Answer:
$523,800
Explanation:
Given parameters:
Cost price by buyer = $525000
Selling price by seller = $485000
Sales tax = 8%
Unknown:
The lowest selling price by the seller = ?
Solution:
To solve this business problem, we must understand that the price the seller would be will to part with will be his selling price and the percentage of sales tax incurred in the procurement.
This will be the minimum and least profitable estimated amount the seller is willing to sell at.
Lowest selling price = selling price by seller + amount of sales tax incurred
Sales tax amount = selling price x sales tax percentage
= $485000 x 
= $38800
Lowest selling price = $485000 + $38800 = $523,800
Answer:
Explanation:
The journal entry is shown below:
Work in process A/c - shaping department Dr $35,000
Work in process A/c - packaging department Dr $25,000
To Manufacturing overhead A/c $60,000
(Being apply overhead to the manufacturing departments is recorded)
The computation is shown below:
For shaping department
= 3,500 machine hours × $10 per machine hour
= $35,000
For Packaging department
= 2,500 machine hours × $10 per machine hour
= $25,000
Answer:
The answer is: $225,000
Explanation:
Ford should include a total gain of $225,000 in its income statement.
That gain is the result of the difference between the carrying value of the asset (land) and the carrying value of the liability (debt note).
$425,000 - $200,000 = $225,000 as total gain
Answer:
Gross Profit 100700
Explanation:
Beggining Inventory 1000000
Purchases 750400
Inventory comsuption x
Ending Inventory 350200
Ending I=begginin Inv+Purchases-comsuption
Comsuption= 1400200
Sales revenue 1500900
Cost 1400200
Gross Profit 100700
Answer:
It will be a financial disadvantage of 52,800
Explanation:
Continued Discontinued Differential
Sales 276000 - -276,000
Variable -193,200 - 193,200
Fixed -30,000 - 30,000
Allocate cost -73000 -73000 -
Result - 20,200 -73,000 -52,800
We compare each alternative:
if discontinued only the allocate cost will remain.
but we also loss the contribution of the product sales.
Sales 13,800 x 20
Variable 13,800 x 14
Tracable Fixed total fixed cost - unavoidable fixed cost
103,000 - 73,000 = 30,000
Allocate 73,000
Once we got the number we plug into the table and calcualte the differential income.
