Answer:
C. $1,370,000
Explanation:
Calculation to determine the cost figures that should be used in setting a minimum bid price if Harlen has excess capacity
Direct material $340,000
Direct labor $610,000
Allocated variable overhead $420,000
Minimum bid price $1,370,000
($340,000+$610,000+$420,000)
Therefore the cost figures that should be used in setting a minimum bid price if Harlen has excess capacity is $1,370,000
Answer:
C. 37.4%
Explanation:
The computation of the gross profit margin is shown below:
Gross profit margin is
= Gross profit ÷ Sale revenue × 100
= $4,267.2 ÷ $11,406.90 × 100
= 37.4%
By dividing the gross profit by the sales revenue we can get the gross profit margin.
It is always expressed in a percentage form
All the other information which is given in the question is not relevant. Hence, ignored it
Answer:
d. 18,570 pounds
Explanation:
The computation of the raw material purchased for the month of February is shown below:
= Production in units + ending inventory - beginning inventory
where,
Production in units = 19,200
Ending inventory is
= 17,100 × 30% × 1
= 5,130
And, the beginning inventory is
= 19,200 × 30% × 1
= 5,760
So, the raw material purchased for the month of February is
= 19,200 + 5,130 - 5,760
= 18,570 pounds
We simply applied the above formulas
Answer:
9%
Explanation:
Calculation to determine What annual interest rate is Consolidated Freightways paying
Based on the information given we would be using Financial calculator to determine the ANNUAL INTEREST RATE
PV= $60,000
PMT= -$13,375
N= 6
I/Y=?
Hence:
I/Y = 9%
Therefore annual interest rate that Consolidated Freightways is paying will be 9%
Answer:
D. Provides that bonuses and commissions paid as compensation are included as wages in the calculation of employer-employee contributions.
Explanation:
As with reference to Sec 312(a) - it clearly states that all the amount rendered by the employer to the employee as in the nature of wages shall be included for computing the value of contributions.
Thus, as the bonuses and commissions are part of wages.
This clearly it creates the understanding that all the bonus and commissions received by the employee shall form part of wages for calculating the value of employer employee contributions towards the funds.
