Departmental contribution to overhead is calculated as the amount of sales of the department less:

1 answer:

5 0

The total cost of running said department. In other words this is talking about if you had 5 employees within the department and $100,000 for inventory. The employees work at $10/hr for 1 month at 40 hrs a week. That means they each brought in 400$ a week for 4 weeks or 1600$ ($8000 total). So the departments expenses this month was $113,000 dollars (extra 5k for insurance, electricity, gas, water, trash, cleaning, rent, etc.) No say the income was $200,000 for that month in sales. That would mean the Departmental contribution to overhead was $87,000. This is because after all the expenses were factored in there was still $87,000 that could go to the companies overall overhead. Departmental contribution to overhead is 1 departments contribution to the entire companies overhead. In order to contribute it must first make more than it spends.

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Essay of circular flow

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Circular flow is a model of economy in which major exchanges are showed as flow of money, food, goods, services and etc between economic agents. In circular flow, the flows of money and goods exchanges in a closed circuit but runs oppositely. Circular flow analysis is the basis of national accounts.

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3 years ago

Suppose that the last dollar that Victoria receives as income brings her a marginal utility of 10 utils while the last dollar th

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Answer:

a, Redistribute income from Victoria to Fredrick.

Explanation:

Marginal Utility is defined as the "change in the utility from an increase in the consumption of that good or service." According to my research on marginal utility, I can say that based on the information provided within the question we should Redistribute income from Victoria to Fredrick in order to maximize the combined total utility.

I hope this answered your question. If you have any more questions feel free to ask away at Brainly.

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2 years ago

AK Inc. is paying 5% coupon rate for its bondholders over the next 8 years. Your required rate of return is 7 percent, how much

ratelena [41]

Answer: $880.57

Explanation:

Assuming Par value of bond is $1,000.

Value of bond = (Coupon * Present value interest factor of annuity, no. years, required return) + Par Value/ (1 + required return)^ no. of years

Coupon = 5% * 1,000 = $50

Value of bond = (50 * 5.9713) + 1,000 / (1 + 7%)⁸

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2 years ago

Accrual accounting requires that the cost associated with the failure of credit customers to pay their bills should be recorded

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Answer:

Explanation:

Failure of credit customers to pay their bills is considered a bad debt in Accounting. This is recored as a bad debt expense in journal entries in the period when the credit sale occurred. This ensures that these bad debt expense matches the revenues earned during that period. In a company's financial statements, bad debt expense is recorded in the Income statement as selling expenses.

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Answer: Follow up with a letter that documents the call and promotes goodwill.

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The proper way to address a complaint call is to follow up by giving a letter stating the explanation apologies, excuses shall not be mentioned and assurance should be provided that such action would not be taken in future.

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