Answer:
Results are below.
Explanation:
To calculate the cost of goods manufactured, we need to use the following formula:
Cost of goods manufactured= beginning WIP + direct materials + direct labor + allocated manufacturing overhead - Ending WIP
Cost of goods manufactured= 54,700 + (11,300 + 30,000 - 19,200) + 58,100 + 87,400 - 69,900
Cost of goods manufactured= $152,400
Now, the cost of goods sold:
COGS= beginning finished inventory + cost of goods manufactured - ending finished inventory
COGS= 33,600 + 152,400 - 43,600
COGS= $142,400
Economists Mark Blaug and Ruth Towse studied the market for economists in Britain and found that the quantity demanded was about 150 to 200 a year, and that the quantity supplied was about 300 a year. What likely to happen when there is a surplus of economists in Britain
Answer: See explanation
Explanation:
In this case, since the supply is more than the demand for Economists in the country, this will lead to a lower wage for the Economists that are employed. This is because there are surplus Economists which can be readily called if those employed aren't willing to collect the lower wages.
Also, the excess Economists can move to other countries where their services will be needed. In some cases, they may take jobs that are similar to their practice such as researchers, marketing roles etc.
Sheridan Company used high-low data from June and July to determine its variable cost of $12 per unit. Additional information follows: Month Units produced Total costs June 2300 $37600 July 600 17200 If Sheridan’s produces 2900 units in August, how much is its total cost expected to be?
Answer:
See below
Explanation:
June 37,600 - 2,300 = 35,300
July 17,200 - 600 = 16,600
A corporation has issued $100 par, 8% convertible preferred stock, callable at par. The preferred is convertible into 1.4 shares of common stock. Currently, the preferred stock is trading at $105 while the common stock is trading at $72.75. The corporation calls the preferred stock at par. To realize the largest profit, a customer holding 100 shares of preferred stock should:
Answer:
The should sell short all the common stock and thereby convert the preferred stock for delivery in order to cover the short
Explanation:
Based on the information given in order to To realize the largest profit, a customer that purchased 100 shares at par should sell short all the COMMON STOCK and thereby convert the PREFERRED STOCK for delivery in order to cover the all short of the common stock.
Julius builds dining chairs that he sells for $200 a chair. His fixed costs are $1,000 (for workshop equipment). Each chair costs him $50 in materials to produce plus an extra $25 for each previous chair made that day, which reflects Julius's increasing exhaustion. (Thus, the first chair cost $50, the second costs $75, the third cost $100, etc.) Assume time requirements in producing a chair are not a factor. How many chairs should Julius produce each day?
Answer:
7 chairs
Explanation:
The computation of the no of chairs that produced each day is shown below:
We know that
The optimum production is Marginal revenue = Marginal Cost
the Marginal cost is increasing with output and Marginal revenue remains constant at $200
So,
Quantity MC
1 50
2 75
3 100
4 125
5 150
6 175
7 200
Therefore Julius produce 7 chairs
P&R Company is an all-equity company. Its stock has a beta of .82. The market risk premium is 6.9 percent and the risk-free rate is 4.5 percent. The company is considering a project that it considers riskier than its current operations so it wants to apply an adjustment of 1.7 percent to the project's discount rate. What should the firm set as the required rate of return for the project?
Answer:
11.86%
Explanation:
Project's discount rate = Rf rate + Beta*risk premium
Project's discount rate = 4.5% + 0.82*6.9%
Project's discount rate = 4.5% + 5.658%
Project's discount rate = 10.158%
Required rate = Project's discount rate + Adjustment rate
Required rate = 10.158% + 1.7%
Required rate = 11.86%
Thus, the firm set 11.86% as the required rate of return for the project.
A business had an inventory cost of $40,000 the last time it was counted.
Since then, it made $80,000 in purchases and sales of $110,000. Its gross
profit was 25%. What is its estimated inventory at cost using the gross pront
method?
