Answer:
Beverages on Jolt Company
Bottling Department
Completed and transferred out production = $32,690
Ending inventory in process = $1,960
Explanation:
a) Data and Calculations:
Direct Materials Conversion
Inventory in process, beginning of period 0 3,000
Started and completed during the period 52,000 52,000
Transferred out of Bottling (completed) 52,000 55,000
Inventory in process, end of period 3,500 2,100
Total units to be assigned costs 55,500 57,100
Cost per equivalent unit $0.47 $0.15
Direct Materials Conversion Total
Completed & transferred out $24,440 $8,250 $32,690
($0.47*52,000) ($0.15*55,000)
Ending Work in process 1,645 315 1,960
($0.47*3,500) ($0.15*2,100)
Lopez Corporation incurred the following costs while manufacturing its product.
Materials used in product $122,200 Advertising expense $49,900
Depreciation on plant 69,200 Property taxes on plant 17,600
Property taxes on store 8,590 Delivery expense 28,300
Labor costs of assembly-line workers 113,100 Sales commissions 44,400
Factory supplies used 34,000 Salaries paid to sales clerks 51,300
Work in process inventory was $13,300 at January 1 and $17,200 at December 31. Finished goods inventory was $68,800 at January 1 and $47,900 at December 31.
Required:
a. Compute cost of goods manufactured.
b. Compute cost of goods sold.
Answer:
a. $352,200
b. $372,100
Explanation:
The cost of goods manufactured
Consider only the manufacturing costs
Cost of goods manufactured = $122,200 + $69,200 + $17,600 + $113,100 + $34,000 + $13,300 - $17,200
=$352,200
Cost of goods sold
Add Cost of goods manufactured to the net of Finished inventory balance
Cost of goods sold = $47,900 $68,800 + $352,200 - $47,900
= $372,100
Energy Manufacturing Inc. provides the following ABC costing information: Activities Total Costs Activity-cost drivers Account inquiry $320,000 16,000 hours Account billing $200,000 4,000,000 lines Account verification accounts $173,250 70,000 accounts Correspondence letters $24,000 4,000 letters Total costs $717,250 The above activities are used by Departments A and B as follows: Department A Department B Account inquiry hours 4,200 hours 2,700 hours Account billing lines 900,000 lines 750,000 lines Account verification accounts 8,000 accounts 6,000 accounts Correspondence letters 1,400 letters 1,800 letters How much of the account inquiry cost will be assigned to Department A
Answer: $84,000
Explanation:
Cost per hour for Account inquiry = Account inquiry cost / Activity cost - drivers
= 320,000 / 16,000 hours
= $20 per hour
Department A has 4,200 hours of account inquiry. Cost will be:
= 4,200 * 20
= $84,000
Your job pays you only once a year for all the work you did over the previous 12 months. Today, December 31, you just received your salary of $54,000 and you plan to spend all of it. However, you want to start saving for retirement beginning next year. You have decided that one year from today you will begin depositing 10 percent of your annual salary in an account that will earn 9.4 percent per year. Your salary will increase at 4 percent per year throughout your career. How much money will you have on the date of your retirement 45 years from today
Answer:
I will have $5,319,216.16 on the date of retiremnet.
Explanation:
First, we need to calculate the amount of deposit
Amount of annual deposit = Annual salary x Deposit rate
Amount of annual deposit = $54,000 x 10%
Amount of annual deposit = $5,400
Now use the following formula to calculate the balance in the account after 45 years from today
Future value of annuity = [ Periodic Annuity payment x ( 1 + growth rate ) / ( Interst rate - growth rate ) ] x [ ( 1 + interest rate )^numbers ofyears - ( 1 + growth rate )^numbers of years ]
Where
Periodic Annuity payment = Amount of annual deposit = $5,400
Periodic interest rate = 9.4%
Periodic growth rate = 4%
Numbers of years = 45 years
Future value of annuity = Balance after 45 years = ?
