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4 years ago

8

In producing product AA, 6,300 pounds of direct materials were used at a cost of $1.10 per pound. The standard was 6,000 pounds

at $1.00 per pound. The direct materials quantity variance is:

1 answer:

abruzzese [7]4 years ago

5 0

Answer:

300 A

Explanation:

(SQ - AQ) SP

(6000 - 6300)1

300 A

It means that actual quantity produced is worse than expected quantity.

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Calvert Corporation expects an EBIT of $23,300 every year forever. The company currently has no debt, and its cost of equity is

Gnesinka [82]

Answer:

Missing <em>"b-1. What will the value of the firm be if the company takes on debt equal to 50 percent of its unlevered value? b-2. What will the value of the firm be if the company takes on debt equal to 100 percent of its unlevered value?"</em>

a. Current value of the company = EBIT*(1-t) / Ke

Current value of the company = $23,300*(1-0.25) / 0.143

Current value of the company = $23,300*0.75 / 0.143

Current value of the company = $17,475 / 0.143

Current value of the company = $122202.7972027972

Current value of the company = $122,202.80

So, the current value of the company is $122,202.80.

bi. Value of the company = $122,202.80 + (0.25*$122,202.80*0.5)

Value of the company = $122,202.80 + $15,275.35

Value of the company = $137,478.15

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Value of the company = $122,202.80 + $30,550.7

Value of the company = $152,753.5

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3 years ago

The Vintage Laundry Company purchased $6,500 worth of laundry supplies on June 2 and recorded the purchase as an asset. On June

Mazyrski [523]

Answer:

D.) debit Supplies Expense. $5,500; credit Supplies, $5,500

Explanation:

First, let's talk about the amount.

On June 2 they purchased supplies worth $6,500 and recorded it as an ASSET. Debited on "Supplies" Account

Then on June 30, only $1,000 is on hand. That means that $5,500 worth of supplies must have been used (Solved as 6,500 less 1,000)

Now, the entry should reduce the "Supplies" Account since there were only $1,000 left. So it's correct to credit Supplies for $5,500 to reduce $6,500 into $1,000 worth.

The corresponding debit would consequently be "Supplies Expense" since $5,500 worth of supplies was used for the month.

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3 years ago

Bill Darby started Darby Company on January 1, Year 1. The company experienced the following events during its first year of ope

Anettt [7]

Answer:

Darby Company

The amount of interest payable at December 31, Year 1 is:

$76.67

Explanation:

a) Data and Calculations:

Cash Revenue = $1,300

Bank Note Payable = $2,300

Interest rate on Bank Note = 10%

Issue date of bank note = September 1, Year 1

Term of bank note = 1 year

Amount of interest payable on December 31, Year 1:

= $2,300 * 10% * 4/12 = $76.67

b) The amount of interest payable on the loan totals $230 ($2,300 * 10%). However for Year 1, the interest payable is reduced to 4 months (September 1 to December 31, Year 1), amounting to $76.67. This implies that the remaining interest ($153.33) will be payable in the period between January 1 and August 31 in Year 2. In accordance with the accrual and matching principles of generally accepted accounting principles, interest expense must be accrued to the period when the expense is incurred and matched to the revenue it has generated.

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3 years ago

When a vendor credit is recorded by a Quick Books Online user, what are 2 ways to use the vendor credit?

labwork [276]

Answer:

Explanation:

These are the 2 ways to use provider credit:

1. Through linking reimbursement checks in bank deposit. These checks are from the vendor and will be used to create a vendor credit.

2. Making payment of supplier invoices, is another way to use credit, to carry out this, I have to create the invoice.

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4 years ago

A sporting goods manufacturer budgets production of 45,000 pairs of ski boots in the first quarter and 30,000 pairs in the secon

Alexandra [31]

Answer:

The budgeted materials need in kg. in the first quarter is 90,000 kg

Explanation:

For computing the budgeted material needed in the first quarter, first we have to calculate the consumption of first and second quarters separately, so that we can arrive to a solution.

The consumption of first quarter = Budgeted production × required kg

= 45,000 × 2

= 90,000 kg

The consumption of second quarter = Budgeted production × required kg

= 30,000 × 2

= 60,000 kg

The ending raw material inventory = 30% of second quarter

= 30% × 60,000

= 18,000 kg

Now put the formula to find out the purchase amount. The formula is shown below:

Raw material consumption = Opening raw material inventory + purchase of raw material - ending raw material inventory

where,

beginning inventory = 18,000 kg

90,000 = 18,000 + purchase - 18,000

So, the purchase is 90,000 kg

The question has asked the amount in kg so cost per kg is irrelevant.

Hence, the budgeted materials need in kg. in the first quarter is 90,000 kg

3 0

4 years ago