Answer:
The product cost for 24,500 units is $497,350.
Explanation:
The reason is that the the product cost always includes all the variable production cost and specific fixed production cost. In this scenario, direct material cost, direct labor cost, variable manufacturing overhead cost are variable production cost whereas the fixed manufacturing cost is specific fixed production cost which will form part of product cost. The remainder of the cost left is period cost.
Direct materials (24,500 * $7.7 per unit) $188,650
Direct labor (24,500 * $4.7 per unit) $115,150
Variable manufacturing overhead (24,500 * $2.2 per unit) $53,900
Fixed manufacturing overhead (24,500 * $5.7 per unit) <u>$139,650 </u>
Total product costs $497,350
Direct material cost variance = (Standard price - Actual Price) * Actual Quantity
= ($50 - $51) * 47,000
= $47,000 adverse
Answer:
Explanation:
first will need to calculate the Fv future value of this CD
Fv = Pv ( 1 + R )^n n = 4 /12 = 0.333333, r, rate = 4.5/100 = 0.045
Fv = $ 630000 ( 1+ 0.045)^0.33333 = $ 639311.69
a) the current value at 5 % Pv = Fv / ( 1+r)ⁿ
Pv = $ 639311.69 / ( 1.05)^0.3333 = $ 628998.41
b) the current price at 4.25% = $ 639311.69 / ( 1.0425)^0.3333 = $ 630503.20
Answer: Esther does not recognize any gain or loss on the distribution and her remaining basis in EE is $15,000
Explanation:
Base on the scenario been described in the question, repayment of liabilities is treated as a cash distribution. Esther's share of the debt reduction is Since this amount is lower than her outside basis ($40,000) she does not recognize a gain or loss.reduces her outside basis by the $25,000, which leaves her $15,000 of outside basis in EE afterthe debt repayment.