Answer: Accrual accounting
Explanation: Under the accrual method of accounting, the entity records the revenues and expenses in the period of their occurrence, regardless when the cash is exchanged.
In the given case, Porite is recognizing revenues in the same period for the account receivable of asset from which that revenue is generated. Hence, the receiving of revenue is not taken into consideration.
Hence, from the above we can conclude that the practice of Porite is an example of accrual accounting.
Answer:
1. Continue to Make the Cakes. Because the Cost of Outsourcing is greater that the cost of making by $1,150.
2. C. Qualitative factors include quality and on-time delivery.
Explanation:
<u>Analysis of the Make or Buy Decision</u>
Make Outsource Difference
Cake costs cakes cakes
Variable costs:
Direct materials $550 $0 $550
Direct labor $950 $0 $950
Variable manufacturing overhead $150 $0 $150
Fixed manufacturing overhead $1,125 $1,125 $0
Purchase cost $0 $2,800 ($2,800)
Total differential cost of cakes $2,275 $3,925 ($1,150)
<u>Qualitative Factors.</u>
Are non-monetary factors that need to be considered in decision making.
Answer:
Overheads apply = $2,400
Explanation:
given data
factory overhead = $900,000
general and administrative costs = $600,000
per hour = $20
Direct labor costs = $300,000
solution
we know here Total direct labor hours that is
Total direct labor hours = 
Total direct labor hours = 15,000 direct labor hours
so here Factory overheads per direct labor hour will be
Factory overheads per direct labor hour = 
Factory overheads per direct labor hour = $60 per direct labor hour
so here Overheads applied to Job will be
Overheads apply = 40 direct labor hours × $60 per direct labor
Overheads apply = $2,400
Answer:
A)Software development employees will receive customer feedback about whether the products are helpful to students.
B)Software development employees will have opportunities to tell the research and marketing departments if a new product idea cannot be brought to market in a timely or cost-effective manner.
C)Instead of getting orders from the top management about what products to make, based on what the research department recommends, software development employees will participate on teams that collect data and make decisions.
Explanation:
Horizontal linkage model, gives room to departments in an organization to have relationship in working out new product such as commercial products.horizontal linkage model gives room for a good relationship between worker/employee within a particular organization.
If the company uses the horizontal linkage model, the software development department are expected to do its work by taking actions such as;
✓Receiving feedback from customers about how helpful the product is to the consumer of it.
✓ the relationship the model create will allow the software development employees to communicate with research and marketing departments
if new product ideals cannot be brought to market in a timely or cost-effective manner.
✓development employees will
have a team parformance, to collect data and make decisions.
