1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Vlad1618 [11]
3 years ago
14

Direct materials, $7 per unit, Direct labor, $5 per unit, Variable overhead, $6 per unit, and Fixed overhead, $270,000. The comp

any produced 27,000 units, and sold 18,500 units, leaving 8,500 units in inventory at year-end. Income calculated under variable costing is determined to be $355,000. How much income is reported under absorption costing
Business
2 answers:
Arte-miy333 [17]3 years ago
7 0

Answer:

Income reported under absorption costing =$440,000

Explanation:

<em>The income reported under absorption costing can be determined by  adjusting the income under variable costing for difference in profit.</em>

<em>The steps are outlined below:</em>

<em>Step 1</em>

<em>Calculate the Overhead absorption rate</em>

OAR = Budgeted Fixed overhead/ Budgeted number of units

=  $270,000/ 27,000 units

= $10

<em>Step 2</em>

<em>Calculate the change in inventory </em>

8500 units (given)

<em>Step 3</em>

<em>Calculate the difference in profit </em>=

<em> Difference in profit = OAR × change in inventory</em>

=8500×$10

= $85000

<em>Step 4</em>

<em>Calculate Income under absorption costing</em>

<em> =  Income under variable costing +  Difference in profit</em>

=$85,000 + $355,000

=$440,000

Income reported under absorption costing =$440,000

Rudik [331]3 years ago
6 0

Answer:

$440,000

Step by Step Explanation:

Therefore:

Fixed overhead/company produced unit

 $270,000/ 27,000 units = $10

8500×$10= $85000

=$85,000 + $355,000

=$440,000

Hence; the Income reported under absorption costing is =$440,000

You might be interested in
As the team works together, Carol plays a diversity manager role , diffusing conflicts and helping everyone feel welcome to cont
Valentin [98]

As the team works together, Carol plays a diversity manager role, diffusing conflicts and helping everyone feel welcome to contribute ideas.

<h3>Diversity and Inclusion Manager responsibilities </h3>

Designing company policies that reinforce diversity in the workplace, address all kinds of harassment, and protect minority groups. Training hiring managers and HR staff on how to select, manage, evaluate and retain diverse employees.

Diversity and inclusion managers need to be:

  • Excellent communicators and active listeners.
  • Familiar with employment regulations and human resources standards of practice.
  • Organized and dedicated to researching and implementing inclusive programs.
  • Skilled in conflict mediation.
  • Familiar with institutional psychology.

To learn more about diversity manager visit the link

brainly.com/question/7655172

#SPJ4

4 0
2 years ago
Mervon Company has two operating departments: Mixing and Bottling. Mixing has 350 employees and Bottling has 350 employees. Indi
krok68 [10]

Answer:

Allocated administrative cost for mixing is $81000

And allocated administrative cost for for bottling is $81000

Explanation:

We have given total number of employs for mixing = 350

And total number of employs for bottling = 350

Administrative cost = $162000

So total number of employs = 350+350 = 700

So allocation base for mixing =\frac{350}{700}=0.5

So allocated amount for mixing = 0.5×$162000 = $81000

Allocation base for bottling = =\frac{350}{700}=0.5

So allocated amount for bottling = 0.5×$162000 = $81000

3 0
3 years ago
On November 1, 2018, Mason Corp. sold $700,000 of its 10% term bonds dated October 1, 2018. The bonds were sold to yield 8%, wit
kvv77 [185]

Answer:

$16,000

Explanation:

The computation of the amount reported for the interest payable is shown below:

= Principal × rate of interest × number of months ÷ (total number of months in a year)  

= $800,000 × 8% × (3 months ÷ 12 months)  

= $16,000

The three months should be taken from October 1 To November 1 and November 1 to December 31

We simply applied the above formula so that the interest payable amount could come

7 0
3 years ago
The foreign corrupt practices act of 1977 makes it illegal for u.s. firms to select one:
diamong [38]
The answer is <span>a. attempt to make large payments or bribes to influence policy decisions of foreign governments.</span>
8 0
3 years ago
Would Davidson Masonry automatically be taxed as a partnership or a corporation? Is Davidson Masonry member managed or manager m
vichka [17]

Answer: The answers are provided below.

