= 2,045 units
Therefore,
a. Product Q -2,045 units
b. Product Z -2,045 units
four years ago, a person borrowed $10,000 at an intereate rate of 8% compounded annually and agreed to pay it back in equal payments over a ten-year period. This same person now wants to pay off the reaminaing amount of the loan. How much should this person pay
Answer:
$5,063.95
Explanation:
Missing word "Assume he has just made the fourth payment."
Borrowed Amount = $10,000
Interest rate (Compounded annually) = 8%
Number of Payments = 10
Calculating Monthly Payment using the MS-Excel PMT Function
Annual Payment = PMT(Rate, Nper, -PV)
Annual Payment = PMT(8%, 10, 10000)
Annual Payment = $1,490.30
Calculating Present Value of 4 payments using the MS-Excel PV Function
Present Value = PV(Rate, Nper, -PMT)
Present Value = PV(8%, 10, -1,490.30)
Present Value = $4,936.05
So, the remaining balance of borrowed amount he should pay is $5,063.95 ($10,000 - $4,936.05).
webmail
Final Exam
MS: Career Explorations II (E) / Final Exam
is a surgery that uses a few small cuts and a camera to guide surgeons instead of a much larger incision.
Answer:
Try and make it more explanatory I don't understand
On January 1, 20X1, Prim Inc. acquired all of Scrap Inc.’s outstanding common shares for cash equal to the stock’s book value. The carrying amounts of Scrap’s assets and liabilities approximated their fair values, except that the carrying amount of its building was more than fair value. In preparing Prim’s 20X1 consolidated income statement, which of the following adjustments would be made?a. Decrease depreciation expense and recognize goodwill amortization.b. Increase depreciation expense and recognize goodwill amortization.c. Decrease depreciation expense and recognize no goodwill amortization.d. Increase depreciation expense and recognize no goodwill amortization.2. The first examination of Rudd Corporation’s financial statements was made for the year ended December 31, 20X8. The auditor found that Rudd had acquired another company on January 1, 20X8, and had recorded goodwill of $100,000 in connection with this acquisition. Although a friend of the auditor believes the goodwill will last no more than five years, Rudd’s management has found no impairment of goodwill during 20X8. In its 20X8 financial statements, Rudd should reportAmortization Goodwill Expensea. $ 0 $100,000b. $100,000 $ 0c. $ 20,000 $ 80,000d. $ 0 $ 03. Consolidated financial statements are being prepared for a parent and its four subsidiaries that have intercompany loans of $100,000 and intercompany profits of $300,000. How much of these intercompany loans and profits should be eliminated?Intercompany Loans Profitsa. $ 0 $ 0b. $ 0 $300,000c. $100,000 $ 0d. $100,000 $300,0004. On April 1, 20X8, Plum Inc. paid $1,700,000 for all of Long Corp.’s issued and outstanding common stock. On that date, the costs and fair values of Long’s recorded assets and liabilities were as follows: Cost Fair ValueCash $ 160,000 $ 160,000Inventory 480,000 460,000Property, plant and equipment (net) 980,000 1,040,000Liabilities (360,000) (360,000)Net assets $1,260,000 $1,300,000In Plum’s March 31, 20X9, consolidated balance sheet, what amount of goodwill should be reported as a result of this business combination?a. $360,000.b. $396,000.c. $400,000.d. $440,000.
Answer:
Prima Inc.
1. c. Decrease depreciation expense and recognize no goodwill amortization
Rudd Corporation:
2. The amounts of Amortization and Goodwill Expense to be reported in Rudd's 20X8 financial statements are:
= d. $ 0 $ 0
3. The amount of the intercompany loans and profits that should be eliminated are:
. $100,000 $300,000
4. The amount of goodwill that should be reported as a result of this business combination is:
= c. $400,000.
