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Alenkinab [10]
3 years ago
15

During its most recent fiscal year, Raphael Enterprises sold 370,000 electric screwdrivers at a price of $20.10 each. Fixed cost

s amounted to $1,369,000 and pretax income was $1,739,000. What amount should have been reported as variable costs in the company's contribution margin income statement for the year in question
Business
1 answer:
sergij07 [2.7K]3 years ago
4 0

Answer:

$4,329,000

Explanation:

We know that

Pre-tax income = Sales - variable cost - fixed cost

where,

Sales = Number of units sold × selling price per unit

        = 370,000 units × $20.10

        = $7,437,000

And, the other items values remain the same

Now put these values to the above formula

So, the value would be equal to

$1,739,000 = $7,437,000 - variable cost - $1,369,000

So, the variable cost = $4,329,000

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Cotton White, Inc., makes specialty clothing for chefs. The company reported the following costs for 2018: Factory rent $ 42,000
Doss [256]

Answer:

Results are below.

Explanation:

<u>1) Direct materials are those materials and supplies that are consumed during the manufacture of a product, and which are directly identified with that product.</u>

<u></u>

Direct material= Thread + Premium quality cotton material + Buttons

Direct material= 1,000 + 42,000 + 750

Direct material= $43,750

<u>2) Direct labor is production or service labor that is assigned to a specific product, cost center, or work order.  </u>

Direct labor= Wages paid to seamstresses  + Wages paid to cutters Direct labor= 75,000 + 50,000

Direct labor=  $125,000

<u>3) Manufacturing overhead refers to indirect factory-related costs that are incurred when a product is manufactured</u><u>.</u>

Manufacturing overhead= Factory rent + Utilities for factory + Cutting room supervisor's salary + Factory insurance + Depreciation on sewing machines

Manufacturing overhead= 42,000 + 22,000 + 30,000 + 15,000 + 6,000

Manufacturing overhead= $115,000

4) Total manufacturing costs= 43,750 + 125,000 + 115,000

Total manufacturing costs= $283,750

5) Prime cost= direct material + direct labor

Prime cost= 43,750 + 125,000

Prime cost= $168,750

6) Conversion cost= direct labor + MOH

Conversion cost= 125,000 + 115,000

Conversion cost= $240,000

7) <u>Period costs are not directly tied to the production process</u>. Overhead or sales, general, and administrative (SG&A) costs are considered period costs. SG&A includes costs of the corporate office, selling, marketing, and the overall administration of company business.

Period costs= Company advertising + Depreciation on salespersons' vehicles + President's salary

Period costs= 18,000 + 25,000 + 75,000

Period costs= $118,000

8 0
3 years ago
Very urgent, i need this answered asap
inn [45]

Answer:

Yes they offer no fee but then they want payed for a small fee....... Aaaa business this days

8 0
3 years ago
Ella has an offer to buy an item with a sticker price of $12,300 by paying $420 a month for 36 months. What interest rate is Ell
pentagon [3]

Answer:

18.65%

Explanation:

Cost = $12,300

Total Payment = $420 × 36

                        = $15,120

Difference in the cost and payment = $15,120 - $12,300 = $2,820

Interest rate is the ratio of the interest to the original cost of the item.

The interest is the difference between the amount paid and the actual cost.

Interest rate = ($2,820/$15,120) × 100%

= 18.65%

5 0
3 years ago
Read 2 more answers
Green Co. paid $28,400 in dividends and $29,571 in interest over the past year. During the year, net working capital increased f
inn [45]

If Green Co. paid $28,400 in dividends and $29,571 in interest over the past year. During the year, net working capital increased from $13,986 to $18,719.  During the year, the company issued $25,500 in new equity and paid off $21,700 in long-term debt. What the company's cash flow from assets will be is: $48,371

First step is to calculate the cash flow to creditor  

Cash flow to creditors   = $21,700 + $29,571  

Cash flow to creditors   = $51,271

 

Second step is to calculate the cash flow to Stockholders

Cash flow to Stockholders =$28,400 - $25,500  

Cash flow to Stockholders =$2,900

Now let determine the cash flow from assets using this formula

Cash flow from assets = Cash flow to creditors + Cash flow to stockholders

Let plug in the formula  

Cash flow from assets = $51,271 + $2,900  

Cash flow from assets = $48,371

Inconclusion if Green Co. paid $28,400 in dividends and $29,571 in interest over the past year. During the year, net working capital increased from $13,986 to $18,719.  During the year, the company issued $25,500 in new equity and paid off $21,700 in long-term debt. What the company's cash flow from assets will be is: $48,371

Learn more here:

brainly.com/question/11009567

6 0
2 years ago
You purchased a 30 year bond a year ago with a coupon interest rate and yield-to-maturity of 6%. Market interest rates today for
Misha Larkins [42]

Answer:A. To sell the bond for more than what you paid for the bond

Explanation:

The security market in which bonds are sold are affected by information in relation to specific bond either favorable or unfavorable information.

The price of the bond will appreciate in response to existing or anticaped positive information and will depreciate in response to negative or anticaped negative information..

The increase in market return in relation to the bond of similar nature in the above scenario shows an existing or anticipated positive development and for this the bond is expected to be sold than the purchased price.

8 0
3 years ago
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