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Marianna [84]
3 years ago
5

Feldspar, Inc. started the year with 200 units in the Finished Goods Inventory account. It produced 600 units during the year an

d sold 800 units. If Feldspar uses variable​ costing, ________. A. its operating income for the period will be higher than under absorption costing B. its value of ending Finished Goods Inventory reported in the balance sheet will be higher than under absorption costing C. its operating income for the period will be lower than under absorption costing D. its operating income will be the same as under absorption costing
Business
1 answer:
Ivanshal [37]3 years ago
3 0

Answer:

A. its operating income for the period will be higher than under absorption costing

Explanation:

As we know that

Under absorption costing, the fixed cost is divided on the number of units produced

And under the variable costing, the fixed cost is considered as a cost selling of goods so the absorption costing method will be lower than the value of finished goods.

As per the question, the started finished goods will help and sell the whole production and starting balance that means under absorption costing of goods which is to be sold is much than variable costing.

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Francis works for a local fly-fishing shop. The shop allows employees to purchase two fly rods per year at a discount. This year
RUDIKE [14]

The amount of discount that has to be included in Francis's income is 0.

<h3>How to solve for the discount amount</h3>

The amount of the discount - sales price

= 300 - 250

= $50

This is the discount when it is sold to employees

Next we solve for the gross profit as

sales price x gross profit rate

= 300 x 30%

= 90

Given the amounts that we have here we have to conclude that the amount to be included in the account is 0

Read more on what a discount is here:

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6 0
2 years ago
For purposes of determining current​ E&amp;P, which of the following items cannot be deducted in the year​ incurred? A. dividend
Bogdan [553]

Answer:

A. dividendsminus−received deduction.

Explanation:

This allows companies to avoid mostly third taxes on the same earnings.

It is explained to be a federal tax deduction in the U.S. that is given to certain corporations that get dividends from related entities. The amount of the dividend that a company can deduct from its income tax is tied to how much ownership the company has in the dividend-paying company. However, there are criteria that must be met in order to qualify for a DRD.

The dividends received deduction allows a company that receives a dividend from another company to deduct that dividend from its income and reduce its income tax accordingly.

7 0
4 years ago
predetermined overhead rate on the estimated machine-hours for the upcoming year. At the beginning of the most recently complete
Papessa [141]

Answer:

Total overhead rate =  $34.17  per machine hour

Explanation:

The total overhead rate would  the sum of the variable overhead rate and the fixed overhead rate

<em>The pre-determined fixed overhead absorption rate = Estimated fixed overhead /Estimated machine hours </em>

<em>DATA:</em>

<em>Estimated overhead       - $256,500.</em>

<em>Estimated machine hours -  10,000 machine hours</em>

The pre-determined fixed overhead absorption rate =

$256,500/ 10,000 machine hours = 25.65  per hour

<em>The pre-determined overhead absorption rate = $25.65  per hour</em>

Total overhead rate = Variable rate + Fixed rate

                                 = $8.52 +  $25.65 = $34.17

Total overhead rate =  $34.17  per machine hour

3 0
3 years ago
The primary benefit of a MINIMAX objective function is
sladkih [1.3K]

Answer:

The correct answer is letter "C": it yields a larger variety of solutions than generally available using an LP method.

Explanation:

In Goal Programming (GP), the MINIMAX objective aims to minimize the maximum deviation from any type of objective. This approach carries a larger number of solutions compared to the Linear Programming (LP) method which mainly focuses on assigning more weight to each goal in the objective function.

4 0
4 years ago
Which of the following would be considered a situation of legal employment discrimination? A. Rene, who has a disability, is rej
Leya [2.2K]

Answer: The correct answer is "A. Rene, who has a disability, is rejected from a job position because another candidate did not have a disability.".

Explanation: Disability discrimination occurs when an employer treats a qualified person with a disability, who is an employee or job applicant, unfavorably because he has a disability.

While in the case of option B, the law requires an employer to provide reasonable accommodation to an employee or job applicant with a disability, this is not mandatory if doing so will generate significant difficulties or expenses for the employer.

Therefore the case of option A would be considered a situation of legal employment discrimination.

5 0
3 years ago
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