O A. $37,500
B. $42,500
C. $35,000
D. $40,000
Answer:
A. 37,500
Explanation:
Hope this helps :)
Pace Corporation in Cookeville is considering an extended warranty on production equipment it bought recently. The extended warranty will cover repair year-end expenses of $2,000, $2,000, $4,000, and $5,000, respectively, for the next 4 years. If the interest rate is 6%, what is the worth of the extended warranty
Answer:
$10,985.73
Explanation:
The worth of the extended warranty in today's terms is the present value of all year-end repair expenses expected to be incurred in extending the warranty whereby the interest rate of 6% is the appropriate discount rate in this case as shown thus:
Present value of a future cash flow=cash flow/(1+discount rate)^n
n is the year in which the cash flow is expected, it is 1 for year 1 repair expenses , 2 for year 2 and so on.
PV of repair expenses=$2000/(1+6%)^1+$2000/(1+6%)^2+$4000/(1+6%)^3+$5000/(1+6%)^4
PV of repair expenses= $10,985.73
Profit Suppose that the daily profit (in dollars) from the production and sale of x units of a product is given byP180xx210002000At what rate per day is the profit changing when the number of units produced and sold is 100 and is increasing at a rate of 10 units per day
Answer:
The answer is "1798".
Explanation:
[tex]\to p=180x-\frac{x^{2}}{1000}-2000[/tex]
In order to find the rate of profit increase each day, we differentiate between the money demand function and the time t.
[tex]\to \frac{dp}{dt}=180\frac{dx}{dt}-\frac{2x}{1000}\frac{dx}{dt} \\\\\to \frac{dp}{dt}=\frac{dx}{dt}\left (180-\frac{2x}{1000} \right ).................(1)[/tex]
Calculate [tex]\frac{dp}{dt}[/tex] when [tex]x=100[/tex]
[tex]\frac{dx}{dt}=10[/tex] (Extension rate of produced and delivered units per day)
[tex]x=100 \ and\ \frac{dx}{dt}=10 ......... in \ \ eq(1)\\\\\frac{dp}{dt} = 10\left (180-\frac{2(100)}{1000} \right )\\\\[/tex]
[tex]=10\left (180-0.2\right ) \\\\=1798 \\\\[/tex]
A comparable property sold 17 months ago for $115,000. If the appropriate adjustment for market conditions is 0.30% per month (without compounding), what would be the adjusted price of the comparable property
Answer and Explanation:
The computation is shown below:
Without compounding, the adjusted price of the comparable property is
= $115,000 × (1+ (0.003 × 17))
= $115,000 × 1.051
= $120,865
And,
With compounding:
= $115,000 × (1.003)^10
= $115,000 × 1.030408
= $118,496.92
In this way it should be calculated
A mixed economic system incorporates aspects of both centralized command and control and a decentralized pricing mechanism. Does the United States have a mixed economic system? Explain your answer.
Answer: Yes. The United States has a mixed economic system.
Explanation:
A mixed economic system has the features of both capitalism and socialism. It consists of both the private enterprises as well as the public enterprises.
The United States has a mixed economic system. Most of the industries that can be found in the United States are privately owned while some are owned by the government. Also, the government regulates the private companies.
The private companies have some freedom which enables them to make profit but their activities are still checkmated by the government.
A company purchased a marketable security for $10,000 on 3/3/2013. On 3/30/2013, the company prepared its financial statements and marked the security to its market value, which was $17,500. The security was sold on 4/30/2013 for $15,000. The company used the Trading Securities method to account for the security. The statutory tax rate is 35%. What was the effect of the sale of the security on Income Tax Payable on 4/30/2013
Answer:10,000
Explanation: i got it in my classkick
When your father was born 48 years ago, his grandparents deposited $250 in an account for him. Today, that account is worth $36,500. What was the annual rate of return on this account
Answer:
10.94%
Explanation:
Your father was born 48 years ago
His grandfather deposited $250 in an account for him
Today the money is worth $36,500
The annual rate of his return can be calculated as follows
= 36500/250 ×1/48= (1+r/100)
= 146^0.020833= (1+r/100)
= 1.1094-1
= 0.10940×100
= 10.94%
Rudd Clothiers is a small company that manufactures tall-men's suits. The company has used a standard cost accounting system. In May 2020, 11,250 suits were produced. The following standard and actual cost data applied to the month of May when normal capacity was 14,000 direct labor hours. All materials purchased were used.