Placing values in the formula
Balance after 45 years = [ $5,400 x ( 1 + 4% ) / ( 9.4% - 4% ) ] x [ ( 1 + 9.4% )^45 - ( 1 + 4% )^45 ]
Balance after 45 years = [ $5,616 / 5.4% ] x [ ( 1.094^45 ) - ( 1.04^45) ]
Balance after 45 years = $104,000 x [ 56.987484867 - 5.841175681 ]
Balance after 45 years = $104,000 x 51.146309186
Balance after 45 years = $5,319,216.155344
Balance after 45 years = $5,319,216.16
Capital assets used by an enterprise fund should be accounted for in the a. Business-type activities journal but no depreciation on the capital assets should be recorded. b. Enterprise fund and depreciation on the capital assets should be recorded c. Governmental activities journal and depreciation on the capital assets should be recorded d. Enterprise fund but no depreciation on the capital assets should be recorded
Answer:
b. Enterprise fund and depreciation on the capital assets should be recorded.
Explanation:
Cash flow can be defined as the net amount of cash and cash- equivalents that is flowing into (received) and out (given) of a business. There are three components of the cash flow;
1. Operating cash flow: all cash generated from the business activities of an organization.
2. Financing cash flow: all payments made by an organization and profits from issuance of debts and equity.
3. Investing cash flow: costs associated with purchasing of capital assets and investments of cash resources in other businesses.
Capital assets used by an enterprise fund should be accounted for in the enterprise fund and depreciation on the capital assets should be recorded.
Additionally, depreciation can be defined as the reduction of cost of a fixed asset systematically until the value of the asset becomes zero.
The risk-free rate of return is 8%, the expected rate of return on the market portfolio is 15%, and the stock of Xyrong Corporation has a beta coefficient of 1.2. Xyrong pays out 40% of its earnings in dividends, and the latest earnings announced were $10 per share. Dividends were just paid and are expected to be paid annually. You expect that Xyrong will earn an ROE of 20% per year on all reinvested earnings forever. (LO 13-2) a. What is the intrinsic value of a share of Xyrong stock
Answer:
$101.82
Explanation:
the intrinsic value of the stock can be determined by determining the value of the stock using the constant growth dividend model
according to the constant dividend growth model
price = d1 / (r - g)
d1 = next dividend to be paid
r = required return
g = growth rate
growth rate = retention rate x ROE
Retention rate = 1 - payout ratio = 1 - 0.4 = 0.6
0.6 x 20% = 12%
dividend = 0.4 x $10 = $4
the required return can be determined using the capital asset price model: Expected rate of return = risk free + beta x (market rate of return - risk free rate of return)
0.08 + 1.2(0.15 - 0.08) = 0.164 = 16.4%
Intrinsic value = 4 ( 1.12) / (0.164 - 0.12) = 4.48/0.044 = $101.82
Santa Monica adopted a rent control ordinance authorizing the Rent Control Board to set the amount of rents that could be charged. At a hearing before it, the board determined that McHugh was charging his tenants a rent higher than the maximum allowed. McHugh claimed that the action of the board was improper because there was no jury trial. Is McHugh correct
Answer:
No. McHugh is not correct.
Explanation:
A jury trial is not necessarily required in all cases. The Board is like a panel of judges who decide a case after preliminary investigations have been conducted and the facts established. Moreover, the case is a civil matter and not a criminal issue that would require the presence of a jury. It is not improper for a legally constituted board to hear a civil disobedience case and render a verdict, according to established rules.
A(n) _____ is a situation in which moral implications shape an individual’s decisions.
ethical issue
revelatory issue
moral dilemma
situational imperative
On May 7, Bergan Company purchased on account 10,000 units of raw materials at $8 per unit. During May, raw materials were requisitioned for production as follows: 7,500 units for Job 200 at $8 per unit and 1,480 units for Job 305 at $5 per unit.
Required:
Journalize the entry on May 7 to record the purchase
Answer:
The entry on May 7 to record the purchase
Debit : Raw Materials $80,000
Credit : Accounts Payable $80,000
Explanation:
The entry on May 7 to record the purchase is prepared above.
