Answer:
total material costs to account for/equivalent units for materials
Explanation:
The formula to calculate the material cost per equivalent unit is given below:
= Total material cost ÷ material equivalent units
It means that if we divide the total material cost by the material equivalent unit so we can ge the material cost per equivalent unit
Hence, the above should be the answer
Journalize the following sales transactions for Antique Mall. Explanations are not required. The company estimates sales returns at the end of each month.
Jan. 4 Sold $14,000 of antiques on account, credit terms are n/30. Cost of goods is $7,000.
8 Received a $400 sales return on damaged goods from the customer. Cost of goods damaged is $150.
13 Antique Mall received payment from the customer on the amount due from Jan. 4, less the return.
20 Sold $4,900 of antiques on account, credit terms are 1/10, n/45, FOB destination. Cost of goods is $2,450.
20 Antique Mall paid $70 on freight out.
29 Received payment from the customer on the amount due from Jan. 20, less the discount.
Answer:
Antique Mall
Journal Entries:
Jan. 4 Debit Accounts Receivable $14,000
Credit Sales Revenue $14,000
credit terms are n/30.
Debit Cost of goods sold $7,000
Credit Inventory $7,000
Jan. 8 Debit Sales Returns $400
Credit Accounts Receivable $400
Debit Damaged Goods $150
Credit Cost of goods sold $150
Jan. 13 Debit Cash $13,600
Credit Accounts Receivable $13,600
Jan. 20 Debit Accounts Receivable $4,900
Credit Sales Revenue $4,900
credit terms are 1/10, n/45, FOB destination.
Debit Cost of goods sold $2,450
Credit Inventory $2,450
Jan. 20 Debit Freight-out Expense $70
Credit Cash $70
Jan. 29 Debit Cash $4,851
Debit Cash Discounts $49
Credit Accounts Receivable $4,900
Explanation:
a) Data and Analysis:
Jan. 4 Accounts Receivable $14,000 Sales Revenue $14,000
credit terms are n/30.
Cost of goods sold $7,000 Inventory $7,000
Jan. 8 Sales Returns $400 Accounts Receivable $400
Damaged Goods $150 Cost of goods sold $150
Jan. 13 Cash $13,600 Accounts Receivable $13,600
Jan. 20 Accounts Receivable $4,900 Sales Revenue $4,900
credit terms are 1/10, n/45, FOB destination.
Cost of goods sold $2,450 Inventory $2,450
Jan. 20 Freight-out Expense $70 Cash $70
Jan. 29 Cash $4,851 Cash Discounts $49 Accounts Receivable $4,900
1. Inventory that consists of the costs of the direct and indirect materials that have not yet entered the manufacturing process is known as ________. work in process inventory materials inventory finished goods inventory None of these choices are correct.
Answer:
materials inventory
Explanation:
An inventory is a term used to describe a list of finished goods, goods still in the production line and raw materials that would be used for the manufacturing of more goods in a bid to meet the unending consumer demands.
Basically, an inventory can be classified into three (3) main categories and these are; finished goods, work in progress, and raw materials.
An inventory is recorded as a current asset on the balance sheet because it's primarily the most important source of revenue for a business entity.
Generally, the three (3) main cost concept associated with an inventory include;
1. First In First Out (FIFO).
2. Last In First Out (LIFO).
3. Weighted average cost.
In Financial accounting, direct cost can be defined as any expense which can easily be connected to a specific cost object such as a department, project or product. Some examples of direct costs are cost of raw materials, machineries or equipments.
On the other hand, any cost associated with the running, operations and maintenance of a company refers to indirect costs. Some examples of indirect costs are utility bill, office accessories, diesel etc.
Materials inventory can be defined as an inventory that comprises of direct and indirect materials costs which have not been used in a manufacturing process.
9. Suppose Betty saves $200 each month in her 401(k) account. How much less will her monthly take-home pay be than if she saved nothing? (Assume a combined 20% state and federal income tax rate.)
Answer:
$160
Explanation:
The way 401(k) savings work is that employees can save from their earnings before tax is deducted, which means that on the $200 saved no tax is deducted, hence, the take of the employee reduces by $200
When there are savings, a tax of 20% would have been deducted from the $200, as a result, the employee would be left with $160($200-($200*20%)), which means that take-home would reduce by $40, the amount tax deducted.