Explanation:
Data and Calculations:
2. Recorded goodwill = $100,000
Estimated useful life = 5 years
Amortization and Goodwill Expense = $0
3. Intercompany loans = $100,000
Intercompany profits = $300,000
4. Long Corp.'s
Cost Fair Value
Cash $ 160,000 $ 160,000
Inventory 480,000 460,000
Property, plant and equipment (net) 980,000 1,040,000
Liabilities (360,000) (360,000)
Net assets $1,260,000 $1,300,000
Payment = $1,700,000
Goodwill (acquired) = $400,000 ($1,700,000 - $1,300,000)
What is the value of a loom that is expected to generate fixed annual cash flows of $3,640 every year for a certain amount of time if the first annual cash flow is expected in 5 years, the last annual cash flow is expected in 10 years, and the appropriate discount rate is 3.7 percent
Answer:
PV= $13,627.44
Explanation:
Giving the following information:
Cash flow= $3,640
Interest rate= 3.7%
First, we need to calculate the value of the investment five years from now:
PV= Cf*{(1/i) - 1/[i*(1 + i)^n]}
PV= 3,640*{(1/0.037) - 1 / [0.037*(1.037^5)]}
PV= $16,342.11
Now, the present value:
PV= FV / (1 + i)^n
PV= 16,342.11 / (1.037^5)
PV= $13,627.44
RJR Nabisco recently experienced a market reevaluation due to a number of tobacco lawsuits. The firm has a bond outstanding with 15 years to maturity, and a coupon rate of 8 percent, with interest being paid semiannually. The required yield to maturity has risen to 16%. What is the price of the RJR Nabisco bond? a) $1,000 b) $804 c) $767 d) $550
Answer:
d) $550
Explanation:
The computation of the price of the RJR bond is given below;
Given that
Future value assume be $1,000
NPER = 15 × 2 = 30
PMT = $1,000 × 8% ÷ 2 = $40
RATE = 16% ÷ 2 = 8%
The formula is shown below:
=-PV(RATE,NPER,PMT,FV,TYPE)
After applying the above formula, the present value is $550
Capstone Publishers Inc. collects 50% of its sales on account in the month of the sale and 50% in the month following the sale. If sales on account are budgeted to be $309,000 for April and $355,000 for May, what are the budgeted cash receipts from sales on account for May
Answer:
the budgeted receipts from sales on account is $332,000
Explanation:
The computation of the budgeted receipts from sales on account is given below;
= $309,000 ×50% + $355,000 × 50%
= $154,500 + $177,500
= $332,000
Hence, the budgeted receipts from sales on account is $332,000
The above method should be applied for determining the budgeted receipts from sales on account
On April 30, 2009, Tilton Products purchased machinery for $88,000. The useful life of this machinery is estimated at 8 years, with an $8,000 residual value. Assume that in its financial statements, Tilton Products uses straight-line depreciation and rounds depreciation for fractional years to the nearest month. Total Accumulated Depreciation on this machinery at the end of 2010 will be:
Answer:
$16,667
Explanation:
Annual Depreciation = (Original Value - Residual Value) / Useful Life
Annual Depreciation = ($88,000 - $8,000) / 8
Annual Depreciation = $10,000 [Depreciation for 2010 = $10,000]
Depreciation for 2009 = $10000 * 8/12
Depreciation for 2009 = $6,667
Total Accumulated Depreciation = $10,000 + $6,667
Total Accumulated Depreciation = $16,667
So, the total accumulated depreciation on this machinery at the end of 2010 will be $16,667.
1. How much is currently owed on this credit card?
a. $200
b. $245
c. $1,000
Answer:
What is the word problem??? (B)
Is it:
How much is currently owed on this credit card?
$200
$245
$1,000
Look at the Transactions section. Why is the refund marked with a positive sign?
You owe that amount on your credit card statement
You are receiving that money back onto your credit card statement
You paid that amount off last month
Before sending in your payment to the credit card company, you go to a bicycle store. How much can you spend before going over the credit limit on your card?
