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Savatey [412]
3 years ago
7

Poskey Corporation uses an activity-based costing system with three activity cost pools. The company has provided the following

data concerning its costs and its activity based costing system: Costs: Wages and salaries $ 349,000 Depreciation 290,000 Utilities 199,000 Total $ 838,000 Distribution of resource consumption: Activity Cost Pools Assembly Setting Up Other Total Wages and salaries 65% 20% 15% 100% Depreciation 35% 20% 45% 100% Utilities 15% 75% 10% 100% How much cost, in total, would be allocated in the first-stage allocation to the Assembly activity cost pool?
Business
1 answer:
MrRa [10]3 years ago
6 0

Answer:

\left[\begin{array}{cccccc}&Cost&Assembly&Setting Up&Other&Total\\wages&349,000&226,850&69,800&52,350&349,000\\Depreciation&290,000&101,500&58,000&130,500&290,000&Utilities&199,000&29,850&149,250&19,900&199,000&Total&838,000&358,200&277,050&202,750&838,000&\end{array}\right]

Explanation:

We mulitply each line by the stated percent of each activity

<u>for example</u>

Setting Up % x Utilities= Utilities cost assigned to setting up

199,000x 75% = 149,250

Assembly % Depreciation= Depreciation cost assigned to assembly

35% x 290,000 = 101,500

This process must be done to assign each portion of cost.

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When a company utilizies _______ it arranges for other organizations in the supply chain to perform functions that were previous
kobusy [5.1K]

Answer:

C

Explanation:

When a company utilizes outsourcing it arranges for other organization in the supply chain to perform functions that were previously performed internally.

5 0
3 years ago
g Hondae Inc. purchased equipment on January 1, 2018, at a cost of $320,000. The company estimated a $8,000 salvage value and th
klasskru [66]

Answer:

Honda Inc.

Journal

To correct the error:

Debit Retained Earnings $21,600

Credit Accumulated Depreciation $21,600

To record the correction of depreciation error.

For the current year:

Debit Depreciation Expense $31,200

Credit Accumulated Depreciation $31,200

To record the depreciation expense for the year.

Explanation:

a) Data and Calculations:

January 1, 2018 Purchase of Equipment at a cost = $320,000

Estimated salvage value = $8,000

Recorded salvage value = $80,000

Estimated useful life = 10 years

Annual depreciation expense based on recorded salvage value = ($320,000 - 80,000)/10 = $24,000

Accumulated depreciation for 3 years (2018 to 2020) = $72,000 ($24,000 * 3 years)

Correct annual depreciation expense = ($320,000 - 8,000)/10 = $31,200

This means that depreciation expense was being understated annually by $7,200 ($31,200 - $24,000).

4 0
3 years ago
McDonald's is an example of a ________ franchise. a. conversion formsb. trade namec. product distributiond. pure
Sergio039 [100]

Answer:

Pure Franchise

Explanation:

A Pure franchise can be defined as the way in which franchise made available all the necessary and important document which the franchisee will need such as the complete business format , trade name licence, the types of product or goods to be sold, the marketing strategy to use as welll as the type of method of operation to follow and use among others.

In addition PURE FRANCHISE may as well include the actual amount or cost for the start upstart, franchise fees as well as their growth history.

All this procedure are what the franchisor use to sells the complete business format as well as the system of their product to the franchisee in which the franchisee must adopt as well.

Therefore McDonald's is an example of a PURE franchise.

3 0
3 years ago
Read 2 more answers
1. After multiple rounds of layoffs, a plastics processing plant goes into bankruptcy because it has failed to keep up with tech
Gwar [14]

1. After multiple rounds of layoffs, a plastics processing plant goes into bankruptcy because it has failed to keep up with technological developments in the field. It is called dissolution.

2. Crisis is a multinational conglomerate facing a turbulent environment embarks on a cost-cutting campaign instead of spinning off companies and divisions that are no longer in line with the company’s core competencies.

3. Blinded is a college president doesn’t recognize that the availability of free online education is going to dramatically reduce the number of people who are willing to pay for a college degree.

Explanation:

Dissolution is the final phase of liquidation, the closure of a company, and the transfer of the property and assets of the company. Relationship breakup is the first of two phases of relationship termination.

For example, marriage breakdown. It is the last winding-up process of corporate law.

There are several types of circumstances where disaster conditions can be considered. Which include: social disturbance or interruption of the family, as stated at the outset of the lesson. Natural hazards -floods, tornados, storm events, explosions and other natural phenomena incident.

8 0
3 years ago
Slow​ 'n Steady,​ Inc., has a stock price of $ 34​, will pay a dividend next year of $ 3.10​, and has expected dividend growth o
erica [24]

Answer:

10.92%

Explanation:

The formula and the computation of the estimated cost of equity capital is shown below:

Stock price = Next year dividend ÷ (cost of equity - expected dividend growth rate)

We assume the cost of equity be X

$34 = $3.10  ÷ (cost of equity - 1.8%)

$34 X - $34 × 1.8X = $3.10

After solving this,

The cost of equity would be 10.92%

3 0
3 years ago
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