The amount of net income is $50,158.93.
Given:
Debt ratio = 62%
Asset turnover = 1.24
Profit margin = 5.1%
Total equity = $489,600
Find the Total Debt:
Debt = debt ratio × total equity
Debt = 0.62 * 489,600
Debt = $303,552
Find the Total Assets:
Total assets = Total debt + Total equity
Total assets = $303,552 + $489,600
Total assets = $793,152.
Find Total Turnover:
Turnover = Total assets * Total asset turnover ratio
= $793,152. * 1.24
= $983,508.48
Now find the amount of Net Income:
Net Income = Turnover * Profit margin
Net Income = $983,508.48 * 5.1%
= $50,158.93
The amount of net income is $50,158.93.
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They make their decisions based on the product
Answer:
d. $66,000
Explanation:
Raw Material requisition = $66,000
Raw Material requisition is transferred to work in process account by following entry
Dr. Cr.
Work in process $66,000
Raw Material Inventory $66,000
The debits to the Work in Process account as a consequence of the raw materials transactions in May is $66,000.
Answer
$400
Step by step explanation
Step 1: Total of the three deal = $40,000
Commission = 1% = 1/100 = 0.01
Step 2: Find the commission for $40,000
Commission earned for the month = 0.01 *$40000
= $400
I hope you will understand this.
Thank you.
Answer:
a. As per the situation sales exceed production absorption costing income from operations is lesser than variable costing income from operations.
b. $776,160
Explanation:
a. As per the situation sales exceed production absorption costing income from operations is lesser than variable costing income from operations
b. Given that
Beginning inventory = 52,800
Fixed manufacturing costs = $14.70 per unit
Total Beginning inventory = Beginning inventory × Fixed manufacturing costs
= 52,800 × $14.70 per unit
= $776,160