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Blizzard [7]
3 years ago
5

Cosi Company uses a job order costing system and allocates its overhead on the basis of direct labor costs. Cosi expects to incu

r $800,000 of overhead during the next period, and expects to use 50,000 labor hours at a cost of $10.00 per hour. What is Cosi Company's predetermined overhead rate?
Business
1 answer:
salantis [7]3 years ago
5 0

Answer:

160%

Explanation:

From the question above Cosi company is expected to incur $800,000 of overhead during the next period.

They are also expected to use 50,000 labor hours at a cost of $10 per hour

The first step is to find the estimated direct labor costs

= 50,000 × $10

= $500,000

Estimated direct labor cost= $500,000

The next step is to find the estimated overhead rate

Estimated overhead rate= Estimated overhead/Estimated direct labor costs

= 800,000/500,000

= 1.6 × 100

= 160%

Hence the predetermined overhead rate for Cosi company is 160%

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During 2015, Blevert Co. introduced a new line of machines that carry a three-year warranty against manufacturer's defects. Base
Trava [24]

Answer:

The amount of $224,000 should Blevert report as a liability at December 31, 2017

Explanation:

For computing the liability amount, we have to do the following calculations which is shown below:

= (Total sales value over the three year × sum of estimated warranty cost percentage for three year) - total warranty expenditure

= {$4,000,000 × (1% + 3% + 5%)} - ($136,000)

= {$4,000,000 × 9%} -  ($136,000)

= $360,000 - $136,000

= $224,000

6 0
4 years ago
Three years ago, you invested $3,350.00. Today, it is worth $4,100.00. What rate of interest did you earn
Anastasy [175]

Answer:

6.97%

Explanation:

the formula to be used is

The formula for calculating future value:

FV = P (1 + r)^n

FV = Future value  

P = Present value  

R = interest rate  

N = number of years  

$4,100.00 = $3,350.00 x ( 1 + r)^3

divide both sides of the equation by $3,350.00

$4,100.00 / $3,350.00 = ( 1 + r)^3

1.223881 = ( 1 + r)^3

find the cube root of both sides

1.069661 = 1 + r

r = 6.97%

7 0
4 years ago
When linking operations to business strategies, the order winner of the product imitator strategy, is _____ for the customer, wh
kupik [55]

Answer:

The question is incomplete, the options are missing. The options are the following:

a) Flexibility; price

b) Flexibility; quality

c) Quality; price

d) Price; quality

e) Price; flexibility

And the correct answer is the option E: Price; flexibility.

Explanation:

To begin with, in the field of business management the term known as "product imitator strategy" refers to a type of technique or strategy used by the companies in the situation where the want to reproduce a product that is imitating the product of the leader company of the industry. It is a very common and used method in most of the industries due to the fact that it happens when many companies try to produce a product that is similar to the ones of Apple for example. And when it comes to this strategy the most important matter for the customer is the price while for the for the product innovator strategy is the flexibility of it.

5 0
3 years ago
A company is planning to move to a larger office and is trying to decide if the new office should be owned or leased. Cash flows
skad [1K]

Answer:  13.26%

Explanation:

Year 0 Investment = $385,000

Incremental Cash flow every year = Cashflow if owned - Cashflow if leased

= 164,000 - 133,000

= $31,500

Incremental cashflow in Year 10 = Incremental Cashflow + Cashflow from sale of property

= 31,500 + 750,000

= $781,500

Using Excel and the IRR function, the rate is = 13.26%

5 0
4 years ago
Eileen is considering assignments, training programs, and development opportunities that she will need in preparation for being
qaws [65]

<span>Eileen is in the development phase in terms of her career development. The development phase is where the person is starting and learning to develop the activities that he or she is involved in—in a way to show the person strengths and achieve things with the use of their performance.</span>

5 0
4 years ago
Read 2 more answers
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