Cost Element Standard (per unit) Actual
Direct materials 8 yards at $4.40 per yard $375,575 for 90,500 yards ($4.15 per yard)
Direct labor 1.2 hours at $13.40 per hour $200,925 for 14,250 hours ($14.10 per hour)
Overhead 1.2 hours at $6.10 per hour (fixed $3.50; variable $2.60) $49,000 fixed overhead $37,000 variable overhead
Overhead is applied on the basis of direct labor hours. At normal capacity, budgeted fixed overhead costs were $49,000, and budgeted variable overhead was $36,400.
Required:
Compute the total, price, and quantity variances for (1) materials and (2) labor.
Answer:
Results are below.
Explanation:
To calculate the total, price, and quantity variance for direct material, we need to use the following formulas:
Direct material price variance= (standard price - actual price)*actual quantity
Direct material price variance= (4.4 - 4.15)*90,500
Direct material price variance= $22,625 favorable
Direct material quantity variance= (standard quantity - actual quantity)*standard price
Direct material quantity variance= (8*11,250 - 90,500)*4.4
Direct material quantity variance= $2,200 unfavorable
Total direct material variance= 22,625 - 2,200= $20,425 favorable
To calculate the total, rate, and efficiency variance for direct labor, we need to use the following formulas:
Direct labor time (efficiency) variance= (Standard Quantity - Actual Quantity)*standard rate
Direct labor time (efficiency) variance= (1.2*11,250 - 14,250)*13.4
Direct labor time (efficiency) variance= $10,050 unfavorable
Direct labor rate variance= (Standard Rate - Actual Rate)*Actual Quantity
Direct labor rate variance= (13.4 - 14.1)*14,250
Direct labor rate variance= $9,975 unfavorable
Total direct labor variance= -10,050 - 9,975= $20,025 unfavorable
Given an actual demand this period of 61, a forecast for this period of 58, and an alpha of 0.3, what would the forecast for the next period be using exponential smoothing
Answer:
58.9
Explanation:
Calculation to determine what would the forecast for the next period be using exponential smoothing
Next period forecast= [ (1 - Alpha) × Current forecast]+Alpha*Actual demand
Let plug in the formula
Next period forecast= [ ( 1 - 0.3 ) × 58] +0.3*61
Next period forecast=40.6+18.3
Next period forecast=58.9
Therefore what would the forecast for the next period be using exponential smoothing is 58.9
There are two reasons that an industry prefers self-regulation to government regulation: cost and flexibility. True False
Answer:
True.
Explanation:
In general, the vast majority of industrial entrepreneurs prefer self-regulation over government regulation. This is so due to two fundamental factors: on the one hand, the maintenance costs of the government regulatory system are paid for through taxes, which means that the higher the regulations, the higher the taxes that each company must pay, while the self-regulation should not spend. more money than that of the control systems, without allocating sums of money to the government; and on the other, flexibility, that is, the possibility of adapting the processes, systems and needs of each company to the necessary regulations, being able to optimize costs and processes.
In Fontainebleau Hotel v. Eden Roc, the Eden Roc Hotel sued the Fontainebleau Hotel when Fontainebleau began erecting a 14-story addition to its premises that Eden Roc claimed blocked air and sunlight from its pool and sunbathing areas. The court determined that
Answer:
The answer is "The structure could be constructed when it is helpful and beneficial, even if it is partially constructed to deliberately damage the plaintiff ".
Explanation:
As court decided for Beau because although Eden Roc has incurred from the interruption of free air and daylight development, this does not do so because the building fulfills a useful or valued need, but because it is harmed by only a regulation. Whether Eden Roc had been decided by the Supreme, future property gains would've been impeded.
It is held throughout all places that, in which a framework encounters a useful and profit-giving need, there is no legal right to free advance of light and air from the bordering country, for neither damage nor even a guideline under the saying sics utere tuo ut extra - terrestrial non-leads, even though the structure damages by trying to remove fresh air and interfering to vi.
