The following data relates to Mangini Company's estimated amounts for next year. Estimated: Department 1 Department 2
Manufacturing overhead costs $320,000 $400,000
Direct labor hours 65,000 DLH 75,000 DLH
Machine hours 2,000 MH 2,500 MH
Required:
a. What is the company's plantwide overhead rate if machine hours are the allocation base? (Round your answer to two decimal places.)
Answers
Answer:
$160.00 per machine hour
Explanation:
The plant-wide (blanket ) overhead absorption rate is calculated as follows:
Plant-wide OAR=
Total overheads of all the production departments/ Total machine hours
Plant-wide OAR = $(320,000 + 400,000)/(2,000+2,500) machine hours
=$160.00 per machine hour
Related Questions
In preparing a statement of cash flows using the indirectmethod, the Depreciation Expense ________. A. is shown as a negative cash flow under operating activitiesB. is added back as an adjustment to Net Income in the operating activities sectionC. is added back to Purchases of Plant Assets under investing activitiesD. is shown as a negative cash flow in the investing activities section
QS 20-26A Merchandising: Cash payments for merchandise LO P4 Garda purchased $610,000 of merchandise in August and expects to purchase $730,000 in September. Merchandise purchases are paid as follows: 30% in the month of purchase and 70% in the following month. Compute cash payments for merchandise for September.
Heitger Company is a job-order costing firm that uses activity-based costing to apply overhead to jobs. Heitger identified three overhead activities and related drivers. Budgeted information or the year is as follows:Activity Cost Driver Amount of DriverMaterials handling $72,000 Number of moves 3,000Engineering 165,000 Number of change orders 10,000Other overhead 280,000 Direct labor hours 50,000Heitger worked on four jobs in July. Data are as follows:Job 13-43 Job 13-44 Job 13-45 Job 13-46Beginning balance $20,300 $19,800 $2,300 $0Direct materials $6,500 $8,900 $12,700 $9,800Direct labor cost $18,000 $20,000 $32,000 $2,400Number of moves 44 52 29 5Number of change orders 30 40 20 20Direct labor hours 900 1,000 1,600 120By July 31, Jobs 13-43 and 13-44 were completed and sold. Jobs 13-45 and 13-46 were still in process.Required:1. Calculate the activity rates for each of the three overhead activities.2. Prepare job-order cost sheets for each job showing all costs through July 31.3. Calculate the balance in Work in Process on July 31.4. Calculate the cost of goods sold for July.5. What if Job 13-46 required no engineering change orders? What is the new cost of Job 13-46? How would the cost of other jobs be affected?
The following data apply to Grullon-Ikenberry Inc. (GII): Value of operations $1,000, Short-term investments $100, Debt $300, Number of shares 100; The company plans on distributing $50 million as dividend payments. What will the intrinsic per share stock price be immediately after the distribution?pital-budget-850-000-wants-maintain-target-capital-structure-35-debt-65--q3670174
Answers
Answer:
(A) The gains of the consumers from buying imports at the low price subsidized by foreign governments would exceed the losses of domestic producers. - The Unfair-Competition Argument
Some Governments subsidise production for their companies which means that their companies are able to sell goods cheaper than the producers in the countries they export to. This is considered Unfair competition.
B) Companies may exaggerate the degree to which their products are essential to national defense in order to obtain protection from foreign competition at the expense of consumers. - National-Security Argument
Some goods produced by domestic producers need to be protected for national defense purposes and sometimes some of these producers exaggerate the importance of their goods so that the Government can protect them from foreign competition thus enabling them to charge consumers higher prices.
(C) The country may be forced into deciding between implementing trade restrictions as threatened, which would make the society as a whole worse off, or backing down on its own threat, which would cause it to lose credibility in foreign affairs. - The Protection-as-a-Bargaining-Chip Argument
Sometimes a country might threaten to impose restrictions for instance the United States on China which would make things more expensive for Americans and if they do not then it would look like China won the argument which would make the US lose face.
(D) Opening up to free trade may impose hardship on some workers in the short run, but it also creates jobs in industries in which the country has a comparative advantage and enables the country as a whole to enjoy a higher standard of living. - The Jobs Argument
David Ricardo's Comparative Advantage principle believes that free trade will lead to more jobs in the country because the country will be able to properly harness those goods it is better at producing.
The given rebuttals address the Unfair-Competition Argument, the National-Security Argument, the Protection-as-a-Bargaining-Chip Argument, and the Jobs Argument in the debate over Restricting trade.
