Answer:
owww
Explanation:
Younes Inc. manufactures industrial components. One of its products, which is used in the construction of industrial air conditioners, is known as P06. Data concerning this product are given below: Per Unit Selling price $ 220 Direct materials $ 38 Direct labor $ 1 Variable manufacturing overhead $ 8 Fixed manufacturing overhead $ 16 Variable selling expense $ 4 Fixed selling and administrative expense $ 16 The above per unit data are based on annual production of 4,000 units of the component. Assume that direct labor is a variable cost. What is the current contribution margin per unit for component P06 based on its selling price of $220 and its annual production of 4,000 units
Answer:
Contribution margin= $169
Explanation:
First, we need to calculate the total unitary variable cost:
total unitary variable cost= direct material + direct labor + variable overhead + variable selling expense
total unitary variable cost= 38 + 1 + 8 + 4
total unitary variable cost= $51
Now, the contribution margin:
Contribution margin= 220 - 51
Contribution margin= $169
Data concerning Lemelin Corporation's single product appear below: Per Unit Percent of Sales Selling price $ 230 100 % Variable expenses 115 50 % Contribution margin $ 115 50 % The company is currently selling 7,000 units per month. Fixed expenses are $581,000 per month. The marketing manager would like to introduce sales commissions as an incentive for the sales staff. The marketing manager has proposed a commission of $20 per unit. In exchange, the sales staff would accept a decrease in their salaries of $113,000 per month. (This is the company's savings for the entire sales staff.) The marketing manager predicts that introducing this sales incentive would increase monthly sales by 300 units. What should be the overall effect on the company's monthly net operating income of this change
Answer:
Lemelin Corporation
The overall effect on the company's monthly net operating income of this change is an increase of $1,500.
Explanation:
a) Data and Calculations:
Sales units per month = 7,000
Fixed expenses per month = $581,000
Per Unit Percent of Sales
Selling price $ 230 100 %
Variable expenses 115 50 %
Contribution margin $ 115 50 %
Income Statements
Before Change After Change Difference
Sales unit 7,000 7,300 300
Sales revenue $1,610,000 $1,679,000 $69,000
Variable cost of sales 805,000 839,500 -34,500
Sales commission 0 146,000 -146,000
Contribution margin $805,000 $693,500 ($111,500)
Fixed expenses 581,000 468,000 113,000
Net operating income $224,000 $225,500 $1,500
If a monopoly charges higher prices to consumers who buy smaller quantities than to consumers who buy larger quantities, then
Answer:
Explanation:
Monopoly is the form of market in which the single market trading products and services are discussed and then the possibility of producing good economic profit is given. The monopoly is linked to the absence of a competitive scenario.
In large volumes, when the customer buys items, individuals are only impacted by the tiniest price fluctuation. Consumers who buy fewer amounts of items are, by contrast, subject to higher pricing as the smallest price changes do not much affect them. There is therefore increased demand price elasticity for customers who purchase bigger amounts of items.
Altitude, humidity, and temperature extremes are climatic features that affect the uses and functions of products and equipment.
A. True
B. False
Answer:
The correct answer is the option A: True.
Explanation:
To begin with, in the context of productivity inside businesses' organization it is very common actually to protect as much as possible the new products from the climate factors that can affect the use of the equipment inside the company and therefore to harm the production that could cause a waste of time or money in cases of repairment. Much worse would be the case in where the product that are meant to be sold to the customers are damaged because of the humidity or other factors regarding the topography of the place of where the company resides. So all those factors do in fact become a dangerous problem to have in mind if they're not taken care of.
According to the CAPM, what is the market risk premium given an expected return on a security of 18.7%, a stock beta of 1.3, and a risk-free interest rate of 7%
Answer: 9%
Explanation:
The market risk premium given an expected return on a security of 18.7%, a stock beta of 1.3, and a risk-free interest rate of 7% will be calculated as:
Expected return = risk free rate + Beta × market risk premium
= (18.7% - 7%)/1.3
= (0.187 - 0.07)/1.3
= 0.117/1.3
= 0.09
= 9%
The market risk premium is 9%.
An emerging industry is an industry in which a large number of small or medium-sized firms operate and no small set of firms has a dominant market share or creates dominant technologies
a. True
b. False
Answer: False
Explanation:
In an emerging market, there are only a few firms as the product is new and so has not been copied extensively yet. As a result, only a small set of firms are dominant in the market.
