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4 years ago

Gabuat Corporation, which has only one product, has provided the following data concerning its most recent month of operations

Business

1 answer:

DochEvi [55]4 years ago

5 0

Answer:

c) $ 24,200

Explanation:

Computation of Total Period costs

Fixed selling and Administrative expenses $ 8,800

Variable Selling and Administrative costs

$ 7 per unit * 2,200 units sold <u>$ 15,400</u>

Total period costs $ 24,200

The fixed manufacturing overhead is part of manufacturing costs so not considered.

The variable selling and administrative costs are based on units sold and not units produced.

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Ace, Inc. just bought a new delivery truck. Which of these costs should be capitalized?1. The $500 for insurance on the truck fo

Mamont248 [21]

Answer:

2. The $25,000 cost of the truck and 3. The $2,000 paid to install shelves inside the truck4.

Explanation:

The cost to be capitalized are those necessary to being the assets to a state and place where it becomes available for use.

This cost includes the $25,000 cost of the truck and $2,000 paid to install shelves inside the truck.

Other costs such as $50 a week for gas to run the truck and $500 for insurance on the truck for the next 12 months are to be expensed.

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3 years ago

On May 11, 2012, your calendar year firm pays $6,000 for a used computer server, its only asset purchase for the year, and estim

Effectus [21]

Answer:

Calendar-Year Firm

The firm’s maximum 2012 deduction for depreciation is:

= $917.

Explanation:

a) Data and Calculations:

Purchase of a used computer server on May 11, 2012 = $6,000

Since the server is a used one, we assume a four-year useful life

Salvage value = $500

Assumed useful life = 4 years

Depreciable amount = $5,500 ($6,000 - $500)

Since the firm does not take the Section 179 Deduction, which would have allowed it to expense the whole depreciable amount this 2012, the depreciation expense for the first year is calculated as follows:

Annual depreciation expense, using the straight-line method = $1,375

For 2012, the firm's maximum deduction for depreciation will be:

= $917 ($1,375 * 8/12) (covering the months from May 11 to December 31)

4 0

3 years ago

An investor is considering the purchase of a(n) 7.625 %, 18-year corporate bond that's being priced to yield 9.625 %. She th

sweet [91]

Answer:

The correct answer is 18.84%.

Explanation:

According to the scenario, computation of the given data are as follows:

Time period ( Nper) = 18 years

Rate = 9.625%

Let FV = $1,000

Coupon rate = 7.625%

Then, Coupon payment = $1,000 × 7.625% = $76.25

Attachment is attached of financial calculator

So PV = $831.95

After 1 year

Time period (Nper) = 17 years

Rate = 8.625%

Payment = $76.25

Attachment is attached of financial calculator

So, Pv = $912.46

So, we can calculate the holding period return by using following formula:

Holding period return = Total return ÷ Investment × 100

= ( $912.46 + $76.25 - $831.95) ÷ $831.95 × 100

= 18.84%

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3 years ago

State the difference between individual and community goods and services<br>

Luden [163]

Good are things that you can physically have but services are like someone cleaning your house

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3 years ago

It is less important to account for factors like warranties and durability when purchasing a

shepuryov [24]

Long-term product or b

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3 years ago

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