Answer:
Overhead application rate
= <u>Budgeted overhead</u>
Budgeted machine hours
= <u>$266,400</u>
18,500 hours
= $14.40 per machine hour
Overhead applied
= Overhead application rate x Actual machine hours
= $14.40 x 19,050 hours
= $274,320
Under-applied overhead
= Overhead applied - Actual factory overhead
= $274,320 - $287,920
= $13,600
Explanation:
In this question, there is need to determine the overhead application rate, which is the ratio of budgeted factory overhead to budgeted machine hours. Then, we will calculate the overhead applied, which is overhead application rate multiplied by actual machine hours. Under-applied overhead is the difference between overhead applied and actual factory overhead. .
Answer:
5.95%.
Explanation:
Expected dividend (D1) $1.25
Stock price $27.50
Required return 10.5%
Dividend yield 4.55%
Growth rate = rS - D1/P0 = 5.95%.
<span>There are no differences in accounting between research costs and development costs. Research costs are capitalized and amortized over the life of the project, whereas development costs are expenses as incurred. Research costs are capitalized and amortized until the product goes to market, whereas development costs are capitalized and amortized from the time the product hits the market until the product is withdrawn from the market. Research costs are expended as incurred, whereas development costs are capitalized and amortized over the life of the new product</span>
