Answer:
$1,700
Explanation:
Given that,
Purchase of raw materials inventory = $1,000
Assignment of raw materials inventory to Job 5 = $500
Payroll for 20 hours with $1,000 assigned to Job 5
Factory utility bills = $750
Overhead applied at the rate = $10 per hour
Cost assigned to Job 5 at the end of the week:
= Raw materials inventory to Job 5 + Labor cost + Manufacturing Overhead applied
= $500 + $1,000 + ($10 per hour × 20 hours)
= $500 + $1,000 + $200
= $1,700
Answer:
This will lead to overestimation of CPI and inflation.
Explanation:
Suppose consumers buy two types of meat, beef, and pork. If the price of pork remains the same while the price of beef increases, the consumers will prefer the cheaper substitute. As a result, the demand for pork will increase and the demand for beef will decline.
If the Bureau of Labor Statistics does not include this substitution in the CPI calculation, it will cause the CPI to increase as the price of beef is increasing. But in reality, consumer spending has not increased as they are purchasing more of the cheaper substitute.
This will lead to the overestimation of both CPI as well as the inflation rate.
The practice of subcontracting work to other people or companies is called outsourcing. Many companies will outsource work if they can have it completed for cheaper, better quality and/or at a faster rate. Outsourcing within the home country and out of the home country has become extremely popular over the years.
Answer:
Which inventory method reflects the most recent costs of inventory on the balance sheet?
LIFO
What implications might this have that would be relevant for users of the financial statements to know?
This will mean that the profitability ratios will be smaller under LIFO .
The profitability ratios include profit margin, return on assets, and return on stockholders' equity.
Explanation:
LIFO, the most recent costs of products purchased (or manufactured) are the first costs to be removed from inventory and matched with the sales revenues reported on the income statement. This means that the oldest costs remain in inventory.
The answer for this question is: Intangible resource
Intangible resource is a type of resource owned by a company that cannot be measured by number and do not have physical form.
Another example for an intangible resource is: employee's loyalty, Human Development within the company, employee's motivation, etc.
