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tester [92]
3 years ago
14

The berry patch has sales of $438,000, cost of goods sold of $369,000, depreciation of $37,400, and interest expense of $13,800.

the tax rate is 35 percent. what is the times interest earned ratio?
Business
1 answer:
12345 [234]3 years ago
4 0

Times interest earned ratio is calculated with the help of following formula:


Times interest earned ratio = Income before interest and tax / Interest


Income before interest and tax is calculated with the help of following formula:

Income before interest and tax = Sales – Cost of Goods Sold- Depreciation

Income before interest and tax = 438000-369000-37400 = 31,600


Hence, Times interest earned ratio = Income before interest and tax / Interest = 31600 / 13800 =<u> 2.29 times</u>



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Answer: $3,150,000

Explanation:

Total cost of production will be the total sum of the material costs, labor costs and indirect costs.

Indirect Costs

It was estimated that 12,000 machine hours would be used at a cost of $60 million.

Indirect cost per machine hour is;

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= $5,000 per hour

With 200 machine hours, indirect cost is;

= 200 * 5,000

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5 0
3 years ago
A sunk cost: Requires a current outlay of cash. Is the lost benefit of choosing an alternative course of action. Is irrelevant i
igor_vitrenko [27]

Answer:

Is irrelevant in decision making

Explanation:

Since the suck cost is the cost that no longer is recovered so it should not be a factor to consider when making a decision. For example, you have bought a cinema ticket for this evening, but it is heavily rainy so you may get sick if you go to the cinema. The fact that you have paid for this ticket should not consider whether to go or stay home since you can not get this amount of money no matter what happens.

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3 years ago
Rune Co.’s checkbook balance on December 31 was $10,000. On that date, Rune held the following items in its safe: $4,000 check p
jarptica [38.1K]

Answer:

$13,000

Explanation:

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6 0
3 years ago
Read 2 more answers
Nash's trading post, llc issues 2000 shares of $10 par value common stock at $11 per share. when the transaction is recorded, cr
Natasha2012 [34]

Answer:

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The par value of the share are $10 per share the number of shares are 2000 so initially we will credit common stock by (2000*10) = 20,000

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4 0
3 years ago
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Answer: d. $282,000

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3 years ago
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