1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Musya8 [376]
3 years ago
6

The manager at Screaming Trees has been trying to calculate the portion of the​ company's overhead expenses that is fixed and th

e portion that is variable. Over the past twelve​ months, the number of yards of processed was highest in​ July, when the total monthly overhead costs totaled $ 28 comma 000 for 32 comma 000 yards of mulch processed. The lowest number of yards of mulch processed in the last twelve months occurred in​ October, when total overhead costs were $ 23 comma 000 for 24 comma 000 yards of mulch processed. What is the fixed portion of the monthly overhead​ expenses? (Do not round any intermediate​ calculations.)
Business
1 answer:
Neporo4naja [7]3 years ago
5 0

Answer:

$8,000

Explanation:

For computing the fixed portion first we have to compute the variable portion using the high low method which is shown below:

Variable cost per hour = (High total monthly overhead costs - low total monthly overhead costs) ÷ (High number of yards - low number of yards)

= ($28,000 - $23,000) ÷ (32,000 yards - 24,000 yards)

= $5,000 ÷ 8,000 yards

= $0.625 per yard

Now the fixed cost equal to

= High total monthly overhead costs - (High number of yards × Variable cost per yard)

= $28,000 - (32,000 yards × $0.625)

= $28,000 - $20,000

= $8,000

You might be interested in
Hurlburt Corporation renewed an insurance policy for 3 years beginning July 1 and recorded the $81,000 premium in the prepaid in
Slav-nsk [51]

Answer:

B. Debit insurance expense for $13,500 and credit prepaid insurance for $13,500.

Explanation:

If 6 months past from the beginning of the contract then these past 6 months must be reflected as expenses in the balances.

$13,500 reflect the expenses of the past 6 months from July 1 to December 31, then the entry Debit insurance expense for $13,500 and credit prepaid insurance for $13,500 reflect the proper balances at the end of the year.

8 0
3 years ago
At the end of 2021, Worthy Co.’s balance for Accounts Receivable is $11,000, while the company’s total assets equal $1,410,000.
erastovalidia [21]

Answer:Worthy journal $

Date

March 14, 2022

Bad debt Dr 2600

Receivable Cr 2600

Narration. Record of receivables written off to income account on account becoming unrecoverable.

Explanation:

The direct method of written off bad debts do not make provision for estimate of receivables that are likely to go bad in which the estimate is recognised as debit to income statement and the corresponding credit entry is used to reduce the receivables, with adjustment been made at the year end for variances.

In the direct method the actual bad debts is debited in the income s statement and credited to the receivables accounts.

6 0
3 years ago
Baxter company produces children's wiffle ball sets using a three-step sequential process that includes molding, coloring, and f
Nikitich [7]
<span>when the sets are completely finished, the cost should be transferred to: </span>W<span>IP inventory-Finishing
WIP stands for work in progress, which is an account to placed all the amount of manufactured product that still not ready to be sold to the market.
Since the manufacter process is in finishing stage (coloring/packing), the appropriate account should be </span>WIP inventory-Finishing
3 0
3 years ago
Based on the details of the scenario, determine what will most likely occur. Jillian and Chase are making a contract in which Ji
olga2289 [7]

Answer: Contract is voided

Explanation:

From the question, we are informed that Jillian and Chase are making a contract in which Jillian ships beaver pelts to Chase, who will then makes the pelts into hats to sell.

We are further told that a year into their contract, it becomes illegal to buy or sell beaver pelts in the United States. Based on the scenario explained, the contact will be voided.

A void contract is referred to as a formal agreement that cannot be enforceable and is not legitimate. Since it is illegal to either purchase or sell beaver pelts, it means that the context cannot be carried out anymore and should the be void.

3 0
3 years ago
Which of the statements below is​ FALSE? A. The balance sheet reports the performance of the firm over the past period. It summa
Colt1911 [192]

Answer:

A. The balance sheet reports the performance of the firm over the past period. It summaries and categorizes a​ company's revenues and expenses for that period.

Explanation:

The balance sheet is a financial document or statement that shows a company's total assets at a particular time. It indicates how the assets are financed. A balance sheet reports the net worth of a business. It shows the assets, the liabilities, and the shareholders' equity.  

The preparation of a balance sheet follows the principle of assets equals the sum of liabilities and equity.  It does not record incomes of expenses of a business for a financial year. The income statement is the financial report that shows the revenue and expenses of a company in a period.

7 0
3 years ago
Other questions:
  • A group of elderly men, whose government disability benefits are the sole source of income, is approached to consider an experim
    5·1 answer
  • You decide to quit your $60,000-per-year job as an information technology specialist and illustrate children's books. At the end
    13·1 answer
  • Using aggregate supply and demand curves drawn according to the Keynesian view, which of the following will occur if the Fed buy
    14·1 answer
  • The accrual basis of accounting:____
    9·1 answer
  • What is the highest expected return these bonds could​ have? At the​ time, similar maturity Treasuries had a yield of 0.89 %. Co
    10·2 answers
  • There are several ways that central banks can increase or decrease the money supply. Match the descriptions below with the corre
    15·1 answer
  • Which of the following is an example of a positive-sum game?A. Working with someone to build a house. B. A war between two count
    6·1 answer
  • Which of the following is a potential disadvantage when considering long-term loans as an option for raising capital?
    10·1 answer
  • Clampett, Incorporated, has been an S corporation since its inception. On July 15, 2021, Clampett, Incorporated, distributed $42
    11·1 answer
  • when comparing a retail business to a service business, the financial statement that changes the most is the
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!