The reduction in take-home=$200-$40
The reduction in take-home=$160
Wagner Assets Management Group holds 3 stocks in their investment portfolio. The amount of the investment and beta of each stock is listed below.
Stock Investment Beta
A $ 200,000 1.50
B 300,000 ??
C 500,000 1.20
If the beta of the portfolio is 0.75, what is the beta of stock B?
Answer:
-0.5
Explanation:
Stock Investment (W) Beta (B) W*B
A 200,000 1.50 300,000
B 300,000 X 300,000X
C 500,000 1.20 600,00
1,000,000 900,000+300,000X
Using the formula of Beta of Portfolio to find out X
0.75 = 900,000 + 300,000X / 1,000,000
0.75 * 1,000,000 = 900,000 + 300,000X
750,000 = 900,000 + 300,000X
750,000 - 900,000 = 300,000X
-150,000 = 300,000X
X = -150,000 / 300,000
X = -0.5
So, the beta of stock B is -0.5.
Suppose velocity is constant, but real GDP is not independent of the money supply. If this is the case, a 10 percent increase in the money supply will:
Answer: d. have an unpredictable effect on inflation.
Explanation:
Changes in money supply affect inflation with an increase in money supply causing inflation to rise and a decrease calling inflation to fall. Real GDP is supposed to be independent of the money supply as it is not meant to be affected by inflation.
If a situation arises where real GDP is not actually independent of the money supply then that means that it is not independent of inflation either. Should the money supply therefore rise, the effect on the prices of goods and services (real GDP) in the economy will be unpredictable as it might go either way.
1. A certain family has a car loan of $24,623 with a local bank. Because of this loan balance the family would classified as a: demander of loanable funds deficit savings unit deficit budget unit all of the above none of the above
Answer: None of the above
Explanation:
The deficit spending unit is used in describing a scenario when an economy, the household or firm, has spent more than it earned for a particular period of time.
Since the family has a car loan of $24,623 with a local bank, thus means that they spent more than they earned and therefore took loans and are a deficit spending unit.
Since the option isn't given, the correct option is None of the above.
An accounting system that provides information that management can use to evaluate the performance of a department's activities is a:______.
A. Service accounting system.
B. Standard accounting system.
C. Revenue accounting system.
D. Departmental accounting system.
E. Cost accounting system.
Answer: D. Departmental accounting system.
Explanation:
As the term implies, Departmental accounting system engages in accounting for individual departments. The financial information of the department of interest will be recorded as well as other activities.
Management will then use this information to analyze and understand how well the department is doing. The information will also tell them if the department is being cost efficient and profitable.
RSTN Co. produces its product through two sequential processing departments. Direct materials and conversion are added to the product evenly throughout the process. The company uses monthly reporting periods for its process costing system. During October, the company finished and transferred 150,000 units of its product to Department 2. Of these units, 30,000 were in process at the beginning of the month and 120,000 were started and completed during the month. The beginning work in process inventory was 30% complete. At the end of the month, the work in process inventory consisted of 20,000 units that were 80% complete.
Required:
Compute the number of equivalent units of production for October. Use the FIFO method.
Answer:
RSTN Co.
The number of equivalent units of production for October are:
Materials Conversion
Equivalent units of production 140,000 157,000
Explanation:
a) Data and Calculations
Units Materials Conversion
Beginning work in process 30,000 100% 30%
Units started and completed 120,000 100% 100%
Ending work in process 20,000 100% 80%
Equivalent units using FIFO method:
Units Materials Conversion
Beginning work in process 30,000 0 (0%) 21,000 (70%)
Units started and completed 120,000 120,000 (100%) 120,000 (100%)
Ending work in process 20,000 20,000 (100%) 16,000 (80%)
Equivalent units of production 140,000 157,000
A company's gross profit (or gross margin) was $110,180 and its net sales were $439,300. Its gross margin ratio is: A. 74.9%. B. 8.4%. C. $110,180.00 D. 25.1%. E. $329,120.00
Answer:
D
Explanation:
Gross profit margin is an example of a profitability ratio.
profitability ratios measures the efficiency with which a company generates profit from its asset
Gross profit margin measures the return on sales
Gross profit margin = gross profit / net sales
$110,180 / $439,300 = 25.1%
Felix's profit is maximized when he produces teddy bears. When he does this, the marginal cost of the last teddy bear he produces is $ , which is than the price Felix receives for each teddy bear he sells. The marginal cost of producing an additional teddy bear (that is, one more teddy bear than would maximize his profit) is $ , which is than the price Felix receives for each teddy bear he sells. Therefore, Felix's profit-maximizing quantity corresponds to the intersection of the curves. Because Felix is a price taker, this last condition can also be written as .
