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3 years ago

Long-term capacity plans deal with: a) investments in new facilities. b) workforce size. c) inventories. d) overtime budgets.

Business

1 answer:

kaheart [24]3 years ago

3 0

Answer:

The correct answer is a) investments in new facilities.

Explanation:

Business investment is the main way to obtain benefits in the short, long or medium term. For this, it is necessary to invest a certain capital in business or activities that allow the investor to increase it over time.

In the case of financial investment, capital is used to acquire securities, securities and other financial documents through which to obtain a benefit through the interest earned on them.

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Misty and John formed the MJ Partnership. Misty contributed $50,000 of cash in exchange for her 50% interest in the partnership

Pie

Answer:

$78,000

Explanation:

The computation of interest at year end is shown below:-

Interest at year end = Cash contribution + Income of partnership + Share of partnership liabilities - Cash from the partnership

= $50,000 + $20,000 × 50% + $60,000 × 50% - $12,000

= $90,000 + $10,000 + $30,000 - $12,000

= $78,000

Therefore for computing the partnership interest at year end we simply applied the above formula by considering all the items given in the question

4 0

3 years ago

You have just received notification that you have won the $1.4 million first prize in the Centennial Lottery. However, the prize

Arada [10]

Answer:

Present value = $6404.20

Explanation:

Data provided in the question :

Amount of the Centennial lottery prize won = $1.4 million = $1,400,000

Time after which the amount will be received, n = 70 years

Discount rate, r = 8%

Now,

the present values is given as:

$\textup{Present value}=\frac{\textup{Principle amount}}{(1+r)^n}$

on substituting the respective values, we get

$\textup{Present value}=\frac{\textup{$1,400,000}}{(1+0.08)^70}$

Present value = $6404.20

6 0

3 years ago

Mitch is a director and officer of Numero Uno, Inc. Mitch makes a marketing decision that results in a dramatic decrease in prof

Stells [14]

Answer:

As long as Mitch acted in good faith and tried to make the best possible decision regarding all available information, and his decision was something that any other person could have made, his mistake has to be considered a bad or negative business judgement (business judgement rule). He thought that his actions would benefit the corporation, but he was wrong and the corporation lost money. That types of mistakes are considered normal and just that, mistakes that anyone can make.

In regards with the second issue, that Mitch is a shareholder and a director of a firm that will directly compete with Numero Uno, he must inform the board about this and resign to either Numero Uno or One of a Kind.

6 0

3 years ago

The following information was available for the year ended December 31, 2019: Net sales $ 894,250 Cost of goods sold 616,850 Ave

iogann1982 [59]

Answer:

Explanation:

Net sales - $894,250

Cost of Goods - $ 616850

Average account receivable - $40,650

Account receivable at year end - $28200

Average inventory - $182000

Inventory at year end - $158,000

Inventory turn over

Cost of Goods sold / Average inventory for the period

616850/182000= 3.40 times

No of days sales in inventory = Ending inventory / Cost of Goods sold *365

158000/616850*365 = 93.5 days

Account receivable turnover = net credit sale / average receivable

894250/40650=21.9

No of days sales in account receivable -

Receivable at year end/total credit sales*365

28200/894250*365= 11.5 days

7 0

3 years ago

During March, Hanks Manufacturing started and completed 30,000 units. In beginning work in process, there were 5,000 units 60 pe

Delvig [45]

Answer:

Equivalent units

Materials= 40,000 units

Conversion= 36,000 units

Explanation:

Equivalent units are notional whole units which represent incomplete work and are used to apportion cost between work progress and completed work

Equivalent units = Degree of work done(%) × units of inventory

Conversion cost

Item equivalent units

Opening inventory 40% × 5,000 = 2,000

Fully worked units 100% × 30,000= 30,000

Closing inventory 40%× 10,000= 4,000

Total equivalent unit 36,000

Notes

The following notes explains the computation of the items of equivalent unit for conversion cost:

1. DOC for opening inventory is 40% i.e 100%-60%. Remember that 60% work has been done in the previous period, so the balance is to be done in this current period

2. Fully work represent the units of inventory introduced in the current period and completed in the same period. Meaning 100% work was achieved in the period.

3. Closing work is only 40% completed. This represent work started this period but not yet completed.

Material cost

Item equivalent units

Opening inventory 0% × 5,000 = 0

Fully worked units 100% × 30,000= 30,000

Closing inventory 100%× 10,000= 10,000

Total equivalent unit 40,000

Notes

The following notes explains the computation of the items of equivalent unit for Material cost:

1. DOC for opening inventory is 0% i.e 100%-1000%. Remember that materials are added at the beginning. Hence all the materials required for the opening inventory had been added in the previous period

2. Fully work represent the units of inventory introduced in the current period and completed in the same period. Meaning 100% materials was added in the period.

3. All the materials required for the closing inventory were added in this period, hence, 100% degree of completion was used

Equivalent units

Materials= 40,000 units

Conversion= 36,000 units

5 0

3 years ago