Answer:
The correct answer is letter "B": expresses items as a percentage of net sales.
Explanation:
A Common Size Income Statement reflects a percentage of net sales for each account. Common size income statements are basic tools that a business owner may use to compare the performance of his company to rivals or to compare the company to industry averages. Each line in this type of income statement is displayed as a percentage of revenue or sales and the amounts are compared to past performances which allow to observe the different values easily.
Answer:
A) $1,020,000
Explanation:
Conversion cost = All the cost incurred to convert raw material into finished goods, this only includes direct labor cost and manufacturing cost.
Thus, here as for provided information,
Manufacturing overhead = $250,000
Direct Labor = $770,000
Thus, conversion cost = $250,000 + $770,000 = $1,020,000
Conversion cost is the cost of efforts made to convert raw material to finished goods, but it does not include raw material cost.
A) $1,020,000
Answer:
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Explanation:
Answer:
available for common stock holders 34,000
Explanation:
The common stock holders are being paid after the preferred stock.
So we must first calculate and subtract the preferred stock.
5,000 preferred stock x $100 par x 4% = 20,000
declared dividends 54,000
preferred dividends <u> (20,000) </u>
available for common stock holders 34,000