A productivity index of 110% means that a company’s labor costs would have been 10% higher if it had not made production improvements. Now refer to the Income Statement in Chester's Annual Report. The direct labor costs for Chester were $32,680. These labor costs could have been $20,000 higher if investments in training that increased productivity had not been made. What was the productivity index for Chester that led to such savings?
Answers
Answer: 161.1%
Explanation:
Given that,
Direct labor costs for Chester = $32,680
Labor costs could have been $20,000 higher
Productivity index shows the ratio between the labor costs with improvements and labor costs without improvement in production.
Productivity Index =
=
= 161.1%
Final answer:
The productivity index for Chester, which measures the savings in labor costs due to productivity improvements, is approximately 62.06%. This suggests that, without the investments in training, Chester's labor costs would have been about 38% higher.
Explanation:
In order to calculate the productivity index for Chester, we need to understand that the productivity index essentially measures the savings in labor costs resulting from production improvements, expressed as a percentage. In this particular case, Chester was able to save $20,000 in labor costs due to investments in productivity-enhancing training.
The original direct labor costs for Chester was $32,680. Had Chester not made any productivity improvements, the labor costs would have been $32,680 plus an additional $20,000, for a total of $52,680. Therefore, the productivity index is calculated by dividing the original labor cost by what the labor cost would have been without the productivity improvements, and multiplying by 100, as follows: ($32,680 / $52,680) * 100. This equation gives a productivity index of approximately 62.06%. This means that Chester's labor costs would have been approximately 38% higher without the productivity improvements.
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Answer:
Penguin has liability, he intentionally hit Batman.
Batman is the instrumentation
Batman could sue Penguin for battery because there was an offensive touching
Explanation: Liability is a term used to describe a loss or a cost or something that does not lead to the generation of income or a positive result or outcome.
THE BATTERY OF BATMAN IS A LIABILITY TO PENGIUN AS IT COULD LEAD TO A LAW SUIT THAT CAN CAUSE HIM SOME FINANCIAL EXPENSES.
Battery is a legal term used to describe any unwanted touch of another by an Aggressor, which can lead to an injury to the person being battered.
Answers
Answer
The answer and procedures of the exercise are attached in the following archives.
Explanation
You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.
Final answer:
The diluted earnings per share for Garfun, Inc. considering the income and preferred dividends, the income from Simon, Inc. given the tax rate, and the potentially diluted convertible bonds from Simon, Inc., it comes out to be $6.58.
Explanation:
Calculating diluted earnings per share (EPS) involves accounting for any securities or methods that could potentially dilute the EPS, such cy as convertible bonds. In this scenario for Garfun, Inc., first, we need to address Garfun's net income (exclusive of investment income). This is given as $480,000. However, they pay preferred dividends of $15,000, which are subtracted from net income when calculating EPS, so we’ll use $465,000 as the income available to common stockholders.
Moving on to Simon, Inc., as Garfun owns all of the stock of Simon, the earnings of Simon will fully contribute to the diluted earnings of Garfun. Taking the reported net income of Simon ($290,000) and adjusting for the 30% tax rate, we get $203,000.
Furthermore, the potentially dilutive securities are the convertible bonds from Simon, Inc. These bonds can be converted into 30,000 shares of common stock ($100 bonds * 3). The interest paid for these convertible bonds, $80,000, is added back to the net income after being adjusted for the tax rate of 30% which is $56,000.
The total of earnings available for common stockholders for the diluted EPS calculation is, therefore $724,000 ($465,000 of Garfun’s net income + $203,000 of Simon’s net income + $56,000 interest on Simon’s bonds adjusted for tax). We also need to account for all the common stocks where earnings will be distributed. This amounts to 110,000 shares (80,000 of Garfun’s shares + 30,000 shares of Simon’s bonds). Hence, the diluted EPS is $6.58 ($724,000 / 110,000).
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Answers
Answer:
1)They would prefer to make shorts as contribution margin per unit is higher for shorts
Explanation:
Step 1. Given information.
