Answer:
a. $137,020
Explanation:
The computation of the total variable cost for 5,200 activity level is shown below:
But before that first we have to find out the variable cost per unit which is
= Total variable cost ÷ given activity level
= $131,750 ÷ 5,000 units
= $26.35
Now the variable cost is
= Variable cost per unit × expected activity level
= $26.35 × 5,200 units
= $137,020
We simply applied the above formulas
Answer:
$120,000
Explanation:
The computation of the budgeted accounts receivable is shown below:
= Budgeted sales of January month × next month sales collection percentage
= $200,000 × 60%
= $120,000
We simply multiply the January accounts receivable with the next month collection sales percentage to find out the budgeted accounts receivable
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Not necessarily. Sure, there are some things where it is very clear what is right and wrong but there are so many situations where it is hard to differentiate between what is right and what isn't.
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Answer:
Estimated manufacturing overhead rate= $38.25 per direct labor hour
Explanation:
Giving the following information:
Zephyros Corporation had estimated manufacturing overhead costs for the coming year to be $306,000. The total estimated direct labor hours for the coming year are 8,000
To calculate the estimated manufacturing overhead rate we need to use the following formula:
Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Estimated manufacturing overhead rate= 306,000/8,000= $38.25 per direct labor hour
<span>The primary purpose of measuring the overall level of prices in the economy is to</span> allow for the comparison of dollar figures from different points in time.
