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AlekseyPX
4 years ago
14

Job costing, process costing. In each of the following situations, determine whether job costing or process costing would be mor

e appropriate.
a. A CPA firm
b. An oil refinery
c. A custom furniture manufacturer
d. A tire manufacturer
e. A textbook publisher
f. A pharmaceutical company
g. An advertising agency
h. An architecture firm
i. A flour mill
j. A paint manufacturer
k. A nursing home
l. A landscaping company
m. A cola-drink-concentrate producer
n. A movie studio
o. A law firm
p. A commercial aircraft manufacturer
q. A management consulting firm
r. A plumbing contractor
s. A catering service
t. A paper mill
u. An auto repair shop
Business
1 answer:
scoray [572]4 years ago
7 0

Answer:

a. A CPA firm     Job costing

b. An oil refinery     Process costing

c. A custom furniture manufacturer     Process costing

d. A tire manufacturer     Process costing

e. A textbook publisher     Process costing

f. A pharmaceutical company      Process costing

g. An advertising agency     Job costing

h. An architecture firm        Job costing

i. A flour mill        Process costing

j. A paint manufacturer     Process costing

k. A nursing home      Job costing

l. A landscaping company     Job costing

m. A cola-drink-concentrate producer      Process costing

n. A movie studio     Job costing

o. A law firm     Job costing

p. A commercial aircraft manufacturer      Process costing

q. A management consulting firm       Job costing

r. A plumbing contractor      Job costing

s. A catering service       Job costing

t. A paper mill       Process costing

u. An auto repair shop    Job costing

Explanation:

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Meyer Inc's total invested capital is $610,000, and its total debt outstanding is $185,000. The new CFO wants to establish a tot
valentinak56 [21]

Answer:

b. $150,500  

Explanation:

debit/capital = $185000/$610000

                     = 30%

target debt is 55%

debt/capital = 0.55

let the new debt be Y

Y/$610,000 = 0.55

Y = $335,500

excess debt need by company = $335500 - $185000

                                                    = $150500

Therefore, The debt that the company must add to achieve the target debt to capital ratio is $150500.

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4 years ago
Alpha Computing is a U.S. company that specializes in IT research. It has formed a joint venture with Microchips Inc., a Belgium
Airida [17]

Answer:

The answer is: Strategic alliance

Explanation:

Strategic alliance refers to an agreement between two or more companies that will work together to pursue common goals or objectives. Each company will remain independent and their collaboration is solely to achieve a specific common objective. In this case, Alpha and Microchips will continue to work independently and will work together as one only in China.

8 0
3 years ago
Meyerson’s Bakery is considering the addition of a new line of pies to its product offerings. It is expected that each pie will
neonofarm [45]

Answer:

Instructions are listed below

Explanation:

Giving the following information:

It is expected that each pie will sell for $15 and the variable costs per pie will be $9. Total fixed operating costs are expected to be $25,000. Meyerson’s faces a marginal tax rate of 35%, will have interest expense associated with this line of $3,500.

Break-even point (units)= fixed costs/ contribution margin

Break-even point (units)= (25000+3500)/(15-9)= 4750 units

Break-even point (dollars)= fixed costs/ contribution margin ratio

Break-even point (dollars)= (25000+3500)/[(15-9)/15]

Break-even point (dollars)= $71,250

8 0
3 years ago
On March 15, American Eagle declares a quarterly cash dividend of $0.095 per share payable on April 13 to all stockholders of re
irinina [24]

Answer:

March 15,

Dr. Dividend                $20,520,000

Cr. Dividend Payable $20,520,000

April 13,

Dr. Dividend Payable $20,520,000

Cr. Cash                      $20,520,000

Explanation:

A dividend is announced and paid after some days, so the journal entries for both event will be recorded separately.

At The time of Declaration no payment is made, only a liability is created against the dividend payment.

Dividend Value = $0.095 x 216,000,000 shares =  $20,520,000

Payment will be made by debiting the dividend payable account to adjust the liability account and Crediting cash for the payment of cash dividend.

8 0
3 years ago
Rahul needs a loan and is speaking to several lending agencies about the interest rates they would charge and the terms they off
seraphim [82]

Answer: 6.17%

Explanation:

When calculating the effective rate of an interest rate being compounded over a number of periods in a year, use the following:

= [ (1 + Nominal rate / Number of periods in a year) ^ Number of periods in a year- 1] * 100%

Number of periods = Compounding is monthly = 12

Effective rate = [ (1 + 6% / 12)¹² - 1 ] * 100%

= 6.17%

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3 years ago
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