In general, how long does it take to accomplish a long-term goal?

Answer:

1. groups costs into meaningful buckets that are then distributed based on the activity or product they support.

Explanation:

Activity based costing basically categorizes various overheads into different activities, that leads to charge of overheads based on different activities.

In this manner overheads that shall be charged on some standard products based on the activities involved is charged accordingly, and not based on standard overhead allocation rate.

Basically the overheads are divided into various activities and then distributed to each product based on the volume of activity in the manufacturing process of such activity.

7 0

3 years ago

What will be the depreciation, via the straight line method, if the cost of a plant is $43,250, estimated disposal value is $3,2

Alinara [238K]

Answer:

depreciation expense per year 8,000

Explanation:

<u>The first step,</u> is to calculate the depreciable amount for the asset:

cost - salvage value = amount subject to depreciation

43,250 - 3,250 = 40,000 = depreciable amount

<u>Then,</u> we calculate the depreciation per year:

depreciable amount/ useful life = depreciation per year

40,000/5 = 8,000

In some particular cases, the first year the asset enter the accounting it could be for a period of half the accounting period, so only half-year depreciation is appliedon the first year.

7 0

3 years ago

EarlKeen Co. sold $260,000 of equipment during January under a one-year warranty. The cost to repair defects under the warranty

igomit [66]

Answer:

warranty expense 10,400 (260,000 x 4%)

warranty liablity 10,400

warranty liability 150

wages payable 50

inventory 100

Explanation:

we recognize the expected warranty expense at the moment of the sale.

Then expenses associate with the warranty will decrease the prevision "warranty liability"

The part used come from the company's inventory

and the wages for work on the product, will have to be paid.

<u>Note: </u>it could be cash directly instead of using wages payable account. But because there is no information about those wages being paid I assume are not.

3 0

3 years ago

What is the maximum amount you would pay for an asset that generates an income of $250,000 at the end of each of five years, if

Serggg [28]

250,000/1.08 + 250,000/1.08^2 + 250,000/1.08^3 + 250,000/1.08^4 + 250,000/1.08^5 = $998,177.51 is the correct answer

<h3>What is an asset?</h3>

An asset is a resource having economic worth that a person, organization, or nation owns or manages with the hope that it may someday be useful.

The balance sheet of a business lists assets. They are divided into four categories: tangible, financial, fixed, and current. They are acquired or produced in order to raise a company's value or improve the operations of the company.

Whether it's manufacturing equipment or a patent, an asset can be viewed of as anything that, in the future, can generate cash flow, lower expenses, or increase sales.

An asset is anything that can increase sales, lower costs, or generate cash flow, whether it be a patent or manufacturing equipment.

To learn more about asset, visit:

brainly.com/question/14404094

#SPJ4

3 0

1 year ago

Comfy Fit Company manufactures two types of university sweatshirts, the Swoop and the Rufus, with unit contribution margins of $

Genrish500 [490]

Answer:

1. Swoop = $50

Rufus = $45

2. Optima mix = 40, 000 units of Swoop and 9, 091 units of Rufus

3. $336, 365

Explanation:

We will assume that a maximum of 40, 000 units of each sweat shirts can be sold.

1. Contribution margin is the selling price minus all the variable costs associated with the product. The total contribution margin represents the amount of earnings that are available to pay for fixed costs after paying for variable costs.

Swoop Rufus

Contribution per margin $ 5 $ 15

Required machine time per unit^ 0.10 0.33

Contribution margin per machine time $50 $45

^ 0.10 = 6 minutes per Swoop units / 60 minutes

0.33 = 20 minutes per Rufus unit / 60 minutes

2. Optimal product mix refers to the variety of products that a business offers to its customers. Companies determine their optimal mix for their business as this optimizes the potential unit sales while maintaining or improving the company’s profitability.

Since Swoop yields the highest contribution margin per hour of machine time [$50], we will prioritize producing all pf the Swoop T-shirts that the market can take, i.e. to meet the demand.

Machine time required for the maximum amount of Swoop = 40, 000 x 0.1 hours = 4, 000 hours needed to manufacture the Swoop t-shirts.

The remaining machine hours will manufacture the Rufus T-shirts.

7, 000 – 4, 000 = 3, 000 hours.

3, 000 / 0.33 = 9, 091 units.

Therefore, the optimal mix is 40, 000 units of Swoop sweat shirts and 9, 091 units of Rufus sweat shirts. This will take up all the machine hours available.

3. Total contribution margin for the optima mix = (40, 000 x $5) + (9, 091 x $15) = $336, 365

3 0

3 years ago