- Sales price shirts is $24
- Variable costs shirts is $10
- Sales price shorts $32
- Variable costs shorts $17
Step 2. Formulas needed to solve the exercise
Contribution margin = sales price - variable cost
Step 3. Calculation.
Contribution margin shirts = 24 - 10 = 14
Contribution margin shorts = 32 - 17 = 15
Step 4. Solution.
Contribution margin shorts > Contribution margin shirts
Answers
Answer:
Answer for the question :
Joan is a single individual who works for Big Petroleum, Inc. During all of 2019, she is stationed in West Africa. She pays West African taxes of $20,000 on her Big Petroleum salary of $92,000. Her taxable income without considering her salary from Big is $36,000. How should Joan treat the salary she receives from Big Petroleum on her 2019 U.S. tax return?
is explained in attachment.
Explanation:
See attachment for detailed answer.
Final answer:
Joan should count both her local and Big Petroleum incomes but can use the Foreign Earned Income Exclusion for the latter. She can also claim a foreign tax credit for the taxes she paid in West Africa.
Explanation:
In the case of Joan and her 2019 U.S. tax return, she must declare the total income she earned in that year, including her salary from Big Petroleum, Inc., which was earned while she was stationed in West Africa. Still, due to U.S. tax laws, Joan can claim a Foreign Earned Income Exclusion (FEIE).
The FEIE for 2019 allows U.S. citizens or residents who live outside the U.S. to exclude up to $105,900 in foreign earned income. Therefore, Joan, who made $92,000 in West Africa, can exclude this amount from her taxable income because it is less than the FEIE limit.
However, she should remember to include the remaining $36,000 she made outside her Big Petroleum salary in her U.S. taxable income. The West African taxes Joan paid do not directly influence her U.S. taxable income but could potentially be claimed as a foreign tax credit to avoid double taxation.
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Variable expenses 265,200
Contribution margin 136,000
Fixed expenses 103,500
Net operating income $32,500
If the company sells 6,700 units, its net operating income should be closest to:
a. $31,979
b. $32,500
c. $28,000
d. $30,500
Answers
Answer:
Option (d) is correct.
Explanation:
Contribution margin per unit:
= Contribution margin ÷ No. of units sold
= 136,000 ÷ 6,800
= $20 per unit
If the company sells 6,700 units, then
Net operating income:
= Contribution margin - Fixed expenses
= (6,700 units × $20 per unit) - $103,500
= $134,000 - $103,500
= $30,500
Therefore, the net operating income of this company is closest to $30,500.
Answers
Answer:
cash 900,000,000 debit
common stock 50,000,000 credit
additional paid-in 850,000,000 credit
--- Jan 9th issuance ---
Equipment 81,000 debit
Common Stock 4,500 credit
Addtional paid-in 76,500 credit
--- March 11th issuance ---
Equity at end of Year 1:
common stock 50,004,500 credit
additional paid-in 850,076,500 credit
Explanation:
cash proceeds: 50 millions x 18 dolllars = 900 millions
face value: 50 millions x 1 dollars = 50 million
additional paid-in 850 millions
Equipment: 4,500 x 18 = 81,000
face value 4,500 x 1 = 4,500
addiional 76,500
Equity at year-end will be the sum of both
Final answer:
The appropriate journal entries for the transactions related to shareholders' equity are provided for the first and second year of operations.
Explanation:
To record the transactions related to shareholders' equity for the first year of operations, the appropriate journal entries are as follows:
- January 9: Debit Cash for $900,000,000 and Credit Common Stock for $50,000,000 and Paid-in Capital in Excess of Par for $850,000,000
- March 11: Debit Custom-Made Equipment for $81,000 and Credit Common Stock for $81,000
For the second year of operations, the journal entries recorded by the new staff accountant are:
- January 12: Debit Land for $5,000,000 and Credit Paid-in Capital—Donation of Land for $5,000,000
- September 1: Debit Common Stock for $2,000,000, Debit Retained Earnings for $44,000,000, and Credit Cash for $46,000,000
- December 1: Debit Cash for $24,000,000, Credit Common Stock for $1,000,000, and Credit Gain on Sale of Previously Issued Shares for $23,000,000
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