Answer:
= $132,000.
Explanation:
There are two types of fixed costs, general fixed cost and specific fixed cost.
<u><em>General fixed costs </em></u><em>are those that cannot be traced to a specific product rather they are incurred for the benefit of all of the product being produced. For example,the rent of the factory where three products are being produced</em>
So they are unavoidable should a product be ceased for production that is they would still be incurred either way.
<u>S</u><u><em>pecific fixed costs </em></u><em>are those incurred specifically for a particular product and as such they would be saved should the product be discontinued. For example , if a special machine that cost $4000 a month to rent is used to produce a product. The $4000 would be saved should the production of the product ceases</em>
The net operating cost of the company would increase by the amount of the avoidable specific fixed cost:
=$90,000 + $42,000
= $132,000.
Answer:
1.$146
2.$30
3.Dr Loss on impairment of Goodwill $30
Cr To Goodwill $30
Explanation:
1.($million )
Acquisition cost $620
Fair value of asset
Tangible and Intangible assets $652
Less liabilities ($178)
($652-$178) $474
Goodwill from Harman acquisition $146
($620-$474)
2.
Book value of Harman's net assets (including goodwill) 630 million
Less Fair value of Harman, Inc. $600 million
Impairment loss of Goodwill $30
3.
General Journal
Dr Loss on impairment of Goodwill $30
Cr To Goodwill $30
Answer:
Factory overhead
Explanation:
FACTORY OVERHEAD can be defined as the costs which are often incurred during the manufacturing process and they don't include the costs of direct labor and the costs of direct materials which is why FACTORY OVERHEAD are often aggregated into the cost pools as well as been allocated to units produced during the manufacturing period.
In order word FACTORY OVERHEAD can be seen as the total cost which is been involved in operating all of the production facilities of a manufacturing business in which they cannot be traceable directly to a product and it also include the cost of salaries which is been paid to employees who work in a factory .
Answer:
D.$28.48 per machine hour
Explanation:
The predetermined overhead is calculated as ; Estimated total fixed overhead / Estimated machine hours
Given the above information,.
Predetermined overhead = $1,167,680/41,000
=$28.48 per machine hour
Answer:
FV= $11,733.20
Explanation:
Giving the following information:
Annual deposit= $2,000
Number of periods= 5 years
Interest rate= 8% = 0.08
<u>To calculate the future value, we need to use the following formula:</u>
FV= {A*[(1+i)^n-1]}/i
A= annual deposit
FV= {2,000*[(1.08^5) - 1]} / 0.08
FV= $11,733.20
