Williams Company computed its cost per equivalent unit for direct materials to be $1.90 and its cost per equivalent unit for conversion to be $3.85. A total of 245,000 units of product were completed and transferred out as finished goods during the month. The ending Work in Process inventory consists of 26,000 equivalent units of direct materials and 26,000 equivalent units of conversion costs. The amount that should be reported in ending Work in Process Inventory is:

Answers

Answer 1
Answer:

Answer:The amount that should be reported in ending Work in Process Inventory is:

=$149,500

Explanation:

Work-in-process inventory is materials that are unfinished or partially completed in a  production process.

Work in Process inventory = Direct materials cost+ conversion cost

  = (equivalent units of direct materials x direct material cost per unit) + (equivalent units of direct materials x conversation cost per unit )

=26,000 x $1.90 +  26,000 x $3.85

$49,400 + $100.100

=$149,500

The amount that should be reported in ending Work in Process Inventory is:

=$149,500

Answer 2
Answer:

Answer:1408750

Explanation:

Direct Materials 245,000 x 1.90 = 465500

Conversión 245,000x3.85= 943250

Total transferred to finished goods = 465500+943250=1408750


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Consider the market for hamburgers in an economy where the market equilibrium is characterized by a quantity of hamburgers of 50 million and a price of $5.00 per hamburger. Suppose that currently 50 million hamburgers are being produced and sold at a price of $5.00. This outcome in the market for hamburgers is economically _________ because: a. The opportunity cost of producing the last hamburger equals the marginal benefit of consumption. b. Some hamburgers that are valued more highly by consumers than their opportunity cost of production are not being produced and sold c. Some hamburgers produced incur opportunity costs of production that exceed their value or marginal benefit to consumers.Which of the following must be true for a market to be able to achieve an efficient outcome? a. The market price is determined solely by the forces of supply of and demand for a good. b. Firms can freely enter or exit the market without any barriers. c. Private property rights are well-defined and enforced.
An investment has an expected return of 11 percent per year with a standard deviation of 26 percent. Assuming that the returns on this investment are at least roughly normally distributed, how often do you expect to earn less than -15 percent?
For a particular flight from Dulles to SF, an airline uses wide-body jets with a capacity of 440 passengers. It costs the airline $4,000 plus $70 per passenger to operate each flight. Through experience the airline has discovered that if a ticket price is $T, then they can expect (440−0.64T) passengers to book the flight. Determine the ticket price, T, that will maximize the airline's profit.

Earnings available to common shareholders are defined as net profitsSelect one:a. after taxes.b. after taxes minus preferred dividends.c. after taxes minus common dividends.d. before taxes.

Answers

Answer:

The correct answer is b. after taxes minus preferred dividends.

Explanation:

Net profit:Add all the revenues of the firm and deduct all the expenses of the firm. If the amount come in positive, the firm earns profit else suffered loss.

In mathematically,

Net profit = Sales revenue - all expenses

The earning which is available to shareholders is net profit after paying preference dividend to preference shareholders.

As first we have to pay the dividend to preference shareholders then we distribute the income to equity shareholders.

In mathematically,

EBIT - taxes - Preferred dividend

Hence, the correct option is b. After taxes minus preferred dividends.

VLC Corporation sold merchandise with a cost of $200 on account for $300 to PRT Corporation; credit terms were 2 / 10, n / 30. VLC paid the outgoing freight charge of $10. PRT paid the invoice within the discount period.The entries in VLC's accounting information system to record all the preceding events will include all of the following except: A. A debit to cost of goods sold
B. A debit to delivery expense
C. A credit togross profit
D. A credit to inventory

Answers

Answer:

  • The entries in VLC's accounting information system to record all the preceding events will include all of the following except:

C. A credit togross profit

Explanation:

An entry to Gross Profit does not exist because the gross profit it's the result of the total sales minus the Cost of Goods, so the Gross Profit it's a result and not a journal entry.

The other entries are used as follows:

A. A debit to cost of goods sold

D. A credit to inventory

B. A debit to delivery expense

A credit to Cash

Muy Bueno Bakery sells three different products. Currently they are not able to meet all of their customers' demand. Using the following information, determine the price of the cake needed to meet the same contribution margin as the cookies. Cake Pie Cookies Contribution margin $18 $11 $3 Production hours 2 1.5 .25 Variable cost $12 $7 $1 Contribution margin/hr. $9 $7.33 $12 Current selling price $30 $18 $5 a.$45 b.$30 c.$42 d.$36

Answers

Answer:

d. $36

Explanation:

The Contribution margin is the net of selling price and variable cost of a product. It is calculated by deducting the variable cost from the selling price of a product.

                                          Cake   Pie    Cookies

Current selling price          $30    $18    $5

Variable cost                      $12     $7      $1

Contribution margin           $18     $11     $3

Production hours                2        1.5     0.25

Contribution margin/hr.     $9     $7.33  $12

Required Contribution margin per hour of cake = $12

Required Contribution margin = $12 x 2 = $24

Required Selling Price = Contribution margin + variable cost = $24 + $12 = $36

Note there is a mistake in the calculation of Contribution margin of Cookies as it is given $3 but after deducting the variable cost from selling price is should be $4 ( $5 - $1 ), I used the given contribution margin for the calculation.

