Answer and Explanation:
1. The classification of estimated manufacturing overhead is shown below:-
Direct materials = Product cost
Direct labor = Product cost
Manufacturing overhead = Product cost
Selling expense = Period cost
2. The computation of total product cost for last month is shown below:-
= Direct materials + direct labors + manufacturing overhead
= $7,000 + $3,000 + $2,000
= $12,000
3. And, the unit product cost is
= Total product cost ÷ number of units
= $12,000 ÷ 4,000 units
= $3 per unit
Answer:
Total cost= $9395
Explanation:
Giving the following information:
The company has two departments: Assembly and Sanding.
The Assembly Department:
Departmental overhead rate of $35 per machine hour.
The Sanding Department:
Departmental overhead rate of $20 per direct labor hour.
Job 603:
Direct labor hours used 85
Machine hours used 107
The cost of direct labor is $30 per hour
Direct materials used= $1,400.
Total cost= direct materials + direct labor + manufacturing overhead
Total cost= 1400 + $30*85 + [(107*$35)+(85*$20)]
Total cost= 1400 + 2550 + 5445
Total cost= $9395
Answer: Option (c) is correct.
Explanation:
Given that,
Quantity demanded increases by = 30%
Price elasticity of demand = 2
Therefore,
Price elasticity of demand = 
2 = 
Percentage change in prices = 
= 15%
Therefore, price of a particular good decreases by 15%.
Answer: Will report a liability of $5000 for judgement debt and a claim of $11,000
Explanation:
The liability refers to the obligations of the firm which are certain is going to make payment as compensation.
The $5000 liability, although payment has not been made it's already Incurred by the company under the acural concept.
The claim of $11,000 is only probable and not certain even though amount and time of execution can be estimated, since it's not certain it will only be recorded as a claim in the goverments fund balance sheet.