When the government imposes an excise tax in a market with a downward-sloping demand curve and an upward-sloping supply curve: _________.
a. consumer surplus falls, producer surplus falls, and a deadweight loss occurs.
b. consumer surplus falls.
c. producer surplus falls.
d. a deadweight loss occurs.
Answer:
A
Explanation:
Tax is a compulsory sum levied on the price of goods and services. It increases the price of goods and services
Consumer surplus is the difference between the willingness to pay of a consumer and the price of the good.
Consumer surplus = willingness to pay – price of the good
Producer surplus is the difference between the price of a good and the least price the seller is willing to sell the product
Producer surplus = price – least price the seller is willing to accept
If tax increases the price of the good, consumer surplus would reduce
For example, willingness to pay is $20, price before tax is $5 and price after tax is $10. consumer surplus becomes $10 when it was $15 initially
Tax reduces the amount that would be received by the seller. This reduces consumer surplus.
Deadweight loss is the decrease in quantity demanded as a result of tax. Because tax increases price, the quantity demanded would reduce
At the beginning of April, Owl Corporation has a balance of $12,500 in the Retained Earnings account. During the month of April, Owl had the following external transactions.
1. Issue common stock for cash, $12,000.
2. Provide services to customers on account, $8,000.
3. Provide services to customers in exchange for cash, $2,700.
4. Purchase equipment and pay cash, $7,100.
5. Pay rent for April, $1,300.
6. Pay employee salaries for April, $3,000.
7. Pay dividends to stockholders, $1,750.
Required:
Using the external transactions above, compute the balance of Retained Earnings at April 30. (Decreases should be entered as a negative.)
Answer:
$17,150
Explanation:
Computation for the balance of Retained Earnings at April 30.
Retained earnings beginning balance $12,500
Add Provide services to customers on account, $8,000
Add Provide services to customers in exchange for cash $2,700
Less Pay rent for April ($1,300 )
Less Pay employee salaries for April, ($3,000)
Less Pay dividends to stockholders, ($1,750)
Balance of Retained Earnings at April 30 $17,150
Therefore the balance of Retained Earnings at April 30 will be $17,150
What does a sticky CTA do?
Answer:
It encourages users to revisit your website.
Suppose you are deciding whether you should go to college. If you go to college, you will pay $10,000 total in tuition, textbooks, and room and board every year for 4 years, with the first payment being made immediately and then the next three payments 1 year apart. Upon graduating, you expect to get a job earning $50,000 per year for the next 40 years. Assume that your first paycheck arrives exactly 1 year after you start working and you continue getting paid annually thereafter. Also assume that there are no raises in that particular field. If you do not go to college, you can start working immediately. The pay, however, is lower. You would expect to work for 44 years and earn $34,000 per year, with your first paycheck arriving exactly 1 year from now, and you continue getting paid annually thereafter. For the questions below, round all numbers to two decimals. See Hint Part 1 (1 point) Assume the interest rate is 7%. If you were to attend college, the present value of your tuition payments would total $ See Hint (1 point) Part 2 Suppose you go to college and graduate after 4 years. Because you will work for 40 years after you graduate, and because 40 years is a long time, treating the stream of payments as a perpetuity will provide a reasonable approximation of the present value of the payment stream. The present value of your annual earnings of $50,000 as a college graduate is $ See Hint (1 point) Part 3 The net present value of going to college is $ See Hint (1 point) Part 4 If you do not go to college, you will be working even longer than before. Once again, you may treat the stream of income from your job as a consol or perpetuity. The present value of your annual earnings of $34,000 if you don't go to college is ______$
Answer:
Part 1
Present value of tuition payments:
= 10,000 + (10,000 / (1 + 7%)) + (10,000 / 1.07²) + (10,000 + 1.07³)
= $36,243.16
Part 2
This is a deferred perpetuity because you only start getting paid when you start work 4 years later:
Present value of deferred perpetuity:
= Amount / Discount rate ( 1 / (1 + discount rate)^n
= 50,000 / 0.07 * (1 / 1.07)⁴
= $544,925.15
Part 3
Net present value of going to college:
= Present value of salary - cost of college
= 544,925.15 - 36,243.16
= $508,681.99
Part 4
This is not a deferred perpetuity so your present value is:
= Amount/ discount rate
= 34,000 / 0.07
= $485,714.29
Which is the most important factor on which motor carriers compete?