SecuriCorp operates a fleet of armored cars that make scheduled pickups and deliveries in the Los Angeles area. The company is implementing an activity-based costing system that has four activity cost pools: Travel, Pickup and Delivery, Customer Service, and Other. The activity measures are miles for the Travel cost pool, number of pickups and deliveries for the Pickup and Delivery cost pool, and number of customers for the Customer Service cost pool. The Other cost pool has no activity measure because it is an organization-sustaining activity. The following costs will be assigned using the activity-based costing system: Driver and guard wages $ 960,000 Vehicle operating expense 390,000 Vehicle depreciation 270,000 Customer representative salaries and expenses 300,000 Office expenses 160,000 Administrative expenses 460,000 Total cost $ 2,540,000 The distribution of resource consumption across the activity cost pools is as follows: Travel Pickup and Delivery Customer Service Other Totals Driver and guard wages 50 % 35 % 10 % 5 % 100 % Vehicle operating expense 70 % 5 % 0 % 25 % 100 % Vehicle depreciation 60 % 15 % 0 % 25 % 100 % Customer representative salaries and expenses 0 % 0 % 90 % 10 % 100 % Office expenses 0 % 20 % 30 % 50 % 100 % Administrative expenses 0 % 5 % 60 % 35 % 100 % Required: Complete the first stage allocations of costs to activity cost pools.

Answers

Answer:

SecuriCorp

The First level Allocations will be:

Of a total cost of $2,540,000

Travel allocated costs is $915,000

Pick Up and Delivery is $451,000

Customer Service is $690,000

Others is $484,000

Explanation:

the next level of allocation will be to determine the cost rate based on the Activity Measures, however these were not provided in the question

Activity Based Costing is a costing technique that allocates costs based on the activity level of certain pre-determined cost drivers.

Instead of taking the pool of costs and dividing it by Volume to arrive at an Average Costs, Activity Based Costing believes all components leading to the cost generated should bear the burden of the cost by determining the Driver rate per activity.

If from the example we have worked above, we are told the number of miles covered is 20,000 miles and the actual Cost we worked out for Travels was $960,000. This implies we have an activity rate of $48 Per mile covered as travels costs.

The same would apply to Customer Services if for example 3,000 customers were attended to in the period, the Rate Per Customer will become $690,000 divided by 3,000 = $230 Per Customer

With these indices, it is easy to then allocate costs on the basis of miles traveled + Customers Attended to etc

Final answer:

To allocate costs to the activity cost pools, multiply the total costs by the resource consumption percentages provided for each activity.

Explanation:

In order to allocate costs to the activity cost pools, we need to use the distribution of resource consumption percentages provided. Let's calculate the cost allocation for each activity cost pool:

  1. Travel cost pool: Multiply total costs by 50% for driver and guard wages, 70% for vehicle operating expense, and 60% for vehicle depreciation.
  2. Pickup and Delivery cost pool: Multiply total costs by 35% for driver and guard wages, 5% for vehicle operating expense, and 15% for vehicle depreciation.
  3. Customer Service cost pool: Multiply total costs by 10% for driver and guard wages, 0% for vehicle operating expense, and 0% for vehicle depreciation, and 90% for customer representative salaries and expenses.
  4. Other cost pool: Multiply total costs by 5% for driver and guard wages, 25% for vehicle operating expense, and 25% for vehicle depreciation, and 10% for customer representative salaries and expenses, and 50% for office expenses, and 35% for administrative expenses.

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Individuals may become shareholders by buying common stock in corporations through brokers or directly from the company (if they offer a direct investment plan). In many countries, corporations may also offer employee stock options as a benefit for workers.

Answers

After a company goes public through an initial public offering (IPO), its stock becomes available for investors to buy and sell on an exchange.

What are you called when you own shares of a corporation's stock?

An individual or organisation that owns shares or stocks in a firm is referred to as a shareholder. Investors have the right to partial ownership of a certain firm when they own shares or stocks in that company. If the corporation is in trouble, shareholders may earn dividends and have some protection from liabilities.

The primary distinction between preferred and common stock is that common stock grants stockholders voting rights, whilst preferred stock does not. Preferred shareholders get dividend payments prior to regular shareholders since they have preference over the company's income.

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The overhead controllable variance is the difference between a. the actual overhead and the overhead applied to production.
b. actual overhead and budgeted overhead based on standard hours allowed.
c. budgeted overhead based on standard hours allowed and budgeted overhead based on actual hours worked.
d. budgeted overhead based on standard hours allowed and the overhead applied to production.

Answers

Answer: Between actual overhead and budgeted overhead based on standard hours allowed---- B

ExplanatioN:  The controllable variance is  defined as the difference between actual expenses or overhead incurred and the budget  overhead allowance based on standard hours allowed for work done. The variance is unfavorable controllable variance  If the actual  overhead is greater  than the budgeted overhead based on standard hours allowed for work done and is termed favorable controllable variance if the opposite occurs ie actual overhead being less than budgeted overhead based on standard hours allowed for work to be done.