Each of the following documents is used in the control of cash disbursements except a.cash register tapes. b.receiving reports. c.purchase orders. d.purchase requisitions. g
Answer: a. cash register tapes.
Explanation:
When you go to a shop and buy something at the till and the cashier prints a receipt and gives it to you, that paper is a cash register tape.
A cash register tape therefore shows the goods sold and the amount the goods were sold at. It is therefore not used as a method of control for cash disbursement which is cash going out of a business but rather for cash that is coming into the business.
How will you use the cloud to stay organized
Answer:
Explanation:
Develop a Folder Naming System. Decluttering your cloud space will mean developing a file system and then putting everything in its proper place. ...
Coronado Company has the following equivalent units for July: materials 19000 and conversion costs 18800. Production cost data are: Materials Conversion Work in process, July 1 $ 7800 $ 2000 Costs added in July 53000 45000 The unit production costs for July are: Materials Conversion Costs
Answer:
1. Per unit material cost = (Beginning WIP cost + Cost added) / Equivalent units for material
Per unit material cost = ($7,800 + $53,000) / $19,000
Per unit material cost = $60,800 / $19,000
Per unit material cost = $3.20
2. Per unit conversion cost = (Beginning WIP cost + Cost added) / Equivalent units for conversion
Per unit conversion cost = ($2,000 + $45,000) / $18,800
Per unit conversion cost = $47,000 / $18,800
Per unit conversion cost = $2.50
Singh, a consumer, leases sheet music from Tunes Inc. for a public performance. United Music Corporation, which holds a copyright on the music, sues Singh to stop the performance without a royalty payment. Singh fails to notify Tunes of the suit within a reasonable time. The lessee:_________
a. loses any remedy against the lessor for liability established in the suit.
b. can assert this failure to delay the litigation, but it is not a defense.
c. can raise the failure to notify as a defense in copyright holder’s suit.
d. can sue the lessor to recover the expenses of the suit.
Answer:
a. loses any remedy against the lessor for liability established in the suit.
Explanation:
This is because it was lessee's responsibility to inform the lessor in time.
A lessee is in contract with the lessor and is responsible for all the actions taken on behalf of the lessor with the lessor's permission.
If the lessee fails to inform the lessor in time or do any action without his permission then the lessor can sue the lessee or take any other legal action as may be required by the law against the lessee.
In breach of contract the lessee has to face the consequences and pay penalty.
Choice a is the best option.
The lessee can never sue the lessor for his illegal actions.
So option d is incorrect.
b) Delaying the litigation would do no good. It would add to his failures.
Choice c is also incorrect.
From 2009 to 2010, nominal gross domestic product (GDP) in the United States grew by 3.8%. Given that prices increased by 1% and the population grew by 1%, we know that per capita real GDP grew by: g
Answer:
the per capital real GDP would be grew by 2.8%
Explanation:
The computation of the per capital real GDP would be grew by
= Growth of gross domestic product - increase in prices = growth in population
= 3.8% - 1% - 1%
= 2.8%
Hence, the per capital real GDP would be grew by 2.8%
So , the same should be considered
The Wall Street Journal reported the following spot and forward rates for the Swiss franc ($/SF):Spot............................................ $0.943230-day forward.......................... $0.948190-day forward.......................... $0.9531180-day forward........................ $0.9594a. Was the Swiss franc selling at a discount or premium in the forward market?b. What was the 30-day forward premium (or discount)?c. What was the 90-day forward premium (or discount)?d. Suppose you executed a 90-day forward contract to exchange 100,000 Swiss francs into U.S. dollars. How many dollars would you get 90 days hence?
Answer:
The Wall Street Journal Reports
a. The Swiss franc was selling at a premium in the forward market.
b. The 30-day forward premium was: $0.0049.
c. The 90-day forward premium was: $0.0099.
d. Dollars to receive from a 90-day forward contract is $95,310.
