Lewis company has $25,000 in retained earnings, $40,000 in assets, and $11,000 in liabilities. how much is in common stock?

Your uncle is offering to sell you his T-shirt printing business for $1M. You think a multiple of 10X earnings (profit) is fair.

Archy [21]

No because it is to expensive and the modern outfits are changing relatively quickly

8 0

2 years ago

Plant-wide, department, and activity-cost rates. Acclaim Inc. makes two styles of trophies, basic and deluxe, and operates at ca

Elena L [17]

Answer:

Acclaim Inc.

Basic Trophies Deluxe Trophies

Budgeted unit cost:

a. using single-plant o/h rate $17.60 $28.80

b. using departmental rates $17.42 $29.16

c. using ABC $18.26 $27.48

d. They show different costs because the overhead rates are based on different parameters.

I recommend ABC system. It is more fair because the overhead rates are based on product line's activity usage instead of an arbitrary figure.

Explanation:

a) Data and Calculations:

Basic Trophies Deluxe Trophies Total

Budgeted production 10,000 5,000 15,000

Batches 200 50 250

Basic Trophies Deluxe Trophies Total

Forming Department $60,000 $35,000 $95,000

Direct manufacturing labor $30,000 $20,000 $50,000

Assembly

Direct materials $5,000 $10,000 $15,000

Direct manufacturing labor 15,000 25,000 40,000

Total direct costs $110,000 $90,000 $200,000

Overhead costs 66,000 54,000 120,000

Total production costs $176,000 $144,000 $320,000

Budgeted production 10,000 5,000

Budget unit costs $17.60 $28.80

Overhead rate

Total overhead/total direct costs = $120,000/$200,000 = $0.60

Basic Deluxe Total

Trophies Trophies

Forming department:

Overhead costs Setup $48,000

General overhead $32,000

Total overhead costs $80,000

Overhead rate = $80,000/$145,000 = $552

Assembly department

General overhead $40,000/$55,000 = $0.727

Basic Trophies Deluxe Trophies Total

Forming Department $60,000 $35,000 $95,000

Direct manufacturing labor $30,000 $20,000 $50,000

Total direct costs $90,000 $55,000 $145,000

Overhead costs 49,680 30,360 80,040

Total departmental costs $139,680 $85,360 $225,040

Assembly

Direct materials $5,000 $10,000 $15,000

Direct manufacturing labor 15,000 25,000 40,000

Total direct costs $20,000 $35,000 $55,000

Overhead costs 14,540 25,445 39,985

Total departmental costs $34,540 $60,445 $94,985

Total production costs $174,220 $145,805 $320,025

Budgeted production 10,000 5,000

Budget unit costs $17.42 $29.16

Basic Trophies Deluxe Trophies Total

Forming Department $60,000 $35,000 $95,000

Direct manufacturing labor $30,000 $20,000 $50,000

Assembly

Direct materials $5,000 $10,000 $15,000

Direct manufacturing labor 15,000 25,000 40,000

Total overhead allocated $72,600 $47,400 $120,000

Total production costs $182,600 $137,400 $320,000

Budgeted production 10,000 5,000

Budget unit costs $18.26 $27.48

Overhead costs allocation:

Basic Deluxe Total

Trophies Trophies

Forming department:

Overhead costs Setup $48,000/250 $38,400 $9,600 $48,000

General overhead $32,000/$50,000 19,200 12,800 32,000

Assembly department

General overhead $40,000/$40,000 15,000 25,000 40,000

Total overhead allocated $72,600 $47,400 $120,000

6 0

3 years ago

A property is listed for sale at $235,000. A buyer's offer of $220,000 is rejected by the seller. Six months later, the seller r

atroni [7]

Explanation:

the property's market value is the $210,000

8 0

3 years ago

A sales manager at Guilden Corporation, a manufacturer of consumer durable goods, instructed his new salesperson, Rita, to sell

Sidana [21]

Answer:

c. quotas

Explanation:

Quotas refer to minimum criteria to be fulfilled to meet the requirement.

Accordingly in the given instance Rita is given certain quotas to fulfill to meet the job. For this she has to sell at least 5 television sets, which shall be flat screen.

Also she must identify at least 10 potential customers who shall buy flat screen sets in near future.

These are basic conditions which are called quotas.

7 0

3 years ago

Following a long period of slow growth, the government of country X decided to open its economy and reduce trade barriers in or

Readme [11.4K]

This question is incomplete, here is the complete question:

Following a long period of slow growth, the government of country X decided to open its economy and reduce trade barriers in order to boost economic growth. This provided the expected impetus to the economy as competition increased and the efficiency of domestic firms improved. A decade after opening the economy, the country's GDP is now growing at an average of 7-8 percent annually. A group of economists claim that the standard of living of the people has improved substantially during this period. They also expect this impressive growth to continue over the next five years.

Which of the following, if true, will indicate that the standard of living has actually improved since the economy was opened?

A.Country X's leading trading partner reported a fall in the standard of living over the last two years.

B.Discretionary spending by domestic consumers increased during this time.

C.Overall exports increased because of a fall in domestic consumption during this period.

D.High interest rates have attracted a large amount of foreign investment over the last five years.

E.The government pegged its currency to a foreign currency three years back.

Answer:

(B) Discretionary spending by domestic consumers increased during this time.

Explanation:

When domestic consumers engage in increased discretionary spending, then it is safe to say that there is an improvement in the economy. As domestic consumers would rather spend only on essentials (food, clothing, and housing), when they have limited disposable income.

5 0

3 years ago