Answer:
c. $84,300.
Explanation:
The computation of the total cost of the land is shown below:
= Purchase cost of land + commission incurred + property taxes + title insurance
= $75,000 + $4,500 + $4,000 + $800
= $84,300
We simply added that costs which are related to the land i.e purchase cost, commission , property taxes ,and title insurance. The $1,000 cost should not be considered.
Answer:
Somerset Computer Company
Differential Analysis dated April 30:
Make Buy
Alternative 1 Alternative 2 Difference
Variable cost per unit $23.00 $62.00 $39.00
Explanation:
a) Data and Calculations:
Purchase price per portable computer carrying case = $62
Unit cost of production:
Direct materials $8.00
Direct labor 12.00
Factory overhead (40% of direct labor) 4.80
Total cost per unit $24.80
Unit cost of production, with overhead broken into fixed and variable:
Direct materials $8.00
Direct labor 12.00
Factory overhead
Fixed overhead 1.80
Variable overhead 3.00
Total cost per unit $24.80
b) With a net gain of $39 per unit, the company should make the unit (Alternative 1) instead of buying it (Alternative 2).
Answer:
Mifflin Company
Journal Entry:
Debit Notes Receivable (Payton Summers)$8,600
Credit Accounts Receivable (Payton Summers)$8,600
To record the receipt of a 90-day, 12% note.
Explanation:
Mifflin Company uses this journal entry to record the receipt of a note receivable from Payton Summers in payment on account. This effectively transfers the debit from Accounts Receivable account to a Notes Receivable account. By this action, the debt is formalized while Mifflin Company is now able to charge interest on the unsettled balance at the agreed rate per annum.
Answer:
Identifying the management accounting guideline that is applicable to each item:
a. Changing an employee bonus plan to include additional paid time off in response to a changing employee demographic.
Different costs for different purposes
b. Deciding whether to sell products directly to customers in a new overseas market or to hire a distributor.
Cost-benefit approach
c. Introducing a participatory budgeting that involves lower-level managers.
Behavioral and technical considerations
Explanation:
Management Accounting Guidelines:
a. Cost-benefit approach: This approach specifies that managers must compare the expected benefits and expected costs of an action before reaching a decision.
b. Behavioral and technical considerations: This approach involves using the desired information to make wise economic decisions that will ginger workers to contribute their efforts towards attaining organizational goals.
c. Different costs for different purposes: There are different reporting purposes. The cost that is reported externally may not be useful for internal decisions. This means that the cost may have to be reported in another format to make the information useful to management.
Answer:
Thecoreect answer is
Ellen can deduct $3,000 for AGI
good luck