As the market grows and firms see that there is profit to be made, they will come into the market and this will increase the number of firms and reduce the dominance of the earlier firms.
ou invent of a new type of dog leash. You choose a market segmentation approach and decide to target the large national population of dog owners. After reviewing what identifies an ideal market you realize your segmentation approach does not meet any of the effective segmentation conditions. At this point you should:
Answer: refine your approach by going back to the drawing board
Explanation:
Based on the information given, since after reviewing what identifies an ideal market, it's realize that the segmentation approach does not meet any of the effective segmentation conditions, then one should refine their approach by going back to the drawing board.
When this is done, one can then restrategize and then choose a segmentation approach that meets the effective segmentation conditions.
A restaurant chain sponsors a charity that provides support to the parents of children being treated for cancer. How would the use of company funds for this purpose be justified by a business whose goal is to maximize profit
Answer: The money spent is worth the boost it gives to the corporate image
Explanation:
Corporate social responsibility gives companies a good image and can help a company improve its brand and revenue.
Since the restaurant chain sponsors a charity that provides support to the parents of children being treated for cancer, the use of the funds of the company will be justified when the money that's spent is worth the boost it gives to the corporate image.
Your goal is to have $10,000 in your bank account by the end of twelve years. If the interest rate remains constant at 9% and you want to make annual identical deposits, what amount will you have to deposit into your account at the end of each year to reach your goal
Answer:
Annual deposit= $496.51
Explanation:
Giving the following information:
Future value (FV)= $10,000
Interest rate (i)= 9%
Number of periods (n)= 12 years
To calculate the annual deposit, we need to use the following formula:
FV= {A*[(1+i)^n-1]}/i
A= annual deposit
Isolating A:
A= (FV*i)/{[(1+i)^n]-1}
A= (10,000*0.09) / [(1.09^12) - 1]
A= $496.51
Tyra loves to shop at her favorite store, Dollar Barrel, where she can find hundreds of items priced at exactly $1. Tyra has to spend and is thinking of going on a shopping spree at Dollar Barrel, but she is also thinking of investing her money.
a. Suppose the expected rate of inflation is % (so next year, everything at Dollar Barrel will cost $1.01) and Tyra can earn on money that she invests. Approximately what real rate of interest could Tyra earn if she invests her money? How many items can she buy at Dollar Barrel today, and how many can she buy a year from now if she invests her money and goes shopping later? What is the percentage increase in Tyra's purchasing power if she waits a year to go shopping? Compare your answer to the approximate real interest rate on Tyra's investment.
b. Now suppose that the expected inflation rate is % and Tyra can earn % on money that she invests over the year. What is the approximate real rate of interest that Tyra will earn? Calculate the number of items that Tyra could buy next year from Dollar Barrel if she invests her money? What is the percentage increase in her purchasing power if she waits a year to go shopping? Relate your answer back to Tyra's real rate of return.
Answer:
$40 will go towards Margaret shopping spree
Explanation:
examine the value of interactive leadership in the public sector and demonstrate its capacity to empower the followers
The correct answer to this open question is the following.
The value of interactive leadership in the public sector can be seen in the efficiency and effectiveness of the work done by the cabinet of the executive branch. Many different departments and public offices are managed using interactive leadership, informing employers of what needs to be done and the reason why.
Interactive leadership has the capacity to empower employers because it maintains open lines of communication, informing about key activities that need to be done, clarifying goals, establishing strategies, and facilitating the tools to perform and be effective.
The public sector is comprised of what is known as the bureaucracy, and in order to coordinate and lead this public sector, leaders have to properly interact with employers. These employers can openly and honestly express their concerns and opinions to the leader, who takes into consideration this input. The great advantage of using interacting leadership is that people know what is expected of them.
XYZ Corporation manufactures two models of office chairs, a standard and a deluxe model. The overhead costs for setups and components pools are $60,000 and $58,900, respectively. The following activity has been compiled: Number of Number of Number of Setups Components Direct Labor Hours Standard 11 6 295 Deluxe 29 13 205 Number of setups and number of components are identified as activity-cost drivers for overhead. Assuming an activity-based costing system is used, what is the total amount of overhead costs assigned to the deluxe model
Answer:
$83,800
Explanation:
Setup cost assigned to Deluxe model = Setup Overhead costs * Number of setups required for Deluxe model/Total Number of setups required
Setup cost assigned to Deluxe model = $60,000 * 29/40
Setup cost assigned to Deluxe model = $43,500
Setup cost assigned to Deluxe model = Component Overhead costs x Number of components required for Deluxe model/Total Number of components required
Setup cost assigned to Deluxe model = $58,900 * 13/19
Setup cost assigned to Deluxe model = $40,300
Total amount of overhead costs assigned to the deluxe model = Setup cost assigned to Deluxe model + Setup cost assigned to Deluxe model = $43,500 + $40,300 = $83,800.
You must complete parts 1, 2, 3, 4, 6, 7 and 8 before attempting to complete part 9. Part 5 is optional.
Journalize the closing entries. Then post the journal to the general ledger you created in part 1. Indicate closed accounts by inserting a line in both the balance columns opposite the closing entry. Insert the new balance in the owner's capital account.
If an amount box does not require an entry, leave it blank.
Answer:
Sales (Dr.) $45,000
Income Summary (Cr.) $45,000
Income summary (Dr.) $63,900
Advertising Expense (Cr.) $1,200
Rent expense (Cr.) $5,600
Office Supplies Cost (Cr.) $9,800
Insurance Expense (Cr.) $7,000
Sales Returns (Cr.) $2,900
Interest Expense (Cr.) $3,200
Cost of Goods sold (Cr.) $27,500
Selling and administrative expense (Cr.) $6,700
Income Summary (Dr.) $250,000
Capital investment (Cr.) $ 250,000
Explanation:
Closing entries are prepared to close business transactions that occurred during the month. These transactions are closed with a contra account of Income Summary. All debit balance are credited with a debit of Income summary account and vice versa. the temporary account balances are reset to zero after closing entries are passed.
Collins Corporation uses a predetermined overhead rate based on direct labor cost to apply manufacturing overhead to jobs. The following information applies to the Collins Corporation for the current year: Direct Labor-Hours: Estimated for the Year 24,000 Actual Hours Worked 19,500 Direct Labor Cost Estimated for the Year 300,000 Actual Cost Incurred 210,000 Manufacturing Overhead Estimated for the Year 240,000 Actual Cost Incurred 185,000 Beginning Balance Ending Balance Raw Materials 14,000 22,000 Work in Process 27,000 9,000 Finished Goods 62,000 77,000 The manufacturing overhead cost for the current year will be: a. $17,000 overallocated. b. $17,000 underallocated. c. $55,000 overallocated. d. $55,000 underallocated.
Answer:
b. $17,000 underallocated
Explanation:
Given the information above, the computation of manufacturing overhead cost for the current year is seen below;
First, we will compute the predetermined overhead cost
= Estimated manufacturing overhead / Estimated direct labor hour
discuss the benefits of considering a reservation in a restaurant.
Answer:
Another important benefit of making a reservation in the desired restaurant is the better quality of service one will receive. As the restaurant knows at what time and with how many people the customer will arrive, a comfortable table with enough seats and space will be reserved, and the restaurant's staff will be prepared to serve ...
Explanation:
The concept of leverage is that a.a high debt-to-equity ratio is favorable. b.it is appropriate to borrow if the return on the assets is greater than the cost of the financing. c.it is appropriate to borrow as long as the lender approves the loan. d.it is unfavorable to borrow funds rather than raise the capital from stockholders.
Answer:
b. it is appropriate to borrow if the return on the assets is greater than the cost of the financing.
Explanation:
A leverage can be defined as a process which typically involves the use of fixed-charged assets or items in a business with the intention of multiplying potential financial gains and returns.
In Financial accounting, the concept of leverage is that it is appropriate for a business firm to borrow an amount of money (debt), if the return on the assets (capital gain or income) is greater than the cost of the financing (debt or borrowed money).
Basically, financial leverage which is also known as trading on equity, is the utilization of debt (borrowed money) to acquire or purchase new assets with the intent and expectation that the income generated from these assets would exceed the cost incurred from borrowing. Thus, a business that engages in financial leveraging assumes that it would generate a higher income or capital gain from the amount of debt (borrowed money) used in its capital structure.
Big Blue University has a fiscal year that ends on June 30. The 2019 summer session of the university runs from June 7 through July 27. Total tuition paid by students for the summer session amounted to $111,000. Required: a. How much revenue should be reflected in the fiscal year ended June 30, 2019
Answer:
The amount of revenue that should be reflected in the fiscal year ended June 30, 2019 is $52,235.29.
