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3 years ago

Listed below are costs found in various organizations.

Business

1 answer:

zysi [14]3 years ago

7 0

Answer:

1. Direct labor

Variable, Manufacturing and Direct.

2. Executive salaries

Fixed, Administrative.

3. Factory rent

Fixed, Manufacturing and Indirect.

4. Property taxes, factory.

Fixed, Manufacturing and Indirect.

5. Boxes used for packaging detergent produced by the company

Variable, Manufacturing and Direct.

6. Salespersons' commissions

Variable, Selling.

7. Supervisor's salary, factory

Fixed, Administrative.

8. Depreciation, executive autos.

Fixed, Administrative.

9. Wages of workers assembling computers

Variable, Manufacturing and Direct.

10. Insurance, finished goods warehouses

Fixed, Selling.

11. Lubricants for production equipment.

Variable, Manufacturing and Direct.

12. Advertising costs

Fixed, Selling.

13. Microchips used in producing calculators.

Variable, Manufacturing and Direct.

14 Shipping costs on merchandise sold

Variable, Selling.

15. Magazine subscriptions, factory lunchroom

Fixed, Administrative

16. Thread in a garment factory

Variable, Manufacturing and Direct.

17 Executive life insurance

Fixed, Administrative.

18. Ink used in textbook production

Variable, Manufacturing and Direct.

19. Fringe benefits, materials handling workers

Fixed, Administrative.

20. Yarn used in sweater production

Variable, Manufacturing and Direct.

21. Wages of receptionist, executive offices

Fixed, Administrative.

Explanation:

The cost which is affected by the production of units is known as variable cost. The cost which does not vary with the units produced is fixed cost.

The costs which are related to selling and storage of the finished goods is selling cost. The cost which is not affected by units produced and is related to office premises and controlling an organization is administrative cost. The cost which varies with the production of units and is incurred to convert raw material into finished goods is manufacturing cost.

The manufacturing cost which is directly affected by the units produced is direct cost and the manufacturing cost which is not affected by the units produced is indirect cost.

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IceJOKER [234]

Answer:

Inventory turnover

Year 3 6.95 times

Year 2 4.73 times

Year 1 4.23 times

Days Sales In Inventory

Year 3 55.22 days

Year 2 75.07 days

Year 1 86.28 days

Explanation:

Inventory turnover is the ratio that how many time a business has sold or replaced the inventory during a given period. A business is considered more profitable if it has high inventory turnover.

According to given data

Year 3 Year 2 Year 1

Merchandise inventory 97,400 87,750 92,500

Cost of goods sold $643,825 $426,650 $391,300

Inventory turnover = Cost of Goods Sold / Average Inventory value

Inventory turnover= Cost of Goods Sold / [ ( Opening Inventory + Closing Inventory ) / 2 ]

Year 3

Inventory Turnover = $643,825 / [ ( 97400 + 87750 ) / 2 ] = 6.95

Year 2

Inventory Turnover = $426,650 / [ ( 87750 + 92500 ) / 2 ] = 4.73

Year 1

Inventory Turnover = $391,300 / 92500 = 4.23

As there will be no Beginning inventory so average inventory will be same as the closing inventory is the same as the Closing Inventory.

Days Sales In Inventory = 365 x Ending Inventory / Cost of Goods Sold

Year 3

Days Sales In Inventory = 365 x 97,400 / $643,825 = 55.22 days

Year 2

Days Sales In Inventory = 365 x 87,750 / $426,650 = 75.07 days

Year 1

Days Sales In Inventory = 365 x 92,500 / $391,300 = 86.28 days

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3 years ago

Economic profits and lossesa. equalize the distribution of income in the long run. b. are essential to the reallocation of resou

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Answer:

The correct answer is letter "B": are essential to the reallocation of resources from less desired to more desired goods.

Explanation:

Economic profit is the difference between the company's profits from revenue and the overall opportunity cost. The difference between accounting profit and economic profit is significant. Only total revenue minus the explicit cost of producing goods or services is considered to calculate the accounting profit.

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Resources are used efficiently in the sunhat market because when _______. A. production is capital intensive, producer surp

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Answer:

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Explanation:

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