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4 years ago

To develop the sales budget, companies must estimate both unit sales and the production cost per unit. true or false

Business

1 answer:

Anton [14]4 years ago

6 0

Answer:

False

Explanation:

The sales budget is a budget that indicates the amount of goods or services that the company expects to sell in a specific period of time. In order to make the sales budget, you have estimate the amount of units you plan to sell and multiply this for the selling price per unit to get the total sells. According to this, the statement that says that to develop the sales budget, companies must estimate both unit sales and the production cost per unit is false because to develop the sales budget, companies must estimate unit sales and selling price per unit.

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Northstar Company uses ABC to account for its chrome wheel manufacturing process.

Gwar [14]

Answer:

Instructions are below.

Explanation:

First, we need to calculate the predetermined overhead rate for each activity:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Materials handling= 12,000/3,000= $4 per part

Machine setup= 3,400/10= $340 per setup

Insertion of parts= 48,000/3,000= $16 per part

Finishing= 80,000/2,000= $40 per finishing direct labor hour

Job 420 used 150 parts, required 2 setups and consumed 100 finishing hours.

Job 510 used 500 parts, required 4 setups and consumed 310 finishing hours.

To allocate costs, we need to use the following formula:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Job 420:

Materials handling= 4*150= $600

Machine setup= 340*2= $680

Insertion of parts= 16*150= $2,400

Finishing= 40*100= $4,000

Total allocated cost= $7,680

Job 510:

Materials handling= 4*500= $2,000

Machine setup= 340*4= $1,360

Insertion of parts= 16*500= $8,000

Finishing= 40*310= $12,400

Total allocated cost= $23,760

6 0

3 years ago

What is 40 divided by 31

tatuchka [14]

The answer it's 1.2 :)

5 0

3 years ago

Read 2 more answers

With respect to the key dimensions of service quality, promptly crediting returned merchandise and rapidly replacing defective p

emmainna [20.7K]

Answer:

responsiveness

Explanation:

With respect to the key dimensions of service quality, promptly crediting returned merchandise and rapidly replacing defective products is an example of responsiveness

7 0

3 years ago

Read 2 more answers

Why are websites operated by recognized print publishers, such as newspapers and journals, generally accurate and reliable?

MrRa [10]

Well, actually many of them are not accurate and we all have subconscious bias which will be put into the ideas.

For the purpose of our horrible education system, B. will get you the right grade

4 0

3 years ago

You are deciding where to eat dinner tonight. Eating at Soup Plantation costs $15 and it gives you $20 worth of benefit. Eating

Lynna [10]

Answer: $7

Explanation:

Due to scarcity of resources, economic agents have to make choices and the real cost of the forgone alternative when a choice is made is referred to as the opportunity cost.

Based on the information given, the opportunity cost of eating at Soup Plantation will be the $7 worth of value that will be gotten when one eats at Del Taco.

8 0

3 years ago