Why the mode of pollination in maize is cross-pollination? Why it is important to cover the ear shoot with a butter paper bag before the emergence of silks? What could be the consequences if a few silks emerge before bagging? (Marks4)
Answer:
Its advisable to cover the ears as shot may enters or fly in air.
Explanation:
The cross-pollination is a type of pollination n which the sperm-laden pollen is a transfer from one cone of flower of one plant. This created flowering in plants. Wheat is a self-pollinated crop and for cross foliation to take place what florets must be opened. This is done to allow for genetic diversity and is only available for short peroid of time. Once the skills are viable they make already to be contaminated with foreign pollen and its vital that ears are bagged before the process. As the consequences could be that pollen might fly away.Herman Company has three products in its ending inventory. Specific per unit data at the end of the year for each of the products are as follows: Product 1 Product 2 Product 3 Cost $ 35 $ 105 $ 65 Selling price 85 165 115 Costs to sell 8 70 25 Required: What unit values should Herman use for each of its products when applying the lower of cost or net realizable value (LCNRV) rule to ending inventory
Answer:
Cost Selling Price Costs to Sell NRV Inventory value
A B C D=(B-C) E=(lowerof A&D)
Product 1 35 85 8 77 35
Product 2 105 165 70 95 95
Product 3 65 115 25 90 65
If the dollar contribution margin per unit is increased by 8%, total fixed expenses is decreased by 18%, and all other factors remain the same, net operating income will:
Answer:
Increase
Explanation:
Since the Contribution increased and Fixed Costs have decreased, the resulting effect is an Increase in Net Operating Income. Thus, all other factors remain the same, net operating income will: Increase
[The following information applies to the questions displayed below.] Pacific Ink had beginning work-in-process inventory of $744,960 on October 1. Of this amount, $304,920 was the cost of direct materials and $440,040 was the cost of conversion. The 48,000 units in the beginning inventory were 30 percent complete with respect to both direct materials and conversion costs. During October, 102,000 units were transferred out and 30,000 remained in ending inventory. The units in ending inventory were 80 percent complete with respect to direct materials and 40 percent complete with respect to conversion costs. Costs incurred during the period amounted to $2,343,600 for direct materials and $3,027,840 for conversion.
Required:
a. Compute the equivalent units for the materials and conversion cost calculations.
b. Compute the cost per equivalent unit for direct materials and for conversion costs using the weighted-average method.
Answer:
Pacific Ink
a. The equivalent units for materials and conversion costs are:
Materials Conversion
Equivalents units 126,000 114,000
b. The cost per equivalent unit for direct materials and for conversion costs using the weighted-average method are:
Cost per equivalent unit $21.02 $30.42
Explanation:
a) Data and Calculations:
Materials Conversion Total
Work in process, Oct. 1 $304,920 $440,040 $744,960
Costs incurred in October 2,343,600 3,027,840 5,371,440
Total costs of production $2,648,520 $3,467,880 $6,116,400
Units:
Work in process, Oct. 1 48,000 (30%) 48,000 (30%)
Units transferred out 102,000 (100%) 102,000 (100%)
Work in process, Oct. 31 30,000 (80%) 30,000 (40%)
Equivalent units of production:
Units transferred out 102,000 (100%) 102,000 (100%)
Work in process, Oct. 31 24,000 (80%) 12,000 (40%)
Total equivalent units 126,000 114,000
Cost per equivalent units:
Total costs of production $2,648,520 $3,467,880 $6,116,400
Total equivalent units 126,000 114,000
Cost per equivalent unit $21.02 $30.42
The increase or decrease in owner's equity is reported on the
O A income statement.
B statement of owner's equity.
C balance sheet.
D All of the above
Accounting
Answer:
B
Explanation:
Owners equity also known as the Statement of Changes in Owner's Equity is an example of a financial statement. It records the owners equity and changes to the owners equity during a financial year.
A balance sheet is a financial statement that reports a company's assets, liabilities and shareholders' equity at a point in time.
