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3 years ago

Cost allocation involves: Multiple Choice

Business

1 answer:

Inga [223]3 years ago

3 0

Answer:

All of the answers are correct

Explanation:

The cost allocation refers to the allocation of cost with respect to the cost driver through which the allocation could be done in easily manner

Moreover, it also used to compute for allocation rate and then it would be multiplied with the weightage of the cost driver

Here, the cost driver meaning

The inspection cost is allocated by the number of inspections. Like setup, the cost is allocated by the number of setups required

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On January 1, Year 7, Colorado Corp. purchased a machine having an estimated useful life of 8 years and no salvage value. The ma

shepuryov [24]

Answer:

D) $0

Explanation:

The depreciation method changed, but the previous depreciation expense has already been recorded and subject to taxes. Therefore the new straight line depreciation should start with the remaining asset value and calculate the depreciation expense for the remaining 6 years:

For example, if the purchase value was $1,200,000 (= $300,000 x 4), the remaining value would be $675,000 then the depreciation expense will be $112,500 per year during the next 6 years starting on year 9.

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3 years ago

Moringa products corporation had common stock of $820,000 and retained earnings of $1,250,000 on january 1. during the year, $75

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Based on the beginning retained earnings balance and the net income as well as dividends, the retained earnings balance will be $1,585,500.

<h3>How much are retained earnings on Dec. 31?</h3>

This can be found as:

= Beginning retained earnings + Net income + dividends paid

Solving gives:

= 1,250,000 + 287,500 + 48,000

= $1,585,500

Find out more on retained earnings at brainly.com/question/25998979.

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2 years ago

ane is planning to offer a Groupon for inner tube rentals that she will distribute on hot, sunny, summer days by the river that

sweet [91]

Probability assigned:|

x 30 60 120 180

P(x) .10 .40 .40 .10

Answer:

Jane

Price of Groupon for a revenue of $300 is:

Explanation:

a) Data and Calculations:

Expected Sales volume:

Number of Tubes x 30 60 120 180

Probability P(x) .10 .40 .40 .10

Expected values 3 24 48 18

Total = 93 tubes

Groupon price = $300/93 = $3.23

b) Jane's price for each Groupon will be the rent revenue per day divided by the expected number of tubes to rent daily. The expected number of tubes is derived by multiplying each expected number of tubes by its probability and then summing up the results.

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3 years ago

Bobbi and Stuart are partners. The partnership capital of Bobbi is $35,300 and that of Stuart is $77,700. Bobbi sells his intere

SCORPION-xisa [38]

Answer:

The correct answer is:

John's capital account for $35,300 (c.)

Explanation:

In the admission of a new partner, the purchase of ownership from an existing partner to a new partner is entirely a personal transaction between the existing partner and the new partner, and the extent of partner bonus (the interest sold on the original partnership amount) is acquired by the exiting partner, but this bonus is not reflected in the partnership agreement, hence the amount credited into the new partner's account is the same as that owned previously by the exiting partner, irrespective of how much the partnership ownership was sold for.

Hence, since Bobbi's partnership capital was $35,300, John's account would be credited with the same amount even if the ownership was sold for $55,900, as the bonus goes to Bobbi.

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3 years ago

If the total assets of a business are $107,000 and its liabilities are $75,000, which of the following statements is correct?

Lady bird [3.3K]

Answer:

a. liabilities are $32,000

Explanation:

Note: In question part $75,000 shall represent equity, as there are only 3 parts of balance sheet assets, equity and liabilities, if assets are given liabilities is what we need to calculate the missing is equity.

Thus, $75,000 is treated as equity.

In that case we have,

Assets = Equity + Liabilities

$107,000 = $75,000 + Liabilities

Assets - Equity = Liabilities

$107,000 - $75,000 = Liabilities

$32,000 = Liabilities

Therefore, correct option is

a. liabilities are $32,000

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3 years ago