In this question, the student is asked to identify which arguments for restricting trade each of the given rebuttals is directed against. Here are the answers:
- (A) The gains of the consumers from buying imports at the low price subsidized by foreign governments would exceed the losses of domestic producers. - This rebuttal directly addresses the Unfair-Competition Argument.
- (B) Companies may exaggerate the degree to which their products are essential to national defense in order to obtain protection from foreign competition at the expense of consumers. - This rebuttal directly addresses the National-Security Argument.
- (C) The country may be forced into deciding between implementing trade restrictions as threatened, which would make the society as a whole worse off, or backing down on its own threat, which would cause it to lose credibility in foreign affairs. - This rebuttal directly addresses the Protection-as-a-Bargaining-Chip Argument.
- (D) Opening up to free trade may impose hardship on some workers in the short run, but it also creates jobs in industries in which the country has a comparative advantage and enables the country as a whole to enjoy a higher standard of living. - This rebuttal directly addresses the Jobs Argument.
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Answers
Answer:
L. Lyons Company
Correct Journal Entry
Debit L.Lyons, Drawings $100
Credit Cash $100
To record the cash withdrawn by L. Lyons for personal use.
Explanation:
When the owner, L. Lyons, withdraws cash for personal use, it reduces the owner's equity interest in the business. Cash as an asset is also reduced by the same amount. Therefore, the double entry should be a debit to the Owner's Capital account (here represented by Drawings) and a credit to the Cash account.
Final answer:
L. Lyons withdrawal of $100 would be treated as an owner's draw, reflecting a decrease in the company's assets. A journal entry would debit the owner's draw account and credit the cash/bank account.
Explanation:
When L. Lyons withdrew $100 for personal use, this would have been treated as an owner's draw and should be reflected in the financial records of the business. A correct journal entry would involve debiting the owner's draw account and crediting the cash or bank account. Why? The money is going out of the business (hence a decrease in the company's assets), and it's going towards the owner, so it's an owner's draw. So, the journal entry would look as follows:
- Debit: Owner's Draw $100
- Credit: Cash/Bank $100
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Answers
Answer:
$400 billion
Explanation:
The computation on the impact on total checkable deposits is shown below
= Increased in the bank reservce ÷ reserve requirement
= $60,000,000,000 ÷ 15%
= $400 billion
Therefore the impact on the total checkable deposits in the case when the bank reserves rises is $400 billion
We simply applied the above formula so that the correct value could come
And, the same is to be considered
Answers
Answer:
The answer is 15.508%
Explanation:
The annual coupon rate is:
8% x 900 x 2 / $1,000 = 14.4%
The yield to maturity as follows:
Yield to maturity (YTM) = [Coupon payment + (Face Value - Present Value) / Time to Maturity] / [(Face Value + Present Value) / 2]
=> YTM = [14.4% x $1,000 + ($1,000 - $900) / 30] / [ ($1,000 + $900) / 2] = 15.508%
Final answer:
The yield to maturity (YTM) for a bond that has a face value of $1,000, semiannual coupon payments at an 8% rate, and a current market price of $900, can be calculated using the bond yield formula, considering certain variables like coupon payment, bond price, and periods until maturity. The YTM will be higher than the coupon rate as the bond is selling at a discount.
Explanation:
The yield to maturity (YTM) of a bond represents the internal rate of return earned by an investor who buys the bond today at the market price, provided that the bond is held until maturity. The yield to maturity can be calculated using the Bond Yield Formula:
P = [C * (1 - (1 + r) / r] + [F / (1 + r
]
Where: P = bond price; C = semiannual coupon payment; r = semiannual yield to maturity; n = number of periods (considering semiannual periods); F = face value of the bond.
Given a bond face value of $1,000, a semiannual coupon rate of 8% (or 4% per half year), a bond price of $900 and the number of periods of 60 (30 years * 2), you can calculate the yield to maturity by rearranging the formula and solving for 'r'.
Through this calculation process, you will find the yield to maturity is higher than the coupon rate, which is common when the bond is selling for less than its face value (a discount bond).
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Answers
=26000-18000
=8000
Answers
Answer:
the gross profit for the month is $1,180
Explanation:
FIFO Inventory System Sell the Older Inventory Acquired first followed by the Recent Acquired Inventory
Trading Account of Effie Company
Sales (240 units × $10.00) $2,400
Less Cost of Sales :
200 units × $5.00 : $1,000
40 units × $5.50 : $ 220
Total Cost of Sales ( $1,220)
Gross Profit $1,180