$0, you are already over your credit limit
$245
$755
Which of the following statements is FALSE?
If you pay the MINIMUM PAYMENT of $40.00, the bank will waive the interest charged on the balance you still owe.
If you are late in making your credit card payment, you may have to pay a $35 fee.
If you want to avoid any interest or fees, you should pay off your full statement balance by the due date.
Explanation:
discuss any 2 factors that you would consider when choosing the ideal type of investment
Answer:
The two factors that impact the choice of an ideal investment are returns on investment and investment period.
Time makes the difference between a successful investment and a bad investment choice. It is the time duration of an investment that dictates the expected returns on the investment.
Explanation:
The return on investment (ROI) is linked to the risks and volatility of the investment type. The investment period or term also affects the returns, risks, and volatility. Short-term investments are known for reduced returns, risks, and volatility. Other factors that impact the investment type that a decision-maker chooses, apart from these factors linked to risks and volatility, are liquidity, inflation, and tax implications.
Here are direct spot and forward markets quotes for MXN over three points in time: now (1/1/XX), one month later (2/1/XX), three months later (4/1/XX), and six months later (7/1/XX).
1/1/XX 2/1/XX 4/1/XX 7/1/XX
MXN Spot 0.0891 0.0949 0.0900 0.0955
1 Month Forward 0.0904 0.0963 0.0914 0.0969
3 Month Forward 0.0918 0.0977 0.0928 0.0984
6 Month Forward 0.0932 0.0992 0.0942 0.0999
Based on your knowledge of the MXN quotes on all three periods, on 1/1/XX : ___________
a. You should be short on the 6 month forward contract.
b. You should be long on the 1 Month Forward contract.
c. You should be long on the 3 month forward contract.
Answer:
a. You should be short on the 6 month forward contract.
Explanation:
Short forward contract is that when a trader agrees to sell the asset on the same date and for the same price. Long forward contract is one in which trader agrees to buy underlying asset on a specified date at a specified price in future.
The money supply increased, and the AD curve did not shift to the right. This is consistent with the:________
a) monetarist transmission mechanism when there is a liquidity trap.
b) Keynesian transmission mechanism when there is a liquidity trap.
c) monetarist transmission mechanism when there is interest-insensitive investment.
d) Keynesian transmission mechanism when there is either a liquidity trap or interest-insensitive investment.
Answer:
b) Keynesian transmission mechanism when there is a liquidity trap.
Explanation:
Since the interest rate is so low, the public will have no incentive to deposit their cash into a bank or invest it in a company. This is a situation where the public will hold to their cash becasue they feel that a negative interest rate is possible. This type of situation could occur if the real interest rate is 0 and the public believes that the possibility of deflation exists and they will be better of by holding to their money.
Gander, Inc. is considering two projects with the following cash flows: Year Project X Project Y 0 ($100,000) ($100,000) 1 40,000 50,000 2 40,000 0 3 40,000 0 4 40,000 0 5 40,000 250,000 Gander uses the payback period method of capital budgeting and accepts only projects with payback periods of 3 years or less. a. If the projects are presented as stand-alone opportunities, which one(s) would Gander accept
Answer: Project X
Explanation:
Project X payback period:
Payback period if the inflow is constant = Investment amount / Annual inflow
= 100,000 / 40,000
= 2.5 years
Project Y payback period:
= Year before payback + Amount remaining / Cash inflow in year of payback
Project Y makes no inflows from year 2 to 4 and brings in a substantial amount in year 5. Year before payback must be 4 years therefore.
Amount remaining = 100,000 - 50,000 in first year
= $50,000
= 4 + 50,000 / 250,000
= 4.2 years
Project X will be chosen as its payback period is less than 3 years.
