Answer:
Forecast of 2020 net earnings = $299.2 million.
Explanation:
Note:
a. See part a of the attached excel file for the calculations of the Historic Percent of Total Revenue.
b. See part b of the attached excel file for the Forecast of ADP’s 2020 income statement.
From part b of the attached excel file, we have:
Forecast of 2020 net earnings = $299.2 million.
Answer:
Each of the following are types of Overheads allocation methods.
Explanation:
Factory overheads such as rent, electricity or water can not be traced directly to a cost object.
When determining the cost of a cost object these overheads are apportioned to departments they pass through for processing or the actual job using an allocation method.
The common methods for allocating overheads are plant-wide rate method, departmental overhead rate method and activity-based costing method.
Answer:
(B). Develop products that the company can sell, based on customer needs.
Explanation:
When <u>customer needs arise in the market</u>, organizations become aware of these needs through market research and customer feedback, and then try to <u>meet these needs by developing new products.</u>
The need for new products is what is known as Market-pull.
Answer:
486 units
Explanation:
Computation for Department 1 The equivalent units of production for labor and overhead units.
Using this formula
(Completed and transferred out units × 100% percent) +(Ending work in process inventory ×60% complete for labor and overhead)
Where:
Completed and transferred out units 450
Ending work in process inventory 60
Let plug in the formula
(450 ×100%)+(60×60%)
=450+36
=486
Therefore the equivalent units of production for labor and overhead is 486 units.