Answer:
The correct response is "railroad". A further explanation is given below.
Explanation:
The other passenger transport market is railways, is because rail services are easier and have already been commonly used instead of motor carriers as well as providers.Railways don't always occupy all geographic locations of the nation, but in certain areas of the country, they were a theme or a trend.There are 20 AAA batteries in a box and 7 are defective. Two batteries are selected without replacement. What is the probability of selecting a defective battery followed by another defective battery?
Answer: 0.11
Explanation:
There are 20 AAA batteries in a box and 7 are defective. If two batteries are selected without replacement, the probability of selecting a defective battery will be 7/20.
The probability of selecting another defective battery will be 6/19 as there will be 19 batteries left and 6 defective.
Then, the probability of selecting a defective battery followed by another defective battery will be:
= 7/20 × 6/19
= 42/380
= 0.11
Lilliput is a country that has closed borders and does not import or export any goods or services; hence, they do not worry about trade with other countries. Total spending for the federal government of Lilliput for the last fiscal year was $24.19 billion. The country collected $22.9 billion in taxes during this same fiscal year. Assume government transfers were zero. Based on this information, what is Lilliput's budget balance?
Answer: Lilliput is a country that has closed borders and does not import or export any goods or services
Explanation:
Bluestone Company had three intangible assets at the end of the current year:
a. A patent purchased this year from Miller Co. on January 1 for a cash cost of $3,200. When purchased, the patent had an estimated life of 16 years.
b. A trademark was registered with the federal government for $7,500. Management estimated that the trademark could be worth as much as $190,000 because it has an indefinite life.
c. Computer licensing rights were purchased this year on January 1 for $70,000. The rights are expected to have a five-year useful life to the company.
Required:
1. Compute the acquisition cost of each intangible asset.
Acquisition Cost
Patent
Trademark
0
2. Compute the amortization of each intangible for the current year ended December 31. (Do not round intermediate calculations.)
Amortization Expenses
Patent
Trademark
0
3. Show how these assets and any related expenses should be reported on the balance sheet and income statement for the current year.
BLUESTONE COMPANY
Income Statement (partial)
For the year ending December 31
BLUESTONE COMPANY
Balance sheet (partial)
At December 31
Intangibles:
Answer:
Bluestone Company
1. Acquisition cost of each intangible asset:
Patent $3,200
Trademark = $0
Licensing Rights = $70,000
2. Amortization for the current year ended December 31:
Amortization Expenses:
Patent = $200 ($3,200/16)
Trademark = $7,500 (expensed in full)
Licensing Rights = $14,000 ($70,000/5)
3. BLUESTONE COMPANY
Income Statement (partial)
For the year ending December 31
Amortization Expenses:
Patent $200
Licensing Rights $14,000
Trademark expense $7,500
BLUESTONE COMPANY
Balance sheet (partial)
At December 31
Intangibles:
Patent $3,200
Acc. Amortization 200 $3,000
Licensing Rights $70,000
Acc. Amortization 14,000 $56,000
Explanation:
a) Data and Calculations:
a. Purchased patent on January 1 for $3,200 Estimated life 16 years
b. Internally developed trademark is expensed: $7,500
c. Purchasing Licensing Rights on January 1 for $70,000 for 5 years
Selected sales and operating data for three divisions of different structural engineering firms are given as follows: Division A Division B Division C Sales $ 15,650,000 $ 35,650,000 $ 20,520,000 Average operating assets $ 3,130,000 $ 7,130,000 $ 5,130,000 Net operating income $ 719,900 $ 499,100 $ 595,080 Minimum required rate of return 8.00 % 8.50 % 11.60 % Required: 1. Compute the return on investment (ROI) for each division using the formula stated in terms of margin and turnover. 2. Compute the residual income (loss) for each division. 3. Assume that each division is presented with an investment opportunity that would yield a 9% rate of return. a. If performance is being measured by ROI, which division or divisions will probably accept or reject the opportunity
Answer:
