Answer and Explanation:
The computation is shown below;
a. Raw material price variance is
= (standard price - actual price) × actual quantity
= ($10 - $11) × ($69,300 ÷ $11)
= ($10 - $11) × 6,300
= $6,300 unfavorable
b. The raw material usage variance is
= (Standard quantity - actual quantity) × standard price
= (525 × 13 - 6,300) × $10
= $5,250 favorable
In this way it should be calculated
Answer:
(i) 900 CDs
(ii) Greater than; $1,650
Explanation:
(1) Break-event point will be when the contribution margin from total sales is equal to fixed costs,
Contribution Margin = Selling price - variable cost
= $(21.5 - 9.5)
= $12
Contribution Margin *Number of CDs sold = $10,800
Break-even point for Studio A = 10,800 ÷ 12
= 900 CDs
(2) Studio A would be more profitable when the extra profit earned from per unit sale of CD exceeds the extra fixed cost given in Studio A.
Extra Contribution margin in Studio A = $(12-10)
= $2
Extra Fixed cost in Studio A = $(10,800 - 7,500)
= $3,300
Studio A should be chosen if sales is greater than (3300/2) = $1,650.
Answer:
the correct answer is D
D. If the end result from the second column is not 3, then the sum of the
numbers in the first column equal to the sum of the numbers in the
second column.
Explanation:
since e are given the first column operation of the numbers. The operational process is repeated on the number of the second column we can then conclude by choosing option <em>D if the end result from the second column is not 3, then the sum of the
numbers in the first column is equal to the sum of the numbers in the
</em>
<em>second column.</em>
Answer:
The correct answer is A. true.
Explanation:
The cost of capital is a little less unique than the cost of debt. Equity is any financing raised through the sale of shares. Different people have different ways of measuring equity.
Some people prefer to simply use the CAPM or some other form of APT, estimating the cost of capital as an amount equivalent to the risk premium on the returns paid by the company to its investors. In this way, the returns generated in excess of the risk-free rate are considered the cost of equity.
This calculation is easy to use, but also takes into account the fluctuations in the value of the shares in the secondary market, which really has no cost to the company. Some people argue their benefits.
Answer:
Following are the journal entries for Setterstrom Company;
<u>May 01</u>
Debit: Petty cash = $100.00
Credit: Cash = $100.00
<u>Jun 01
</u>
Debit: Delivery Expense = $31.25
Debit: Postage Expense = $39.00
Debit: Miscellaneous Expense = $25.00
Debit: Cash over/short (Balance amount) = $3.00
Credit: Petty Cash ($100 - $1.75) = $98.25
<u>Jul 01</u>
Debit: Delivery expense = $21.00
Debit: Entertainment expense = $51.00
Debit: Miscellaneous expense = $24.75
Credit: Petty Cash ($100 - $3.25) = $96.75
<u>Jul 10
</u>
Debit: Petty cash = $30.00
Credit: Cash = $30.00
