Answer:
The overhead application rate is 1.8
Explanation:
In the question both the estimated and actual overhead cost , material and labor cost are provided -
ESTIMATED ACTUAL
Overhead cost $396,000 $418,000
Material cost $410,000 $413,200
Direct cost $220,000 $224,000
Overhead application rate can be calculated by dividing the total budgeted overhead cost by direct labor cost.
= Budgeted overhead cost / direct labor cost
= $396,000 / $220,000
= 1.8
Answer and Explanation:
The journal entries are shown below:
a. Deferred revenue Dr ($3,750 ÷ 3 months) $1,250
To Revenue $1,250
(Being the revenue of three month is recorded)
b. Advertising expense Dr ($2,550 × 10 ÷ 30) $850
To Prepaid advertise $850
(Being the advertising expense is recorded)
c. Salary expense Dr $7,500
To Outsanding salary $7,500
(Being the salary expense is recorded)
d. Interest expense Dr ($65,000 × 6% × 4 months ÷ 12 months) $1,300
To Accrued interest $1,300
(being the interest expense is recorded)
The four months is taken from August 31 to December 31
Answer:
Net present value of the cash flows = $139,540
Explanation:
Since there is no initial investment, we cannot calculate net present value of this project. Instead we can find the Present value of the cash flow of this project. If we deduct the <em>initial Investment</em> from <em>present value of the cash flow</em> of this project, we can easily find net present value. Assuming initial investment is "0".
Net present value of the cash flows = ∑ - Initial Investment
i = rate of return = 10%
Present value of the cash flows = ∑
Present value of the cash flows = + + +
Present value of the cash flows = $34,727.2727 + $41,818.1818 + $34,034.5605 + 28,959.7705 = $139,540
Therefore, Net present value of the cash flows = $139,540 - 0 = $139,540.
According to your text, sales promotions such as free samples and point-of-purchase displays are designed to build short term sales.
<h3>
What is short term sales?</h3>
- An asset or stock that the seller does not own is sold in a short sale. The typical transaction involves an investor selling borrowed securities in expectation of a decrease in price; the seller is then obligated to deliver the same number of shares at a later date. In contrast, a seller holds a long position in the stock or securities.
- Because short sells restrict gains while amplifying losses, they are regarded as dangerous trading techniques. Additionally, they come with regulatory hazards.
- To be successful, short sales need to be timed almost perfectly.
to know more about short term sales with the given link
brainly.com/question/25506733
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