Penny decided that the interest shown by the East Rutherford, N.J., Gay, Lesbian, Bisexual, and Transgender Alliance justified further research and the creation of a projected income statement as part of an evaluation of the feasibility of starting a business. She found a small industrial space she could rent for $1,000 per month. She estimated her initial need for employees to be a total of four, whom she would pay $10 an hour. A 40-hour work week was planned. She also budgeted $500 a week to pay herself. Assume everyone, including Penny, works 52 weeks per year. Her expenses associated with payroll (e.g., social security, unemployment insurance, fringe benefits) amounted to 20% of total compensation. Other expenses were estimated as:
Answer:
Total Annual Expense = $173040
Explanation:
Note: This question is incomplete and lacks the data and instruction for the question to solve it. I have retrieved its data from the internet. However, I will be solving this by using the data to find out the expenses portion of an annual income statement.
Solution:
Data Given:
Rent = $1000 of a month
Owner Salary = $500 per week
Employee Wages = $10 an hour
Total employees = 4
Working hours = 40 hours work week
Working weeks in year = 52 weeks.
Payroll Expense = 20% of the total compensation
Shipping = $250/week
Insurance = $50/week
Office Supplies = $25/week
Acct/Legal = $50/week
Utilities = $200/week
Misc = $100/week
Following is the expenses portion of an annual income statement for Penny blossoms:
Rent = $1000 x 12 = $12000
Owner Salary = ($500 x 4) x 12 = $24000
Employee Wages = $10 an hour = (10 x 40) x 52 x 4 = $83200
Payroll Expense = 20% of the total compensation = 20% x ($83200 + $24000) = $21440
Shipping = $250/week = (250 x 4) x 12 = $12000
Insurance = $50/week = (50 x 4) x 12 = $2400
Office Supplies = $25/week = 25 x 4 x 12 = $1200
Acct/Legal = $50/week = 50 x 4 x 12 = $2400
Utilities = $200/week = 200 x 4 x 12 = $9600
Misc = $100/week = 100 x 4 x 12 = $4800
Total Expense is the sum of all annual expenses.
Total Expense = $173040
Rudd Clothiers is a small company that manufactures tall-men's suits. The company has used a standard cost accounting system. In May 2017, 11,250 suits were produced. The following standard and actual cost data applied to the month of May when normal capacity was 14,000 direct labor hours. All materials purchased were used.
Cost Element Standard (per unit) Actual
Direct materials 8 yards at $4.40 per yard $375,575 for 90,500 yards
($4.15 per yard)
Direct labor 1.2 hours at $13.40 per hour $200,925 for 14,250 hours
($14.10 per hour)
Overhead 1.2 hours at $6.10 per hour $49,000 fixed overhead $37,000 variable
overhead (fixed $3.50; variable $2.60)
Overhead is applied on the basis of direct labor hours. At normal capacity, budgeted fixed overhead costs were $49,000, and budgeted variable overhead was $36,400
Compute the total, price, and quantity variances for (1) materials and (2) labor. (Round answers to 0 decimal places, e.g. 125.)
