Answer:
Allocated MOH= $220
Explanation:
<u>To calculate the predetermined manufacturing overhead rate we need to use the following formula:</u>
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Predetermined manufacturing overhead rate= (2,890,000 + 850,000) / 85,000
Predetermined manufacturing overhead rate= $44 per direct labor hour
<u>Now, we can allocate overhead:</u>
Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Allocated MOH= 44*5
Allocated MOH= $220
<span>This is why the threat of potential entrants in this industry is so high. Because of all of the opportunities and financing plans, it is easy for someone who wants to start a restaurant to do so. The threat of potential entrants to other restaurants remains high because of new restaurants always popping up.</span>
I believe the answer is "D."
Answer:
False
Explanation:
Katie's S704(c) allocation = $90,000 (basis of the transferred property) - $100,000 (debt) = $10,000
The remaining debt of the partnership = $100,000 - $10,000 = $90,000
Katie's basis in the partnership = 50% x remaining debt = 50% x $90,000 = $45,000
