What was Henry Ford's output

Sawyer Manufacturing Corporation uses a predetermined overhead rate based on direct labor-hours to apply manufacturing overhead

krok68 [10]

Answer:

d. underapplied by $ 3,000

Explanation:

Computation of predetermined overhead rate based on direct labor hours

Estimated Overhead Cost $ 330,000

Estimated Direct Labor Costs 55,000 hours

Predetermined Overhead rate ( $ 330,000/ 55,000) $ 6 per labor hour

Total applied overhead = Actual Direct Labor hours times Overhead rate

57,000 hours * $ 6 per hour $ 342,000

Actual manufacturing overhead $ 345,000

Under applied overhead $( 3,000)

3 0

3 years ago

The following information relates to the Magna Company for the upcoming year, based on 402,000 units. Amount Per Unit Sales $ 10

MAXImum [283]

Answer:

Ans. The operating profits will increased by $216,683.58 by increasing the sales by 66,000 units ( $1,049,400)

Explanation:

Hi, first we have to consider that Magna has sufficient capacity to handle this additional order, it means that its manufacturing overhead is not going to increase, in other words, our costs of goods sold, for the first 402,000 units are going to be $13/unit (COGS no manufacturing overhead)+ $1,360,000 of fixed manufacturing overhead.

We could do the same with the operating expenses, but there is no use for that since no additional operating expenses (as a whole) need to be added for this additional 66,000 units.

Before this additional 66k sale, this is what we have.

Unit

Amount 402,000

Sales $26 $10,452,000

COGS(no overhead) $13 $5,072,000

Fixes man overhead $3 $1,360,000

Gross Margin $10 $4,020,000

Oper expenses $0.86 $346,300

Fixed Marketing expense $0.29 $116,000

Operating profit $3,557,700

Now, let´s see how it looks when we add this additional 66k units to the P&L statement.

Unit

Amount 468,000

Sales $26 $10,452,000

Sales( at $15.90) $15.9 $ 1,049,400

COGS(no overhead) $13 $5,904,716

Fixes man overhead $3 $1,360,000

Gross Margin $10 $4,236,684

Oper expenses $0.86 $346,300

Fixed Marketing expense $0.29 $116,000

Operating profit $3,774,383

Therefore, the company´s operating profits will increase in $216,683.58

($3,774,383.58 - $3,557,700).

Best of luck.

4 0

4 years ago

The honey Co. sells two types of honey, flower and maple. The company projected the following cost information for the two produ

ozzi

Answer:

Break-even point (units)= 3,500 units

Explanation:

Giving the following information:

Flower Maple

Unit selling price $ 250 $ 120

Unit variable cost $ 110 $ 80

Number of units produced and sold 4,000 6,000

The company's total fixed costs are expected to be $280,000.

First, we need to calculate the sales proportion:

Flower= 4,000 / 10,000= 0.4

Maple= 6,000 / 10,000= 0.6

Now, to calculate the break-even point, we need to use the following formula:

Break-even point (units)= Total fixed costs / Weighted average contribution margin

Weighted average contribution margin= (weighted average selling price - weighted average unitary variable cost)

Weighted average contribution margin= (0.4*250 + 0.6*120) - (0.4*110 + 0.6*80)

Weighted average contribution margin= 80

Break-even point (units)= 280,000 / 80

Break-even point (units)= 3,500 units

6 0

3 years ago

Direct materials inventories are kept in pounds for Cat Company, and the total pounds needed for production in the current perio

marta [7]

Answer:

The correct answer is:

14,500 pounds

Explanation:

First of all, let us lay out the information clearly:

requirement for production = 14,000 pounds

beginning inventory = 2,000 pounds

ending inventory = 2,500 pounds

Next, let us calculate the total inventory required by the business during the period, as shown below:

Total inventory required = inventory required for production + ending inventory = 14,000 + 2,500 = 16,500 pounds.

Finally, putting the beginning inventory into consideration, it means that out of the total 16,500 pounds required, Cat Company has 2,000 already, hence will reduce purchase by 2,000 pounds. Therefore, total purchase is calculated as:

Total purchase = Total inventory required - beginning inventory

= 16,500 - 2,000 = 14,500

8 0

3 years ago

Why do you suppose the marketing of the tax shelters at KPMG grew so fast?

guajiro [1.7K]

Answer: c. Social learning theory

Explanation:

KPMG in 2005 were almost indicted for their role in convincing wealthy clients to deceive the US government into believing that they had suffered losses which helped them evade taxes through tax shelters.

The marketing of these tax shelters at KPMG spread fast due to the Social learning theory where people engage in behaviour that they observed others doing.

Employees at KPMG were encouraged to be team players and so when they saw their fellow workers marketing these products to the wealthy, they too wanted to market it.

4 0

4 years ago