The income statement records a company's income and expenses in a financial year. It is used for determining if a company is earning a profit or a loss
A firm has taxes of $2,000, interest expense of $1,000, EBIT of $7,500, common stock dividends of $1,500, and preferred dividends of $1,200. What is the profit margin if sales are $22,000
Answer:
the profit margin is 15%
Explanation:
The computation of the profit margin is shown below:
= (EBIT - interest - taxes - preferred dividend) ÷ Sales
= ($7,500 - $1,000 - $2,000 - $1,200) ÷ $22,000
= $3,300 ÷ $22,000
= 15%
Hence, the profit margin is 15%
Basically the above formula should be applied for the same
As the number of people holding college degrees increases, assuming the demand for college educated labor stays constant, the wages of college educated people would
Answer:
decrease
Explanation:
An increase in the supply of people with college degrees would lead to a rightward shift of the supply curve. This leads to a decrease in equilibrium wages and an increase in labour
The Down and Out Co. just issued a dividend of $2.91 per share on its common stock. The company is expected to maintain a constant 6 percent growth rate in its dividends indefinitely. If the stock sells for $35 a share, what is the company's cost of equity?
Answer:
14.81%
Explanation:
Cost of equity = (Dividend for next period / Current price) + Growth rate
Cost of equity = (($2.91*1.06) / $35) + 0.06
Cost of equity = $3.0846/$35 + 0.06
Cost of equity = 0.08813143 + 0.06
Cost of equity = 0.14813143
Cost of equity = 14.81%
Bond X is a premium bond making semiannual payments. The bond pays a coupon rate of 6.8 percent, has a YTM of 6.2 percent, and has 13 years to maturity. Bond Y is a discount bond making semiannual payments. This bond pays a coupon rate of 6.2 percent, has a YTM of 6.8 percent, and also has 13 years to maturity. The bonds have a par value of $1,000. What is the price of each bond today
Answer:
Bond X $1,053.02
Bond Y $948.76
Explanation:
The bond price is the present value of all future cash flows(all semiannual coupons and face value) discounted at the semiannual yield to maturity since coupons are expected semiannually.
Using a financial calculator bearing in mind that the calculator would be set to its default end mode before making the following inputs:
Bond X:
N=26(semiannual coupons in 13 years=13*2=26)
PMT=34(seminnual coupon=$1000*6.8%/2=$34)
I/Y=3.10(semiannual yield to maturity=6.2%/=3.10%)
FV=1000(the face value is $1000)
CPT
PV=$1,053.02
Bond Y:
N=26(semiannual coupons in 13 years=13*2=26)
PMT=31(seminnual coupon=$1000*6.2%/2=$31)
I/Y=3.40(semiannual yield to maturity=6.8%/=3.40%)
FV=1000(the face value is $1000)
CPT
PV=$948.76
Project 1 requires an original investment of $125,000. The project will yield cash flows of $50,000 per year for 10 years. Project 2 has a computed net present value of $135,000 over an eight-year life. Project 1 could be sold at the end of eight years for a price of $8,000. (a) Using the present value tables in Exhibits 2 and 5, determine the net present value of Project 1 over an eight-year life, with residual value, assuming
Answer: $126,613
Explanation:
Net Present value of Project A is:
= Present value of $50,000 annuity + Present value of residual value - Initial investment
Present value of $50,000 annuity:
= 50,000 * ( 1 - ( 1 + rate)^-number of periods) / rate
= 50,000 * ( 1 - ( 1 + 12%) ⁻⁸) / 12%
= $248,382
Present value of residual value:
= 8,000 / ( 1 + 12%)⁸
= $3,231
Net present value
= 248,382 + 3,231 - 125,000
= $126,613
Which of the following has the greatest impact on how long an employee stays with an organization and how productive the employee is while there?
a. The employee's coworkers
b. The employee's relationship with their immediate manager
c. How much the employee is paid
d. Promotion opportunities
Answer: The employee's relationship with their immediate manager.
Explanation:
Despite the fact that the options given have an effect on how long an employee will stay in an organization, the greatest impact will be the employee's relationship with their immediate manager.
When a worker has a bad relationship with their immediate manager, this beings about disruption in communication and there won't be a cordial relationship with the manager. This affects the worker and can lead to the worker finding another job.
MC Qu. 98 At the beginning of the recent... At the beginning of the recent period, there were 1,470 units of product in a department, 35% completed. These units were finished and an additional 6,900 units were started and completed during the period. 1,560 units were still in process at the end of the period, 25% completed. Using the weighted average method, the equivalent units produced by the department were:
Answer:
Using the weighted average method, the equivalent units produced by the department were:
= 8,760 units.