1. ROI for each division:
Division A Division B Division C
Return on investment (DuPont) = 23% 7% 11.6%
2. Residual income (loss) $469,500 ($106,950) $0
3. Divisions A and C will probably accept the opportunity while Division B will reject it.
Explanation:
a) Data and Calculations:
Division A Division B Division C
Sales $ 15,650,000 $ 35,650,000 $ 20,520,000
Average operating assets $ 3,130,000 $ 7,130,000 $ 5,130,000
Net operating income $ 719,900 $ 499,100 $ 595,080
Minimum required rate of return 8.00 % 8.50 % 11.60 %
Return on investment (ROI) (ordinary) 23% 7% 11.6%
ROI = Net operating income/Average operating assets * 100
Return on investment (DuPont ROI) :
Asset Turnover = 5 5 4
Sales/Average operating assets
Operating income margin =
Income/Sales * 100 4.6% 1.4% 2.9%
Return on investment (DuPont) = 23% 7% 11.6%
Asset Turnover * Operating income margin
Residual income =
Net income - (Equity * RRR) $469,500 ($106,950) $0
NB: Equity is approximated to the net operating asset here.
A building with an appraisal value of $136,787 is made available at an offer price of $157,859. The purchaser acquires the property for $34,148 in cash, a 90-day note payable for $27,610, and a mortgage amounting to $58,126. The cost basis recorded in the buyer's accounting records to recognize this purchase is
Answer:
the cost basis recorded to recognize this purchase is $119,884
Explanation:
The computation of the cost basis recorded to recognize this purchase is shown below:
= Acquired property in cash + note payable + mortgage
= $34,148 + $27,610 + $58,126
= $119,884
Hence, the cost basis recorded to recognize this purchase is $119,884
The following December 31, 2021, fiscal year-end account balance information is available for the Stonebridge Corporation:
Cash and cash equivalents $5,800
Accounts receivable (net) 28,000
Inventory 68,000
Property, plant, and equipment (net) 160,000
Accounts payable 47,000
Salaries payable 19,000
Paid-in capital 140,000
The only asset not listed is short-term investments. The only liabilities not listed are $38,000 notes payable due in two years and related accrued interest of $1,000 due in four months. The current ratio at year-end is 1.6:1.
Required:
Determine the following at December 31, 2021:
1. Total current assets.
2. Short-term investments.
3. Retained earnings.
Answer and Explanation:
The calculations are given below:
1. Total current assets
we know that
Current ratio = Current assets ÷ current liabilities
where,
Current liabilities is
= Accounts payable + Accrued interest + Salaries payable
= $47,000 + $1,000 + $19,000
= $67,000
And,
Current ratio = 1.6:1
So,
Total current assets is
= 1.6 × $67,000
= $107,200
b. Short term investment is
Short term investment = Total current assets - Cash and cash equivalents - Accounts receivables - Inventories
= $107,200 - ($5,800 + $28,000 + $68,000)
= $5,400
c. Now retained earning is
Total assets
= Total current assets + Property, plant and equipment
= $107,200 + $160,000
= $267,200
Total liabilities is
= Current liabilities + Notes payable
= $67,000 + $38,000
= $105,000
Now Retained earnings is
= Total assets - Total liabilities - Paid in capital
= $267,200 - $105,000 - $140,000
= $22,200
a. Issued common stock to investors for $21.4 cash (example).
b. Purchased $1,621.6 of additional inventory on account.
c. Paid $34.1 on long-term debt principal and $2.6 in interest on the debt.
d. Sold $2,355 of products to customers on account; cost of the products sold was $1,456.6. (Hint: There are two separate effects needed for (d): one for earning revenue and one for incurring an expense.)
e. Paid cash dividends of $32 to shareholders.
f. Purchased for cash $32.4 in additional property, plant, and equipment.
g. Incurred $718.6 in selling expenses, paying three-fourths in cash and owing the rest on account.
h. Earned $1 of interest on investments, receiving 80 percent in cash.
i. Incurred $43 in interest expense to be paid at the beginning of next year.
