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grandymaker [24]
3 years ago
15

In December 2016, Custom Mfg. established its predetermined overhead rate for jobs produced during 2017 by using the following c

ost predictions: overhead costs, $680,000, and direct materials costs, $400,000. At year-end 2017, the company’s records show that actual overhead costs for the year are $897,200. Actual direct material cost had been assigned to jobs as follows.
Jobs completed and sold $ 420,000 Jobs in finished goods inventory 76,000 Jobs in work in process inventory 53,000 Total actual direct materials cost $ 549,000 Determine the predetermined overhead rate for 2017.
Business
1 answer:
Luden [163]3 years ago
5 0

Answer:

POAR= 170% of the direct material cost.

Explanation:

Explanation:

The predetermined overhead absorption rate (POAR: The overhead absorption is a rate which is used to charge overheads to production units. Note that this rate is computed using estimated figures

The rate is computed as follows:

Predetermined overhead absorption rate

POAR

= (Budgeted overhead for the period/Budgeted direct material cost)× 100

= $680,000/400,00 ×  100

= 170% of the direct material cost.

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Chuck Stout is the RM for the Holiday Inn Express. His 220-room property normally sells 85 percent of its rooms on Tuesday night
Dmitriy789 [7]

Answer:

winning the group romm contract: $14,967.50

normal tuesday revenue                    $16,175.50

Explanation:

group contract:

125 rooms x $ 109       =  13,625

normal rooms:

(220-125)   x $ 141.50  = <u>  13,442.5  </u>

       total revenue:          27,067.5

variable cost: 220x55=  (12,100)

   contribution:                14,967.5

If it doesn't win the contract

will sale 220 x 85% = 187 rooms at 141.5 each

187 rooms x (141.5 - 55) = 16.175,5‬

3 0
3 years ago
Why not use the silver standard for money?
xz_007 [3.2K]
Do u mean the nickles and dimes??
8 0
3 years ago
McGuire Company acquired 100 percent of the voting common shares of Able Corporation by issuing bonds with a par value and fair
-Dominant- [34]

Answer: $650,000

Explanation:

Given that,

Fair and par value of issued bonds = $150,000

Prior acquisition, McGuire reported

Total assets = $500,000

Liabilities = $280,000

Stockholders’ equity = $220,000

At that date, Able reported

Total assets = $400,000

Liabilities = $250,000

Stockholders’ equity = $150,000

Account payable to McGuire = $20,000

Total assets reported by McGuire after acquisition:

= Total assets + Fair value of investment

= $500,000 + $150,000

= $650,000

4 0
3 years ago
When a company employs a varied workforce of both men and women, people of many generations, and people from ethnically and raci
Inessa [10]

<u>Answer:</u> When a company employs a varied workforce of both men and women, people of many generations, and people from ethnically and racially different backgrounds, it is called workplace diversity.

<u>Explanation:</u>

Workplace diversity means when the organisation recruits employees from different backgrounds such as age, gender, ethnicity, religion, caste etc. By hiring people from different backgrounds the company has the benefits of hiring a pool of talented and skilled workers.

Creativity increases in the organisation for solving problems and different types of ideas can be brainstormed. The organisation can also understand the global market. Problems are solved quickly and it gives competitive advantage for the company in the market.

4 0
3 years ago
Read 2 more answers
Laura has an equity portfolio valued at $11.2 million that has a beta of 1.32. She has decided to hedge this portfolio using SPX
Nonamiya [84]

Answer:

Explanation:

Put Delta = call delta - 1 = 0.582 - 1 = -0.418

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6 0
3 years ago
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