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Answer:
The total equivalent units for direct materials for October is 4,200
Explanation:
The Concept of Equivalent Units measures the number of units completed in terms of input element introduced in the process.
The Equivalent Units are Calculated on the units ending that is on the Units Completed and Units of Closing Work in Process
Note that materials are added at the beginning of the process
<u>Units Completed</u>
Are 100% complete in terms of Raw Materials
Equivalent units = 3900 × 100 % = 3900
<u>Units of Closing Work in Process</u>
Are 100% complete in terms of Raw Materials
Equivalent units = 30 × 100 % = 300
Total Equivalent Units = 3900+300 = 4,200
Answer:
$81,020
Explanation:
The cost of the asset includes the cost of purchase less any given discount or tax returns and the addition of other cost incurred in making the asset available for use.
As such, the cost of the machine
= $77,000 - (5% * $77,000) + $2,000 + $4,520 + $1,350
= $81,020
The routine maintenance cost is not a part of the asset but an expense in p/l.
Answer:
Corbel Corporation's common fixed cost is $41,650
Explanation:
Division A contribution margin $47,700
Division B contribution Margin <u>$80,850</u> $128,550
($231,000 * 35%)
Less: Traceable fixed cost $59,700
Operating Income <u>$27,200</u> <u>($86,900)</u>
Common fixed cost <u>$41,650</u>
