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
g100num [7]
3 years ago
6

Alpha Technology produces two products: a high end laptop under the label Excellent Laptops and an inexpensive desktop under the

label Outstanding Computers. The two products use two overhead activities, with the following costs: Setting up equipment $3,000 Machining $15,000 The controller has collected the expected annual prime costs for each product, the machine hours, the 」setup hours, and the expected production. Excellent Laptops Outstanding Computers Direct Labor Direct Materials Expected Production in Units Machine Hours Setup Hours Calculate the overhead cost per unit for each of Outstanding Computer's computer using overhead $25,000 $20,000 3,000 850 80 $10,000 $5,000 3,000 2,000 75 rates based on machine hours and setup hours. (Note: Round answer to two decimal places.) a.$3.99 per unit b.$5.75 per unit c.$4.88 per unit d.$6.10 per unit
Business
1 answer:
Westkost [7]3 years ago
7 0

Answer:

a.$3.99 per unit

Explanation:

The computation of the overhead cost per unit is shown below:

Allocated setting up equipment

= $3,000 × (75 ÷ 75 + 80)

= $1,451.61

Allocated machining

= $15,000 × (2,000 ÷ 2,000 + 850)

= $10,526.31

Total overhead is

= $10,526.31 + $1,451.61

= $11,979.92

Now the overhead cost per unit is

= $11,979.92 ÷ 3,000

= $3.99 per unit

You might be interested in
A July sales forecast projects that 5,000 units are going to be sold at a price of $12.50 per unit. The management forecasts 2%
Pavlova-9 [17]

Answer:

P_i = 5000 units *12.5\frac{dollars}{unit} = 62500 dollars

And for the new case we know that the sales increase by a factor of 2%, so then we can find the new number of sales like this:

1.02*5000 units= 5100 units

And the Total August sales would be given by:

P_f = 5100 units *12.5 \frac{dollars}{unit}= 63750 dollars

And the correct answer for this case would be:

$63,750

Explanation:

For this case the original number of sales for this case is 5000 units and the unitary price is given by 12.5 \frac{dollars}{unit}

And the total sales for the original case would be given by:

P_i = 5000 units *12.5\frac{dollars}{unit} = 62500 dollars

And for the new case we know that the sales increase by a factor of 2%, so then we can find the new number of sales like this:

1.02*5000 units= 5100 units

And the Total August sales would be given by:

P_f = 5100 units *12.5 \frac{dollars}{unit}= 63750 dollars

And the correct answer for this case would be:

$63,750

7 0
3 years ago
Bridge City Consulting bought a building and the land on which it is located for $175,000 cash. The land is estimated to represe
Darya [45]

Answer:

Part 1

D.E = $5,300

Part 2

a. Book Value = $61,900

b. Book Value = $122,500

Explanation:

Step 1 : Determine the Cost of Buildings

<em>Separate the Cost of Land and the Cost of Building from the Purchase Price</em>

<u>Calculation of the Cost of Building</u>

Purchase Price ($175,000 x 30%)   $52,500

Building Renovations                      $20,000

Total                                                  $72,500

Step 2 : Depreciation calculation

<em>Depreciation expense = (Cost - Residual Value) ÷ Useful Life</em>

                                      = ($72,500 - $19,500) ÷ 10

                                      = $5,300

After Year 2

<u>Buildings :</u>

Accumulated Depreciation = $10,600

Book Value = $72,500 - $10,600 = $61,900

<u>Land </u>

Book Value = $175,000 x 70% = $122,500

Note : Land is not depreciated

5 0
3 years ago
Transactions involving the purchase and sale of fixed assets would be considered _______ activities.
ohaa [14]
Transactions involving the purchase and sale of fixed assets would be considered INVESTING activities.
Investing activities refers to those activities carried out by the company which involve sales or purchases of fixed assets such as building and equipment.
4 0
3 years ago
Which is not a good financial decision? building a savings account and taking out fewer and smaller loans in the future making m
nirvana33 [79]

Answer: frequently spending more money than is earned

Explanation:

7 0
3 years ago
Read 2 more answers
How do you compute net income for a merchandiser. Multiple choice question. Revenues - expenses. Net sales - cost of goods sold.
tester [92]

Answer:

Net income for a merchandiser is computed as:

Net sales - cost of goods sold - other expenses.

Explanation:

Net sales are the sales revenue after deducting sales discounts and allowances.  The cost of goods sold represent the beginning inventory of merchandise and current period's purchases less the ending inventory.  The difference between the net sales and the cost of goods sold is called the gross profit.  From this, other expenses incurred in running the business and generating sales are deducted, including income taxes to arrive at the net income.

7 0
3 years ago
Other questions:
  • Accountants use only _____ costs in their computations of short-run total cost.
    14·1 answer
  • Clara is looking into investing a portion of her recent bonus into the stock market. While researching different companies, she
    12·1 answer
  • The financial planning life cycle divides an individual's life into three stages. In stage 2, the focus of individual financial
    13·1 answer
  • A car insurance policy has a $500 deductible for comprehensive coverage and a $1000
    8·2 answers
  • The equal dignity rule has several exceptions. for example, an executive officer of a corporation can conduct business transacti
    8·1 answer
  • Consider a second hand car market where three types of cars are being sold: High quality (H), medium quality (M) and low quality
    5·1 answer
  • Which of the following fees would likely be the highest?
    12·1 answer
  • Daniel was surprised his store ran out of marshmallows so quickly. This typically does not happen during the spring, so he runs
    12·1 answer
  • Gundy Company expects to produce 1,299,600 units of Product XX in 2017. Monthly production is expected to range from 73,600 to 1
    11·1 answer
  • When assessing the pulse of an unresponsive infant, you should palpate the ________ artery.
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!