Required:
For each of the transactions, write down the tabulation, indicating the effect (+ for increase and - for decrease) of each transaction.
Answer:
Following are the solution to this question:
Explanation:
[tex]Sheet \ balancing \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ Declaration \ of \ revenue[/tex]
[tex]Payment \ \ \ Properties\ \ \ Liability \ \ \ \ equity \ of\ shareholders\ \ \ Revenues\ \ \ Expenses\ \ \ Net \ Income \\\\[/tex][tex]a\ \ \ \ \ \ \ \ \ \ \ \ 19.4 \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ 19.4 \\\\b \ \ \ \ \ \ \ \ \ \ \ 1676.6 \ \ \ \ \ \ \ \ \ 1676.6 \\\\[/tex]
[tex]c \ \ \ \ \ \ \ -54.7 \ \ \ \ \ \ \ \ \ \ -50.1 \ \ \ \ \ \ \ \ \ \ \ -4.6 \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ 4.6 \ \ \ \ \ \ \ -4.6 \\\\[/tex]
[tex]d \ \ \ \ \ \ \ \ \ \ \ 2389.0 \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ 2389.0 \ \ \ \ \ \ \ \ \ \ \ 2389.0 \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ 2389.0\\\\[/tex]
[tex]-1421.6 \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ -1421.6 \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ 1421.6 \ \ \ \ \ \ \ \ \ \ \ \ -1421.6[/tex]
[tex]e \ \ \ \ \ \ \ \ \ -33.0 \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ -33.0[/tex]
[tex]f \ \ \ \ \ \ \ \ \ \ 0.0 \ \ \ \ \ \ \ \ \ \ 0.0 \ \ \ \ \ \ \ \ \ \ 0.0 \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ 0.0 \ \ \ \ \ \ \ \ \ \ 0.0\\\\g\ \ \ \ \ \ \ \ \ \ -533.7 \ \ \ \ \ \ \ \ \ \ 177.9\ \ \ \ \ \ \ \ \ \ -711.6 \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ 711.6 \ \ \ \ \ \ \ \ \ \ -711.6\\\\[/tex]
[tex]h\ \ \ \ \ \ \ \ \ \ 0.5 \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ 0.5 \ \ \ \ \ \ \ \ \ \ 0.5 \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ 0.5[/tex]
[tex]i \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ 42.0 \ \ \ \ \ \ \ \ \ \ \ \ \ \ -42.0 \ \ \ \ \ \ \ \ \ \ \ \ \ \ 42.0\ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ -42.0[/tex]
Consider a mutual fund with $219 million in assets at the start of the year and with 12 million shares outstanding. The fund invests in a portfolio of stocks that provides dividend income at the end of the year of $6 million. The stocks included in the fund's portfolio increase in price by 7%, but no securities are sold, and there are no capital gains distributions. The fund charges 12b-1 fees of 0.50%, which are deducted from portfolio assets at year-end.
What is the net asset value at the start and end of the year?
Answer:
$19.43
Explanation:
Net asset value at the end of the year = ($219,000,000 / 12,000,000 shares) * 1.07 * (1 - 0.005)
Net asset value at the end of the year = $18.25 * 1.07 * 0.995
Net asset value at the end of the year = $19.4298625
Net asset value at the end of the year = $19.43
A sales manager, Dev, is facing an ethical situation wherein his bicycle company that specializes in mountain bikes sold a bicycle with a defective component. If he informs the customer and issues a recall, it would cost him a substantial amount of money. If the bike malfunctions, there is a very small chance that it could cause serious injury to a cyclist who might use it on rough terrain. He decides to use the egoism approach to decision making and remain silent about the defect, because he:________.
A) is motivated by self-interest.
B) is looking to accomplish the greatest good for the greatest number of people.
C) wants to first consult with his insurer.
D) is motivated to protect the interests of his employees.
E) wants to first consult with others whom he respects.