Explanation:
Number of days from June 7 to June 30 = 30 - 6 = 24 days
Number of days from July 1 to July 27 = 27 days
Total number of days for the summer session = Number of days from June 7 to June 30 + Number of days from July 1 to July 27 = 24 + 27 = 51
Total tuition paid for the summer session = $111,000
Amount to be reflected in the fiscal year ended June 30 = (Number of days from June 7 to June 30 / Total number of days for the summer session) * Total tuition paid for the summer session = (24 / 51) * $111,000 = $52,235.29
Therefore, the amount of revenue that should be reflected in the fiscal year ended June 30, 2019 is $52,235.29.
In the world map the United States appears to be a large producer of oranges. Explain how the world map misrepresents the scale of production for the cultivation of oranges in the United States.
Answer:
The map misrepresents the scale of orange production in the United States, because even in the U.S. is an important orange producer, the map conveys the idea that the U.S. as a whole is a producer, when it only produces oranges in a few states, with almost the entirety of the production being located in Florida.
A more accurate map would clarify this in a textbox or a note, or would have the state of Florida colored in a way that highlights that the production of oranges in the U.S. comes almost exclusively from this state.
Choose all the scenarios below that would cause a decrease in the supply of labor in the agricultural industry.
a. More women are entering the workforce in all industries in the United States.
b. As the population in the United States ages, fewer workers have the physical ability to work in the industry.
c. As the economy expands, so does the need for janitors and cleaning staff employees, causing the wage for nonskilled workers in the cleaning industry to rise.
d. Due to global warming, working conditions on farms have become undesirable for more and more people.
e. The adoption of strict immigration laws reduces the number of legal and illegal immigrants in the United States.
f. There is an increase in the use of biofuels in the United States, which drives up the demand for corn and soybean crops.
g. The government passed a new plan to provide government-funded health care for all workers in the agricultural industry.
h. New machinery is replacing workers in the harvesting of crops.
Answer:
b. As the population in the United States ages, fewer workers have the physical ability to work in the industry.d. Due to global warming, working conditions on farms have become undesirable for more and more people.e. The adoption of strict immigration laws reduces the number of legal and illegal immigrants in the United States.h. New machinery is replacing workers in the harvesting of crops.Explanation:
With workers getting older and being unable to be as productive as they used to be, they will have to drop out of industries that require physical strength including farming. This will therefore reduce people working in agriculture.
With global warming having made working in the fields much more harsh, people are avoiding careers that would keep them outdoors including farming which has led to a drop in the labor supply for agriculture.
A significant portion of workers in agriculture are immigrants so when immigration laws limit the number of immigrants coming in, labor supply in agriculture will reduce.
New machinery reduces the need for workers in agriculture so the more they are bought, the less workers are needed. This will therefore directly reduce the number of people working in agriculture.
In most countries, contract and temporary employees are much more expensive to lay off than full-time employees.
A. True
B. False
Answer:
False
Explanation:
Your company sells over-the-counter sleep pills and has created the slogan "sleep better than a baby, sleep like a teenager." what element of strategy does this represent?
Answer: Targeting
Explanation:
Strategy refers to the integrated set of choices that managers consider when making decisions. With regards to the question above, the element of strategy that's used is the targeting strategy.
The targeting strategy is when the market is being segmented and the segments of the market tahts appropriate is then chosen aftee which product are then offered.
Compare and contrast different ways in which a taxpayer triggers a realization event by disposing of an asset.
Answer:
There are many ways a taxpayer can trigger a realization event. She can trigger it through a sale or trade by receiving a value greater than the disposed asset. She can also trigger a realization event by making a gift to charity. Other ways include disposal, for example, to a landfill and destruction through natural disaster. In the latter cases, there is a loss to the taxpayer. With a natural disaster, the taxpayer can only obtain a realization gain if reimbursed by the insurance company.
Explanation:
A realization event happens when there is a sale or a disposal of an asset or a discharge from a liability. There is usually an increase in the value realized from the disposal, which is greater than the asset's value before disposal. It also happens when the taxpayer receives a relief from a liability or completes a profitable transaction.
Vanessa and Martin file a joint return for 2020. They have one child age 12. They have combined AGI of $202,000. What is their maximum permitted contribution to a Coverdell Education Savings Account for 2019?
a. $0.
b. $800.
c. $1,200.
d. $2,000.
