Answer:
$81,000
Explanation:
The computation of the incremental profit (loss) from accepting the order is shown below:
Contribution per unit = $165 - $75
= $90
Now
Loss on contribution for giving up regular sales is
= $4,100 × 90
= $369,000
Now Incremental contribution for special order is
= ($135 - $75) × 7,500
= $450,000
So,
Incremental profit is
= $450,000 - $369,000
= $81,000
Answer and Explanation:
The journal entry is shown below:
Overhead $4,700
Cost of goods sold $4,700
(Being overapplied overhead is closed)
Here the overhead is debited as it increased the expenses and credited the cost of goods sold as it decreased the expense
Answer:
$79,800
Explanation:
Depreciation expense using the activity method = (actual hours of use in a given period / total estimated hours of use ) × ( Cost of asset - Salvage value)
(1500/10,000) × ($560,000 - $28,000) = $79,800
I hope my answer helps you.
The word that completes the sentence that relates to the suppliers' profit maximized at equilibrium is demand. Demand is related to the consumer. At equilibrium, the supplier's profit is maximized at the same time the consumer's demands are optimized.
Answer:
The discount rates were lowered
Explanation:
Discount rate is the rate that is used to determine the present value of future cash flows that will be spent in a project.
This is different from the cost of capital which is the amount that just meets the incurred cost of executing a project.
Discount rate determines of the benefits of the project are greater than the cost.
In the given scenario where benefits balance the cost, the project will be worthwhile is discount rate is lower.
That is there will be a lower cost of execution of the project so revenue will be higher than the cost
