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stira [4]
4 years ago
14

Classify each cost as either a product cost or a period cost. Indicate whether each product cost is a direct materials cost, a d

irect labor cost, or a factory overhead cost. Indicate whether each period cost is a selling expense or an administrative expense.
Business
1 answer:
chubhunter [2.5K]4 years ago
6 0

a. Salary of chief compliance officer of company

b. Power used by painting equipment

c. Instrument panel installed in the airplane cockpit

d. Annual bonus paid to the chief operating officer of the company

e. Turbo-charged airplane engine

f. Interior trim material used throughout the airplane cabin

g. Cost of normal scrap from production of airplane body

h. Hourly wages of employees that assemble the airplane

i. Salary of the marketing department personnel

j. Cost of paving the headquarters employee parking lot

k. Cost of electrical wiring throughout the airplane

l. Cost of electronic guidance system installed in the airplane cockpit

m. Salary of plant manager

n. Cost of miniature replicas of the airplane used to promote and market the airplane

o. Human resources department costs for the year

p. Metal used for producing the airplane body

q. Annual fee to a celebrity to promote the aircraft

r. Hydraulic pumps used in the airplane's flight control system Product costs-  

s. Yearly cost of the maintenance contract for robotic equipment

t. Prebuilt leather seats installed in the first-class cabin

u. Depreciation on factory equipment

v. Special advertising campaign in Aviation World magazine

w. Oil to lubricate factory equipment

x. Masks for use by painters in painting the airplane body

y. Decals for cockpit door, the cost of which is immaterial to the cost of the final product

z. Salary of chief financial officer

Answer:

A) period costs- administrative expense

B) product cost-factory overhead cost

C) product cost-direct materials cost

D) period costs- administrative expense

E) Product costs-direct materials cost

F) Product costs-direct materials cost

G) Product costs-factory overhead cost

H) Product costs-direct labor cost

I) Period costs-selling expense

J) Period costs-administrative expense

K) Product costs-direct materials cost

L) Product costs-direct materials cost

M) Product costs-factory overhead cost

N) Period costs-selling expense

O) Period costs-administrative expense

P) Product costs-direct materials cost

Q) Period costs-selling expense

R) Product costs-direct materials cost

S) Product costs-factory overhead cost

T) Product costs-direct materials cost

U) Product costs-factory overhead cost

V) Period costs-selling expense

W) Product costs-factory overhead cost

X) Product costs-factory overhead cost

Y) Product costs-factory overhead cost

Z) Period costs-administrative expense

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Suppose on January 1 Andrew​'s Tavern prepaid rent of $ 16 comma 800 for the full year. At November 30​, how much rent expense s
zalisa [80]

Answer:

The rent expense to be recorded on November 30 will be $15400.

Explanation:

The accrual principle in the accounting states that the revenues and expenses for a period should be matched and recorded in their respective periods. Following the principle, we should record the expenses in the period to which they belong. Thus, the rent that is paid in advance is an asset and it will be expensed out as it is consumed.

The rent of $16800 is paid for the period from January to December.

The rent to be recorded as rent expense on 30 November will be for 11 months from January to November.

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You invest $1,000 now, at an annual simple interest rate of 6%. What is the effective rate of interest in the fifth year of your
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Answer:

The effective rate of interest in the fifth year is 6.15%

Explanation:

Mathematically, the effective rate of interest can be calculated as follows;

Reff = (1 + r/y)^y - 1

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r is the interest rate = 6% = 6/100 = 0.06

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Substituting these values;

Reff = (1 + 0.06/5)^5 - 1

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Stanley purchases nonresidential real property costing $300,000 and places it in service in March 2018. What is Stanley's 2019 d
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Answer:

$7,692.31

Explanation:

Given;

Cost of non-residential real property = $300,000

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A specialist who is familiar to the resistance normally developed to such changes can help make the transition from the old to the new system successful by addressing concerns, answering questions, training and documenting the process.

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Assume that Jack and Hal and Sophia enter into a valid contract for the sale of the restaurant and for the covenant not to compe
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3) Jack has anticipatorily repudiated the contract and Hal and Sophia can immediately consider the contract to be breached.

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