Explanation:
a) Data and Calculations:
Spot and forward rates for the Swiss franc ($/SF):
Spot............................................ $0.9432
30-day forward.......................... $0.9481
90-day forward.......................... $0.9531
180-day forward........................ $0.9594
Premium:
30-day forward.......................... $0.9481
Spot............................................ $0.9432
Premium = $0.0049
90-day forward.......................... $0.9531
Spot............................................ $0.9432
Premium = $0.0099
180-day forward........................ $0.9594
Spot............................................ $0.9432
Premium = $0.0162
Dollars to receive from a 90-day forward contract is $95,310 ($0.9531 * SF 100,000)
The current monthly production volume of a company is 1,120 units. Workers are paid $19 per hour, and each worker can produce 4 units per hour. The fixed costs for a month are $4,200. Determine the selling price of the product that the company should charge in order to breakeven its monthly profit.
Answer:
The selling price of the product that the company should charge in order to breakeven its monthly profit is $8.50 per unit.
Explanation:
Number of hours worked by workers per month = Total monthly units / Units per hour = 1,120 / 4 = 280
Total monthly variable cost = Total monthly wages = Number of hours worked by workers per month * Hourly rate = 280 * $19 = $5,320
Total monthly cost = Total monthly variable cost + Fixed costs for a month = $5,320 + $4,200 = $9,520
Selling price to breakeven = Total monthly cost / Total monthly units = $9,520 / 1,120 = $8.50
Therefore, the selling price of the product that the company should charge in order to breakeven its monthly profit is $8.50 per unit.
Calista works as an IT manager for an engineering firm. When it comes time to replace the company's computers, the firm's president gives Calista a budget and tells her to pick computers that will best suit the company's needs. This is an example of making a decision through:_______
a. consensus.
b. expert opinion.
c. majority vote.
d. minority decision.
Answer:
b. expert opinion.
Explanation:
Remember, we are told that Calista has the job role of IT (Information Technology) manager.
Hence, in such an organization, we would expect the IT manager to provide the best expert opinion on the best computers that would replace the present computers while sticking to the company's budget.
A retail store has three departments, S, T, and U, and does general advertising that benefits all departments. Advertising expense totaled $48,000 for the year, and departmental sales were as follows. Allocate advertising expenses to Department T based on departmental sales. (Do not round the intermediate calculations.)
Department S $111,000
Department T 213,150
Department U 146,250
Total 470,400
Answer:
Allocated costs= $21,600
Explanation:
Giving the following information:
Department S $111,000
Department T 213,150
Department U 146,250
Total 470,400
Advertising expense totaled $48,000 for the year.
First, we need to calculate the sales proportion for Department T:
Sales proportion= 213,150 / 470,400= 0.45
Now, we can allocate costs to Department T:
Allocated costs= 48,000*0.45
Allocated costs= $21,600
Listed here are a number of financial statement captions. Indicate in the spaces to the right of each caption the category of each item and the financial statement(s) on which the item can usually be found. Use the following abbreviations:
Category Financial Statement
Asset A Balance sheet BS
Liability L Income statement IS
Stockholders' equity SE
Revenue R
Expense E
Gain G
Loss LS
Contra asset CA
Caption Category Financial Statement(s)
Accumulated depreciation
Long-term debt
Equipment
Loss on sale of short-term investments
Net income
Merchandise inventory
Other accrued liabilities
Dividends paid
Cost of goods sold
Additional paid-in capital
Interest income
Selling expenses
Financial statements:
There are four financial statements companies produce:
Income Statement
Balance Sheet
Shareholder's Equity
Statement of Cash Flows
Answer:
Caption Category Financial Statement
Accumulated depreciation Asset Balance sheet
Long-term debt Liability Balance sheet
Equipment Asset Balance sheet
Loss on sale Loss Income Statement
of short-term investments
Net income Revenue Income Statement
Merchandise inventory Asset Balance sheet
Other accrued liabilities Liability Balance sheet
Dividends paid Equity Balance sheet
Cost of goods sold Expense Income statement
Additional paid-in capital Equity Balance sheet
Interest income Revenue Income statement
Selling expenses Expense Income statement
Suppose a government has no debt and a balanced budget. Suddenly it decides to spend $5 trillion while raising only $4.5 trillion worth of taxes.
