Answer:
(a)
For Job G15:
Direct labor = $20,000
Overhead applied = 16,000
Overhead rate = 
= 0.8 × 100
= 80%
Overhead applied = Direct labor × 80%
= $20,000 × 80%
= $16,000
Overhead is applied on direct labor. Hence, rate is 80%.
Overhead for Job B10 = Direct labor × 80%
= $54,000 × 80%
= $43,200
Therefore,
Total overhead applied = $43,200 + 45,750 + 16,000
= $104,950
(b) Hence,
Overapplied overhead for February:
= Total overhead applied - Actual Overhead
= $104,950 - $68,500
= $36,450
Answer:
The accounting process begins with Analysis of business transactions and source documents
Explanation:
The Accounting process begins by<em> identifying the transactions and events</em> that occurred in the business.
After identification, the events and transactions have to be<em> recorded in appropriate Account</em> using the <em>proper books of entry</em>.
A list of Balances known as the <em>Trial Balance</em> is then computed when the Accounts are closed.
The Trial Balance is then used <em>to prepare financial statements</em>.
Financial Statements are then <em>Analysed</em> to assist various stakeholders and users of financial statements to <em>make decisions</em>.
Answer:
The registration fee for this used car is $45.60.
Explanation:
Since the sale price of the used car is $5,700, to calculate the registration fee, simply multiply the selling price by the registration rate of 0.8% (0.008):
F = 5,700 * 0.008
F= $45.60
The registration fee is $45.60.
Answer:
b. the implied warranty of merchantability
Explanation:
Implied warranty of merchantability refers to an implied assurance, in every sales transaction that the seller's goods are safe and fit for intended purpose of usage.
It represents an unspoken guarantee on the part of the seller that his goods conform to the acceptable standards and properly packaged and labeled and abide by the promises conveyed on their label.
The motive behind such a warranty being, the seller must properly inspect and test the quality of his goods before releasing them or making them available for sale in the market.
In the given case, the seller sold skis to the customer which cracked into two upon usage. The seller isn't aware of the cause of the consequence. Thus, the seller breached the principle of implied warranty of merchantabilty as per which, it should've first checked and inspected the skis before making them available for sale.
<u>Explanation:</u>
Classified balance sheet presents information about assets,liabilities and shareholder's equity of an entity.Order in which they are presented is as follows"
- Current assets-it includes cash and cash equivalents like prepaid expenses,inventories,assets held for sale.
- Long term investments-it includes investment made in other companies
- Property,plant and equipment-it includes all the fixed assets.
- Intangible assets-it includes assets which cannot be touched like goodwill.
- Current liabilities-it includes trade and other payables, accrued expenses,liabilities held for sale
- Long term liabilities-It includes long term loans,Deferred tax liabilities.
- Stockholder's equity-It includes share capital.additional paid up capital,retained earnings.
