Manufacturing overhead ______. multiple select question.

Mel suddenly finds an opportunity to sell boxed dinners. The new opportunity would require the use of the 30 percent unused capa

Llana [10]

Answer:

a) Total cost for making and buying the cookies = $900

b) Yes, she should continue to buy the cookies

Explanation:

Number of meals of order received = 300 meals

<u>Relevant cost:</u>

Variable cost per meal produced =

(cost of meal produced - Gross product)/Annual contribution margin

Variable cost per meal = (13500 - 4500)/3000

Variable cost per meal = 9000/3000

Variable cost per meal = $3

Total cost = cost per meal * number of meals

Total cost = 300 * 3 = $900

Total cost for making and buying the cookies = $900

b) Should Mel continue to buy the cookies?

Selling price = $3.50

Relevant cost = $3.00

Profit per meal from special request = $3.50 - $3.00

Profit per meal from special request = $0.50

Since she is making a profit of $0.50 per meal, she should continue to buy the cookies

5 0

2 years ago

Read 2 more answers

VLC Corporation sold merchandise with a cost of $200 on account for $300 to PRT Corporation; credit terms were 2 / 10, n / 30. V

tatyana61 [14]

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

3 0

2 years ago

Item 3 What do economists call GDP that uses constant, unchanging prices? constant GDP real GDP nominal GDP factual GDP

Ivenika [448]

Economists call GDP that uses constant, unchanging prices as

Explanation:

Real gross domestic product (real GDP for short) is a macroeconomic measure of the value of economic output adjusted for price changes . This adjustment transforms the money-value measure, nominal GDP, into an index for quantity of total output.
It is calculated using the prices of a selected base year. To calculate Real GDP, you must determine how much GDP has been changed by inflation since the base year, and divide out the inflation each year.
Real GDP accounts for the fact that if prices change but output doesn't, nominal GDP would change.
The real economic growth, or real GDP growth rate, measures economic growth as it relates to the gross domestic product (GDP) from one period to another, adjusted for inflation, and expressed in real terms as opposed to nominal terms

7 0

3 years ago

Oregon Outfitters issues 1,700 shares of $1 par value common stock at $20 per share. Later in the year, the company decides to p

lions [1.4K]

Answer and Explanation:

The journal entries are given below;

1. Cash Dr, $34,000 (1,700 × $20)

To Common Stock $1,700

To Paid in capital in excess of par-Common Stock $32,300

(Being issue of common stock is recorded)

2.Treasury stock Dr, $4,620 (220 × $21)

To Cash $4,620

(Being repurchase of treasury stock is recorded)

3. Cash Dr, $5,940 (220 × $27)

To Treasury stock $4,620 (220 × $21)

To Paid in capital-Treasury stock $1,320

(Being reissue of treasury stock is recorded)

7 0

2 years ago

James hires Franco for a painting job. Their contract explicitly states that Franco's employment can be terminated if he is empl

den301095 [7]

Answer:

Condition subsequent.

Explanation:

This is rampant on agreement that deal with contracts as it is seen to be a situation that terminates a previously valid contract. Closely related legal concepts in cases of this kind are treated as conditions precedent and conditions concurrent. A condition subsequent in certain contracts are known to trigger the termination of the agreement of the said contract and also eliminates rights and obligations in the ends of the two parties. It is seen also in cases that when it occurs, it terminates any duty to perform and can also terminate rights and interests that were present under the terms of the contract.

5 0

2 years ago