I think the correct answer from the choices listed above is the last option. A process cost system would be more appropriate for a shampoo manufacturer. <span> A </span>process costing system<span> is used by companies that produce similar or identical units of product in batches employing a consistent process. Hope this answers the question.</span>
Answer:
31
Explanation:
The calculation of indifferent between your current mode of operation and the new option is shown below:-
Current Operation
Contribution Margin = Monthly Fees - Variable Cost
= $734.00 - $91.00
= $643.00
Total Fixed Cost = Rent and Utilities + Salaries + Insurance
= $5,435.00 + $6,171.00 + $1,545.00
= $13,151.00
New Operation
Contribution Margin = Monthly Fees - Variable Cost
= $1,054.00 - $158.00
= $896.00
Total Fixed Cost = Rent and Utilities + Salaries + Insurance
= $11,679.00 + $6,974.00 + $2,408.00
= $21,061.00
Here we will assume the indifferent number of students will be X
So,
Income under current option = Income under new option
$643.00 × X - $13,151.00 = $896.00 × X - $21,061.00
$253X = $7,910
X = $7,910 ÷ $253
= 31.26
or
= 31
Answer:
Dr Interest Receivable $240
Cr Interest Income $240
Explanation:
The reason is that the Techcom company is lender and must account the lending as a loan.
The loan will be paid with the interest at the end of the period. The interest received at the end of December 31 would be the single month loan at the $4800 at the interest rate which is 10 percent here.
The Interest Income = $4800 * (10% interest rate * 2/12) = $240
The interes would be recorded for the two months which is $240 and accounted for as under:
Dr Interest Receivable $240
Cr Interest Income $240
And at the end of January 31, Teller will make the payment which would be accounted for as under:
Dr Cash $5260
Cr Interest Revenue $120
Cr Notes Receivable $4800
Cr Interest Receivable $240
Answer:
a. $66,889.63
b. $107,726.42
Explanation:
We use the Present value function that is to be reflected on the attachment
a. In the first case
Data provided in the question
Future value = $450,000
Rate of interest = 10%
NPER = 20 years
PMT = $0
The formula is shown below:
= PV(Rate;NPER;PMT;FV;type)
So, after solving this, the present value is $66,889.63
b. In the second case
Data provided in the question
Future value = $450,000
Rate of interest = 10%
NPER = 20 years
PMT = $0
The formula is shown below:
= PV(Rate;NPER;PMT;FV;type)
So, after solving this, the present value is $107,726.42
Answer:
<u> C. The firm likes its workers and doesn’t want to replace some jobs with machinery.</u>
Explanation:
Optimal level of capital simply refers to an ideal strategy used by a firm to raise capital. For example, a firm may decide between debt financing or equity financing, depending on the company's desired level of capital.
So, an already operational firm with that likes its workers and doesn’t want to replace some jobs with machinery has no direct relationship with its level of capital.
