Answer:
$22,800
Explanation:
Calculation for the total amount of indirect manufacturing cost incurred
First step is to find the fixed manufacturing overhead portion
Fixed manufacturing overhead portion=$3.00 *5000 units
Fixed manufacturing overhead portion =$15,000
Second step is to calculate the indirect manufacturing cost if 6,000 units are produced using this formula
Indirect manufacturing cost =Fixed manufacturing overhead portion
+ Variable portion
Let plug in the formula
Indirect manufacturing cost=$15,000 + ($1.30*6,000 units)
Indirect manufacturing cost=$15,000+$7,800
Indirect manufacturing cost=$22,800
Therefore the total amount of indirect manufacturing cost incurred is closest to $22,800
Answer:
Results are below.
Explanation:
To determine whether the project should be accepted or not, we need to calculate the net present value. <u>If the NPV is positive, the project should be accepted.</u>
<u>To calculate the NPV, we will use the following formula:</u>
NPV= -Io + ∑[Cf/(1+i)^n]
Cf1= 9,800/1.0975= 8,929.38
Cf2= 16,400/1.0975^2= 13,615.54
Cf3= 21,700/1.0975^3= 16,415.20
Total= $38,960.12
NPV= -38,700 + 38,960.12
NPV= 260.12
<u>The project is profitable. </u>
Answer:
The correct answer to the following question will be "$5427".
Explanation:
The given expenditures are:
Temporary director's as well as organisational meetings expenditures = $8000
Fee payable to either the incorporation province = $2000
Incident accountants for organisation = $3500
Legal resources and by-laws for writing the company charter = $4300
So that total qualifying expenses will be :
⇒ $17,800
Now,
Deduction regarding section 248 election:
Immediate expensing = $5000
Amortization = 
On putting the values in the above formula, we get
⇒ = 
⇒ = $
Hence the deduction on election regarding section 248 = $5,427