Answer: See explanation
Explanation:
1. The total, price, and quantity variances for materials will be:
Actual Production = 11250
Standard Quantity of Direct Material Required per unit = 8
Standard Quantity of Direct Material required (SQ) = 11250*l × 8 = 90000
Standard Price per Yard (SP) = 4.4
Actual Direct Material (AQ) = 90500
Actual Price per Pound (AP) = 4.15
Total Material Variance:
= (SP × SQ) - (AP × AQ)
= (4.40 × 90000) - (4.15 × 90500)
= 396000 - 375575
= 20425
Direct Material Price Variance:
= AQ × (SP - AP)
= 90500 × (4.40 - 4.15)
= 90500 × 0.25
= 22625 Favourable
Direct materials quantity variance:
= SP × (SQ - AQ)
= 4.40 × (90000 - 90500)
= 4.40 × -500
= -2200 Unfavourable
2. The total, price, and quantity variances for labor will be:
Actual Production = 11250
Standard Hours Required per unit = 1.2
Standard Hours required (SH) = 11250 × 1.20 = 13500
Standard Rate per Hour (SR) = 13.4
Actual Hours required (AH) = 14250
Actual Rate per Hour (AR) = 14.1
Total Labour Variance:
= (SR × SH) - (AR × AH)
= (13.40 × 13500) - (14.10 × 14250)
= 180900 - 200925
= -20025 Unfavourable
Dircet Labour RateVariance:
= AH × (SR - AR)
= 14250 × (13.40 - 14.10)
= 14250 × -0.7
= -9975 Unfavourable
Direct Labour efficiency variance:
= SR × (SH - AH)
= 13.40 × (13500 - 14250)
= 13.40 × -750
= -10050 Unfavourable
g Because of the downward sloping demand curve, a monopolist can increase its revenue is by ________. Group of answer choices only increasing price on its goods only decreasing price on its goods increasing or decreasing price of its good. charging the maximum price
Answer:
only increasing price on its goods
Explanation:
A monopoly is when there is only one firm operating in an industry. there are usually high barriers to entry of firms. the demand curve is downward sloping. it sets the price for its goods and services.
An example of a monopoly is a utility company
A natural monopoly occurs due to the high start-up costs or a large economies of scale.
Natural monopolies are usually the only company providing a service in a particular region
Because the demand curve for a monopoly is downward sloping, marginal revenue is less than price. As prices fall, more units of the product are bought.
In a monopoly When the average cost is falling, the marginal cost lies below the average cost. If the government sets price to be equal to marginal cost, which lies below the average cost, the monopoly would incur losses
For tax reasons, your client wishes to purchase an annuity that pays $80,000 each year for 6 years, with the first payment in one year. At an interest rate of 8% and focusing on time value of money without consideration of any fees, how much would the client need to invest now
Answer:
$369,830.37
Explanation:
Present value can be calculated using a financial calculator
Cash flow from year 1 to 6 = 80,000
i = 8%
pv = $369,830.37
To find the PV using a financial calculator:
1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.
2. after inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.
3. Press compute
Martin used his credit card to buy a new bike. Which statement is true?
Answer: A.
Explanation: egde 2021
Answer: A, he borrowed money
Explanation:
Zordan Tools Corporation makes and sells brushes and combs. It can sell all of either product it can make. The following data are pertinent to each respective product: Brushes Combs Units of output per machine hour 8 20 Selling price per unit $12.00 $4.00 Product cost per unit Direct material $1.00 $1.20 Direct labor 2.00 0.10 Variable overhead 0.50 0.05 Total fixed overhead is $380,000. The company has 40,000 machine hours available for production. What sales mix will maximize profits
Answer:
Zordan Tools Corporation
Brushes Combs
The Sales mix that maximizes profits is 2,800 880
Explanation:
a) Data and Calculations:
Brush Comb
Units of output per machine hour 8 20
Selling price per unit $12.00 $4.00
Product cost per unit
Direct material $1.00 $1.20
Direct labor 2.00 0.10
Variable overhead 0.50 0.05
Total variable cost per unit $3.50 $1.35
Contribution margin per unit $8.50 $2.65
Contribution margin per hour $68 $53 ($2.65 * 20)
Contribution margin ratio = 0.56 0.44 ($53/$121)
Available machine hours for production = 40,000
Allocation of machine hours per
contribution margin = 22,400 17,600 (40,000 * 44%)
Units produced 2,800 880 (17,600/20)
Use the words innovative and ambitious in one sentence
Answer:
As a team, and as company, we try to be forward thinking, and ambitious in our approach with the technology , and innovative with new products to market to the consumer.
Explanation:
Able to use both words in a solid sentence structure.
You bought a stock for $28.29 and sell it for $35 after four years. What was the true annual rate of return (compounded)
Answer:$1.68
Explanation: