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erastovalidia [21]

3 years ago

10

When a company assigns the costs of direct materials, direct labor, and both variable and fixed manufacturing overhead to produc

ts, that company is using: product costing absorption costing operations costing variable costing?

1 answer:

Serhud [2]3 years ago

4 0

I would think it might be, "absorption costing."

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Imagine you have $30 to spend. You are thinking of buying new soccer shoes because yours

Nitella [24]

Answer:

video game

Explanation:

because I don't go outside, I'm a gamer

5 0

2 years ago

Madison Company's perpetual inventory records indicate that $875,300 of merchandise should be on hand on October 31. The physica

Trava [24]

Answer:

Madison Company's Journal entry

Dec. 31

Dr Cost of Merchandise Sold 93,400

($875,300-$781,900)

Cr Merchandise Inventory 93,400

Explanation:

If the perpetual inventory records $875,300 of merchandise while the physical inventory indicates $781,900 which means we have to deduct $781,900 from $875,300 which made us to arrived at $93,400 as Debited Cost of Merchandise Sold and as Credited Merchandise Inventory .

4 0

2 years ago

Mills Corporation acquired as a long-term investment $200 million of 7% bonds, dated July 1, on July 1, 2018. Company management

Evgen [1.6K]

Answer:

investment on bonds 200 millions

premium on bonds 40 millions

cash 240 millions

to record the purchase of bonds

cash 7 millions

interest revenue 6 millions

premium on bonds 1 million

interest proceeds of december 31th

Balance sheet:

bonds 200

premium 39

net 239

cash 250 millions

investment on bonds 200 millions

premium on bonds 39 millions

gain on sale of invesment 11 millions

to record the sale of bonds

Explanation:

<u>recording the bonds:</u>

acquisition 240

bonds face value (200)

premium 40

It is a premium, as the bonds where purchased at higher price than face value

<u>Interest at December 31th</u>

To calculate the interest, we will calcualte the interest per payment:

7% annual coupon rate /2 payment per year = 3.5% semi-annual rate

5% market rate /2 payment per year = 2.5% semi-annual market rate

cash proceeds: 200 x 3.5% = 7

interest revenue:

carrying value x market rate

240 x 2.5% = 6

amortization 7 - 6 = 1

<u>Value in the balance sheet:</u>

the net value of the bond will be the face value plus the carrying value of the premium

<u>Sale of the bonds:</u>

selling price 250

carrying value of the bonds (239)

gain on sale of bonds 1 1

It is a gain, as the bonds are being sold at a higher price than his carrying value.

7 0

3 years ago

The carpet cleaners are at the door after hours. you remember seeing them just last week, what do you (as a non-management colle

Anna71 [15]

<span>As a non-management colleague, an individual does not have any immediate right to take decisions regarding the management of the company.

Therefore, if the carpet cleaners are at the door even though they had come in last week, it is better to inform the manager at the company and let the management group handle the situation.
</span>

7 0

3 years ago

Masterson Company's budgeted production calls for 66,000 units in April and 62,000 units in May of a key raw material that costs

saw5 [17]

Answer:

The budgeted materials needed in units for April is 64,800 units

Explanation:

In order to calculate the budgeted materials needed in units for April we would have to use the following formula:

Budgeted Materials =Materials needed +ending inventory −beginning inventory available

To calculate the ending inventory we would have to use the following formula:

Ending inventory=0.3×Following month budgeted materials

Ending inventory=0.3×62,000

Ending inventory=18,600

Therefore, Budgeted Materials =66,000+18,600−19,800

Budgeted Materials= 64,800 units

The budgeted materials needed in units for April is 64,800 units

8 0

3 years ago