Instructions:
a. What will be the government's deficit?
b. If the government finances the deficit by issuing bonds, what amount of bonds will it issue?
c. At a 4 percent rate of interest, how much interest will the government pay each year?
d. Add the interest payment to the government $5 trillion expenditures for the next year, and assume that tax revenues remain at $4.5 trillion. In the second year, compute the
(i) Deficit: $____billion.
(ii) Amount of new debt (bonds) issued to finance the deficit in the second year: $____billion.
(iii) Total debt at the end of the second year: $___billion.
(iv) Debt service requirement: $____billion
Answer:
a. The government's deficit is $0.5 trillion or $500 billion.
b. The amount of bonds issued = $0.5 trillion or $500 billion.
c. At a 4 percent rate of interest, the interest the government will pay each year = $20 billion.
d. i) Deficit: $__520__billion.
(ii) Amount of new debt (bonds) issued to finance the deficit in the second year: $_520___billion.
(iii) Total debt at the end of the second year: $_1,020__billion.
(iv) Debt service requirement: $__40.8__billion
Explanation:
a) Data and Calculations:
Government spending = $5 trillion
Income from taxes = $4.5 trillion
Deficit = $0.5 trillion
Bonds issued = $0.5 trillion
Interest rate = 4%
Annual interest expense = $20 billion ($0.5 trillion * 4%)
Expenditure next year = $5 trillion
Interest payment = $0.02 trillion
Total governmental spending = $5.02 trillion
Tax revenue = 4.50 trillion
Deficit = $0.52 trillion
Bennett Co. has a potential new project that is expected to generate annual revenues of $260,300, with variable costs of $143,200, and fixed costs of $60,700. To finance the new project, the company will need to issue new debt that will have an annual interest expense of $23,500. The annual depreciation is $24,800 and the tax rate is 35 percent. What is the annual operating cash flow
Answer:
$45,340
Explanation:
Calculation to determine the annual operating cash flow
Sale $260,300
Less: Operating Cost $143,200
Contribution $117,100
($260,300-$143,200)
Less: Fixed Cost $60,700
Less: Depreciation as per table given below $24,800
Profit before tax $31,600
($117,100-$60,700-$24,800)
Tax $11,060
($34%$31,600)
Profit After Tax $20,540
($31,600-$11,060)
Add Depreciation $24,800
Cash Profit After tax $45,340
($20,540+$24,800)
Therefore the annual operating cash flow is $45,340
Agreement and disagreement among economists
Suppose that Hubert, an economist from a university in Arizona, and Kate, an economist from a school of industrial relations, are arguing over saving incentives. The following dialogue shows an excerpt from their debate:
Kate: Most people recognize that the budget deficit has been rising considerably over the last century. We need to find the best course of action to remedy this situation.
Hubert: I believe that a cut In income tax rates would boost economic growth and raise tax revenue enough to reduce budget deficits.
Kate: I actually feel that raising the top Income tax rate would reduce the budget deficit more effectively.
The disagreement between these economists is most likely due to_____.
Despite their differences, with which proposition are two economists chosen at random most likely to agree?
A. Lawyers make up an excessive percentage of elected officials.
B. Tariffs and Import quotas generally reduce economic welfare.
C. Minimum wage laws do more to harm low-skilled workers than help them.
Answer and Explanation:
The disagreement arise between this economist is due to the differences in the scientific judgements as they disagree due to the various scientific judgements. And, despite their differences, the proposition of two economists should be chosen at random as the tariff and import quotas normally decreased the economic welfare as it always result in deadweight loss and in this both economist should be agree for the same
Herman Company received proceeds of $188,500 on 10-year, 8% bonds issued on January 1, 2009. The bonds had a face value of $200,000, pay interest semi-annually on June 30 and December 31, and have a call price of 101. Herman uses the straight-line method of amortization.
What is the carrying value of the bonds on January 1, 2011?
a) $200,000
b) $190,800
c) $197,700
d) $189,650