Answer:
Their maximum permitted contribution to a Coverdell Education Savings Account for 2019 is $1,200 that is Option c.
Explanation:
[tex]=\frac{202000-190000}{30000} \\= 0.40(2000)[/tex]
= $800 is disallowed.
So, $1200 is allowed.
mike has $200 in his wallet. He pays a cell phone bill of $89.50. Then he earns $125 shoveling driveways. From mike lends $15 to friend. That night he gets $20 in a card for his birthday. How much money does he have now?
Answer:
$240.50
Explanation:
200-89.50 = 110.50
110.50+125 = 235.50
235.50-15 = 220.50
220.50 + 20 = 240.50
When a sales representative wishes to sell an exempt security to an out of state customer, which statement is TRUE?
Answer: A. Both the broker-dealer and the registered representative must be registered in the state where the sale of the exempt security is going to be made
Explanation:
When a sales representative wishes to sell an exempt security to an out of state customer, it should be noted that both the broker-dealer and the registered representative must be registered in the state where the sale of the exempt security is going to be made.
It should be noted that when though the exempt securities aren't typically registered under the Federal law and the State law, the broker-dealers along with the sales employees must be registered unde the state law where the security is being offered.
The ending retained earnings balance of Juan's Mexican Restaurant chain increased by $6.9 million from the beginning of the year. The company declared a dividend of $2.4 million during the year. What was the amount of net income during the year
Answer:
the amount of net income during the year is $9.3 million
Explanation:
The computation of the net income is shown below:
= Increased in the retained earnings + dividend declared
= $6.9 million + $2.4 million
= $9.3 million
Hence, the amount of net income during the year is $9.3 million
The same should be considered and relevant
Your Company is considering a new project that will require $100,000 of new equipment at the start of the project. The equipment will have a depreciable life of 10 years and will be depreciated to a book value of $5,000 using straight-line depreciation. The cost of capital is 14%, and the firm's tax rate is 30%. Estimate the present value of the tax benefits from depreciation.
Answer:
14865.93
Explanation:
Calculation to Estimate the present value of the tax benefits from depreciation.
First step is to calculate the Annual depreciation expense
Annual depreciation expense = [100000 - 5000]/10
Annual depreciation expense = 9500
Second step is to calculate the Tax benefit
Tax benefit = 9500(.30)
Tax benefit = 2850
Now let calculate the PV of tax benefit
Using financial calculator
PMT = 2850
FV = 0
N = 10
i = 14
PV=?
Hence
PV = 14865.93
Therefore the present value of the tax benefits from depreciation is 14865.93
You accept a new job with a starting salary of $53,000. You receive a 4% raise at the start of your second year, a 5.5% raise at the start of your third year, and an 11.1% raise at the start of your fourth year. (Round your answers to two decimal places.)
Answer:
a. Salary for the second year:
Salary is to increase by 4% in second year.
= 53,000 * (1 + 4%)
= $55,120
b. Third year salary:
Second year salary will increase by 5.5%
= 55,120 * (1 + 5.5%)
= $58,151.60
c. Fourth year salary:
Third year salary to increase by 11.1%
= 58,151.60 * (1 + 11.1%)
= $64,606.43
Prepare a journal entry for the purchase of a truck on April 4 for $72,240, paying $5,900 cash and the remainder on account. Refer to the Chart of Accounts for exact wording of account titles.
JOURNAL
DATE DESCRIPTION POST. REF. DEBIT CREDIT
1
2
3
Answer:
Dr Truck $72,240
Cr Cash $5,900
Cr Accounts Payable $66,340
Explanation:
Preparation of the journal entry for the purchase of a truck on April 4
April 4
Dr Truck $72,240
Cr Cash $5,900
Cr Accounts Payable $66,340
($72,240 - $5,900)
(To record purchase of truck)
when restrictive government polocoes do not exist or when industries become deregulated, ther _ of entry is high.
Answer: threat
Explanation:
When restrictive government policies don't exist or when the industries become deregulated, then the threat of entry is high.
It should be noted that when there's entry of new competitors in an industry that offers same goods or services, then the competitive position of the company will be at risk. Therefore, the threat of new entrants refers to the ability of new companies to enter into an industry.
In such case, since there's no restriction of government policies, then the threat of entry will be high.