Explanation:

In Papagos Arizona, a deteriorating bridge on a prominent public roadway needed a repair. The city posted notices seeking proposals for an artistic bridge design and reconstruction. Davidson Masonry, LLC owned and managed by Carl Davidson and his wife - Marilyn Rowe, decided to submit a bid for a decorative concrete project that incorporated artistic metalwork. They contacted Shana Lafayette, a local sculptor who specialized in large-scale metal forms, to help them design the bridge. The city selected their bridge design and awarded them the contract for a commission of $184,000. Davidson Masonry and Lafayette then entered into an agreement to work together on the bridge project. Davidson Masonry agreed to install and pay for concrete and structural work, and Lafayette agreed to install the metalwork at her expense. They agreed that overall profits would be split, with 25 percent going to Lafayette and 75 percent going to Davidson Masonry. Lafayette designed numerous metal sculptures of salmon that were incorporated into colorful decorative concrete forms designed by Rowe, while Davidson performed the structural engineering. The group worked together successfully until the project was completed. Using the information presented in the chapter, answer the above question.

1. Would Davidson Masonry automatically be taxed as a partnership or a corporation?

2. Is Davidson Masonry member managed or manager managed?

3. When Davidson Masonry and Lafayette entered an agreement to work together, what kind of special business form was created? Explain.

4. Suppose that during construction, Lafayette had entered into an agreement to rent space in a warehouse that was close to the bridge so that she could work on her sculptures near the site where they would eventually be installed. She entered into the contract without the knowledge or consent of Davidson Masonry. In this situation, would a court be likely to hold that Davidson Masonry was bound by the contract that Lafayette entered? Why or why not?

1. A limited liability company will be taxed as a partnership unless the firm declares that it wants to be taxed as a corporation. A limited liability company that has at least two members can either choose to be taxed as a partnership or as a corporation.

In this case, the parties involved haven't declared to be taxed as a corporation, therefore they'll be taxed as a partnership.

2. Most states assume that a limited liability company is manager managed unless when it's otherwise stated by the articles of the organization. However, in this case, the text said that Davidson Masonry, was owned and managed by both members and since all the members of the LLC participates in management, then Davidson Masonry was member managed.

3. The kind of special business formed is a joint venture. Masonry and Lafayette then entered into an agreement to work together on the bridge project. Davidson Masonry agreed to install and pay for concrete and structural work, and Lafayette agreed to install the metalwork at her expense. They agreed to share the profit by ratio of 75% to 25%.

Joint Venture is a kind of business that is formed when two businesses combine their resources together and meet their different skill set in order to achieve a common business objective.

4. Joint venture possesses less power to bind members underlying the venture when compared to partnership. In this scenario, Lafayette had entered into an agreement to rent space without the knowledge or the consent of Davidson Masonry.

Based on this, Davidson Masonry is bound on the contract that Lafayette enters based on the principles of joint venture as both the members will be held liable for the agreement concerning the warehouse space.

4 0
3 years ago
Other questions:
  • During 2017, William purchases the following capital assets for use in his catering business:
    5·1 answer
  • What is the name for the percentage of people who don't have jobs in a country or area?
    15·1 answer
  • The following information is available for Oriole Company
    15·1 answer
  • Suppose a pizza parlor has the following production​ costs: ​$4.004.00 in labor per​ pizza, ​$2.002.00 in ingredients per​ pizza
    11·2 answers
  • Dietterich Electronics wants its shareholders to earn a return of 15​% on their investment in the company. At what price would t
    7·1 answer
  • There are 4 households in a locality. The annual income of the first household is $20,000, the annual income of the second house
    6·1 answer
  • You are an economic consultant and have been contacted by an official from a developing country. She tells you that her country’
    5·1 answer
  • Im unable to add more comments come here to chat now
    14·2 answers
  • businesses, especially e-businesses, often collect data about their customers, the individuals and organizations with which they
    10·1 answer
  • Mamel expects his research and development team to use creative thinking and develop new
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!