Explanation:
a) Data and Calculations:
Units Conversion
Ending inventory 1,560
Units completed 8,370
Units available 9,930
Beginning inventory 1,470 35%
Additional units started 8,460
Equivalent units of production:
Units completed 8,370 8,370 (100%)
Ending inventory 1,560 390 (25%)
Equivalent units of production 8,760
Quantity (Units) Private Value (Dollars) Private Cost (Dollars) External Cost (Dollars)
1 46 21 6
2 44 24 6
3 42 27 6
4 40 30 6
5 38 33 6
6 36 36 6
7 34 39 6
The table represents a market in which:
a. there is no externality
b. there is a positive externality.
c. there is a negative externality.
d. The answer cannot be determined from inspection of the table.
Answer:
c. there is a negative externality.
Explanation:
At the time when one individual actions develops the benefits for others but at the same time they dont pay so it is to be known as positive externality
At the time when one individual action develops loss but the other who received the loss because of the action of the person so for this they didnt get the compensation so it is the negative externality
As we can see that there is three types of values so the correct option is c.
On January 1, a machine with a useful life of 5 years and a salvage value of $15000 was purchased for $115000. What is the depreciation expense for year 2 under straight-line depreciation
Answer:
Annual depreciation (year 2)= $20,000
Explanation:
Giving the following information:
Purchase price= $115,000
Salvage value= $15,000
Useful life= 5 years
To calculate the annual depreciation under the straight-line method, we need to use the following formula:
Annual depreciation= (original cost - salvage value)/estimated life (years)
Annual depreciation= (115,000 - 15,000) / 5
Annual depreciation= $20,000
On November 1st, Neiman Marcus at the Florida Mall signed a $100,000, 2%, eight-month note payable with all of the principal and interest due at maturity eight months later on July 1. Neiman Marcus' Store at Florida Mall should report interest payable at (year-end) December 31, in the amount of:
Viviano Corporation issued a new bond, and hired your bank as its underwriter. In an upcoming talk with its CFO, you are expected to explain the effect of market interest rate. An increase in the market rate of interest will have which one of the following effects on this bond?
a. increase the coupon rate
b. decrease the coupon rate
c. increase the market price
d. decrease the market price
e. increase the time period
Answer: d. decrease the market price
Explanation:
Interest rates and the prices of bonds are negatively correlated as one increasing means that the other is decreasing.
The reason is this: when market interest rates rise, investors will move away from bonds to other investments because bonds offer a fixed payment and so will be less attractive than other investments which would be offering higher returns based on the higher market rates.
The drop in demand for bonds will lead to their prices falling as per the rules of demand and supply.
However, similar to bonds, preferred stockholders receive a fixed payment—their dividend—before the company’s residual earnings are paid out to its common stockholders and, as with common stock, preferred stockholders can benefit from an appreciation in the value of the firm’s stock securities. Consider the following case of Wellington Industries: Wellington Industries pays an annual dividend rate of 8.00% on its preferred stock that currently returns 10.72% and has a par value of $100.00 per share. What is the value of Wellington’s preferred stock?
Answer: $74.63
Explanation:
Preferred shares are treated like perpetuities which means that the value is:
= Annual dividend/required return
Annual dividend:
= Dividend rate * Par value
= 8% * 100
= $8.00
Value of share = 8 / 10.72%
= $74.6269
= $74.63
The second step in developing a Performance Measurement Baseline (PMB) is to: Define and scope the work Schedule the work Prepare the Integrated Program Management Report (IPMR) Budget the work
Answer:
The second step in developing a Performance Measurement Baseline (PMB) is to:
Schedule the work.
Explanation:
After determining the goal and deliverables of the project, the scope baseline is created using the scope statement, the work breakdown structure and dictionary. These documents require stakeholders approval. Then, the second step is to determine the sequence of activities, estimate the durations of activities, and determine the resource needs of the scheduled activities.
A sole proprietorship is: Select one: A. the easiest type of business to set up B. the least profitable type of business to set up C. the most expensive type of business to set up D. the most difficult type of business to set up.
Answer:
it is an easiest type of business to set up because it requires small capital to start but has many disadvantages such as bearing all the risks alone.etc
Lil Uzi Vert or Gunna?
Answer:
Lil uzi
Explanation:
