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3 years ago

Discounters like target and walmart use a(n) ________ strategy that suggests they offer the best quality for that price level

1 answer:

5 0

<span>Discounters like Target and Walmart use a price value strategy that suggests the offer the best quality for that particular price level. The price value strategy sets the primary price, but it is not an exclusive price, and is set according to the perceived value of products and services to the customers that shop there.</span>

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Ruff Wear expects sales of $560, $650, $670, and $610 for the months of May through August, respectively. The firm collects 20 p

Orlov [11]

Answer:

$643

Explanation:

Collection in the month of August is made up of

20 percent of sales for August
70 percent of sales for the month for July
8 percent of sales for the month of June

Considering all the elements stated above,Collection in the month of August

= (20% × 610) + (70% × 670) + (8% × 650)

= 122 + 469 + 52

= $643

6 0

3 years ago

Luzadis Company makes furniture using the latest automated technology. The company uses a job-order costing system and applies m

zmey [24]

Answer:

1. Overhead over applied= $521,000

2. Factory Overhead Dr. $ 521,000

Cost Of Goods Sold Cr. $ 521,000

3. Work in Process, (ratio) $521,000 * 7%= 36,470

Finished Goods, $521,000 * 19%= 98,990

Cost of Goods Sold $521,000 * 74%= 385,540

Total $521,000 100%

4. Difference between the two CGS= $ 136,060

Explanation:

Predetermined Overhead Costs $1,152,000

Estimated activity level of 72,000 machine-hours

Overhead rate= $ 1152,000/ 72,000= $ 16 per hour

Manufacturing overhead cost $551,000

Actual hours = 67,000

Overhead applied to WIP = 67,000 * 16= $ 1072,000

Overhead over applied= $ 1072,000 - $551000= $521,000

Part 2:

Factory Overhead Dr. $ 521,000

Cost Of Goods Sold Cr. $ 521,000

The Cost of Goods Sold is credited and Factory overhead is debited.

Part 3:

Suppose the overhead is applied in the following ratio

Work in Process, (ratio) $37,520 7% (37520/536,00*100%)

Finished Goods, $101,840 19% (101840/536,00*100%)

Cost of Goods Sold $396, 640 74% (396,640/536,00*100%)

Total $536,000 100%

The overhead over applied would be allocated in the following way applying the same ratio as determined above.

Work in Process, (ratio) $521,000 * 7%= 36,470

Finished Goods, $521,000 * 19%= 98,990

Cost of Goods Sold $521,000 * 74%= 385,540

Total $521,000 100%

Part 4:

Cost of Goods Sold ( overhead applied of $396, 640) $1,472,600

Less Overhead overapplied $ 521,000

CGS = $ 951,000

Cost of Goods Sold (overhead applied to WIP & FG) $1,472,600

Less Overapplied Overhead $ 385,540

CGS= $ 1087,060

Difference between the two CGS = $ 1087,060- $ 951,000= $ 136,060

5 0

3 years ago

What does compounding interest mean??

ivolga24 [154]

Compounding interest is interest on top of interest.

For example, say you put 100 bucks in the bank.
You get 10% interest compounded daily on that 100 bucks.

That means that you get 10% interest not only on those 100 bucks, but all the money you make after.

So your interest would go from 10% on 100 bucks, to 10% on 110 bucks and so forth.

I hope this helps and please press that ❤ under my reply, it really helps!

7 0

3 years ago

On January 1, 2018, Burleson Corporation’s projected benefit obligation was $48 million. During 2018 pension benefits paid by th

aleksklad [387]

Answer:

$59.8 million.

Explanation:

At the beginning of the year, the Projected Benefit Obligation (PBO) was $48 million, however, during the year this amount was affected by several factors that are explained in the problem statement: the service cost ($13 million), the interest costs (defined by a discount rate of 10%) and the pension benefits paid by the company ($6 million).

To understand how it was modified exactly, first, we will do a theoretical analysis and then present it more <em>graphically</em> as a financial statement.

1. Theoretical analysis

Firstly, a Projected Benefit Obligation (PBO) is a measure that reflects how much a company needs at the present time (December 31, 2018) to cover future pension liabilities. We know that the year began with a PBO of $48 million. However, this amount must be added to the service costs ($13 million), which is the increase in the present value of the liabilities, because the employees have completed another year in the company and that implies an increase in their pension credit.

Therefore, so far, the PBO at December 31, 2018 is $61 million. To this amount must be added the interest cost which is the annual interest amount on the unpaid balance of the PBO. In this case, an interest rate of 10% is handled. Therefore the amount of interest is equal to $48 million (original PBO) * 10% = 4.8 million.

So far, the PBO at December 31, 2018 is $61 + $4.8 = $65.8 million

Finally, the pension benefits paid by the trustee during 2018 should be subtracted, since they are a partial payment of the PBO.

Therefore, we have: $65.8 - $6 = $59.8

2. As a financial statement.

Pension obligations

Year Ended At December 31, 2018

Change in benefit obligations

Beginning PBO $48

Service cost $13

Interest cost $4.8

Benefits paid ($6.0)

Ending PBO $59.8

6 0

3 years ago

A firm have an inventory turnover of 5 times a year on a cost of goods sold of $800 000.if the firm improves the inventory turno

Lunna [17]

Answer:

d) $60,000 is released into working capital

Explanation:

Inventory turnover is the number of times that a firm buys and sells inventory. A high inventory means that the company sells its stock many times in a year.

the formula for inventory turnover ratio

=Cost of goods sold/ average inventory

If a firm has COGS of $800,000 and an inventory turnover of 5, then the average inventory will be

=$800,000 /5

=$160,000

If the firm improves its turnover to 8, then the average inventory will be

=$800,000/8

=$100,000

The firm average inventory will $100,000 as opposed to $160,000 previously.

$60,000 will be released to working capital.

3 0

3 years ago