Answer:
A) is motivated by self-interest.
Explanation:
He decides to use the egoism approach to decision making and remain silent about the defect, because he is motivated by self-interest.
Self-interest refers to some actions that elicit personal benefit.
The egoist approach to ethics is based on the principles of self-interest, individual good, and satisfaction.
Therefore the correct answer is that sales manager, Dev is motivated by self-interest.
The quota rent is the: A. difference between the demand price and the supply price at the quota limit. B. minimum rent that the owner of a building must receive before he or she is willing to rent out the building. C. opportunity cost of using a quota-controlled service or of buying a good that is subject to an import quota. D. rent received by landlords who own rent-controlled apartments.
Answer:
A. difference between the demand price and the supply price at the quota limit.
Explanation:
In Economics, there are primarily two (2) factors which affect the availability and the price at which goods and services are sold or provided, these are demand and supply.
The law of demand states that, the higher the demand for goods and services, the higher the price it would be sold all things being equal. On the other hand, law of supply states that the higher the price of goods and services, the lower the supply.
A quota rent can be defined as the economic rent that is typically being received by the owner of the imported goods subjected to quota.
The quota rent is the difference between the demand price and the supply price at the quota limit.
Crane Company uses the periodic inventory system. For the current month, the beginning inventory consisted of 485 units that cost $60 each. During the month, the company made two purchases: 720 units at $63 each and 355 units at $65 each. Crane Company also sold 1200 units during the month. Using the FIFO method, what is the amount of cost of goods sold for the month? $72000. $75935. $74145. $75024.
Answer:
COGS= $74,145
Explanation:
Giving the following information:
Beginning inventory= 485 units that cost $60 each.
Purchases:
720 units at $63 each
355 units at $65 each.
Units sold= 1,200
To calculate the cost of goods sold (COGS) under the FIFO (first-in, first-out), we need to use the cost of the last units incorporated into inventory:
COGS= 485*60 + 715*63
COGS= $74,145
ims Corporation uses the weighted-average method in its process costing system. The Assembly Department started the month with 5,000 units in its beginning work in process inventory that were 70% complete with respect to conversion costs. An additional 68,500 units were transferred in from the prior department during the month to begin processing in the Assembly Department. There were 33,000 units in the ending work in process inventory of the Assembly Department that were 60% complete with respect to conversion costs. What were the equivalent units for conversion costs in the Assembly Department for the month
Answer:
60,300
Explanation:
Calculation to determine the equivalent units for conversion costs in the Assembly Department for the month
Conversion
Units transferred to the next department 40,500
(5,000 + 68,500 - 33,000 )
Add Ending work in process 19,800
Conversion: (33,000 units × 60%)
Equivalent units of production 60,300
(40,500+19,800)
Therefore the equivalent units for conversion costs in the Assembly Department for the month is 60,300
Barnes Company uses a job order cost system. The following data summarize the operations related ...
Barnes Company uses a job order cost system. The following data summarize the operations related to production for October:
October 1 Materials purchased on account, $315,500.
2 Materials requisitioned, $290,100, of which $8,150 was for general factory use.
31 Factory labor used, $489,500, of which $34,200 was indirect.
31 Other costs incurred on account for factory overhead, $600,000; selling expenses, $150,000; and administrative expenses, $100,000.
31 Prepaid expenses expired for factory overhead were $18,000; for selling expenses, $6,000; and for administrative expenses, $5,000.
31 Depreciation of office building was $30,000; of office equipment, $7,500; and of factory equipment, $60,000.
31 Factory overhead costs applied to jobs, $711,600.
31 Jobs completed, $1,425,000.
31 Cost of goods sold, $1,380,000.
Required:
Journalize the entries to record the summarized operations. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for spaces or journal explanations. Every line on a journal page is used for debit or credit entries. Do not add explanations or skip a line between journal entries. ONLY 26 LINES CAN BE USED
Answer:
Journal Entries
October 1
Materials Dr $315,500
Accounts payable Cr $315,500
October 2
Work in process Dr $281,950
Factory overhead Dr $8,150
Materials Cr $290,100
October 31
Work in process Dr $455,300
Factory overhead Dr $34,200
Wages payable Cr $489,500
October 31
Factory overhead Dr $600,000
Selling expense Dr $150,000
Administrative expense Dr $100,000
Accounts payable Cr $850,000
October 31
Factory overhead Dr $18,000
Selling expense Dr $6,000
Administrative expense Dr $5,000
Prepaid expense Cr $29,000
October 31
Depreciation expense - Office Building Dr $30,000
Depreciation expense - Office Equipment Dr $7,500
Factory overhead Dr $60,000
Accumulated depreciation- Buildings and equipment Cr $97,500
October 31
Work in process Dr $711,600
Factory overhead Cr $711,600
October 31
Finished goods $1,425,000
Work in process Cr $1,425,000
October 31
Cost of goods Dr $1,380,000
Finished goods Cr $1,380,000
The dictator of Turan has recently begun to arbitrarily seize farms belonging to his political opponents, and he has given the farms to his friends. His friends don't know much about farming. The courts in Turan have ruled that the seizures are illegal, but the dictator has ignored the rulings. Other things equal, we would expect that the growth rate in Turan will:_______.
a. fall and remain lower for a long time.
b. increase because the total amount of human capital in the country will increase as the new owners learn how to farm.
c. fall temporarily, but will return to where it was when the new owners learn how to farm.
d. not be affected unless widespread civil disorder or civil war results.
Answer:
A
Explanation:
"Betty has been working for Bright Fires for about five years. She compares herself to different managers, such as Meg, who works for the competitor in a similar work position. Betty feels disheartened when she finds out that she is significantly underrewarded at Bright Fires. From Betty's view in this situation, Meg is a(n)"
Answer:
External comparison
(occupational equity)
Explanation:
Motivation is commonly defined as a set of distinct energetic forces that occurs as a result of both within and outside an employee; start with work-related effort; and set its direction, intensity, and constancy.
Equity theory is simply a theory of motivation. It shows that motivation is based on an individual's views of his/her life and what happens in lives of other people.
comparison others
Based on the theory of equity, this is the act of viewing or examination our own efforts and results and them comparing them to the efforts and results of others people. Therefore we use the other individuals as a comparison other.
External comparison
Is simply defined as the act by which an individual or employee of a company is compared of himself or herself to an employee from another company . That is When an employee from another company is known as the "comparison other," .
Answer:
External competitor
Explanation:
External competitiveness can be described as a pay relationship that exists between two competitors. It is what an organization pays in comparison to what other organizations who are their competitors pay.
Meg is an external competitor because she works in a similar position as Betty in a different organization. So betty is comparing her pay in bright fires in relation to meg's pay in her organization
Sarafiny Corporation is in the process of preparing its annual budget. The following beginning and ending inventory levels are planned for the year. Beginning Inventory Ending Inventory Finished goods (units) 30,000 80,000 Raw material (grams) 60,000 50,000 Each unit of finished goods requires 3 grams of raw material. The company plans to sell 770,000 units during the year. How much of the raw material should the company purchase during the year
Answer:
See below
Explanation:
Raw materials purchased is computed as;
Raw material purchase = Ending inventory + required for production - beginning inventory
= 50,000 + ((80,000 + 770,000 - 30,000) × 3) - 60,000
= 50,000 + 2,460,000 - 60,000
= 2,450,000 grams
Marginal product is rev: 06_21_2018 Multiple Choice the amount an additional worker adds to the firm's total output. a worker's output multiplied by the price at which each unit can be sold. the output of the least skilled worker. the amount any given worker contributes to the firm's total revenue.
Answer:
the amount an additional worker adds to the firm's total output.
Explanation:
The marginal product of an input is the change in total output as a result of the change in output by 1 unit
For example, the table below is the total product of labour
amount of labour output
1 10
2 20
3 40
the marginal product of the 3rd worker = (40 - 20) / (3 - 2) = 20
marginal product of the second worker = (20 - 10) / (2 -1 ) = 10
Average output = total output / labour