All categories

3 years ago

Activity Budgeted Activity Cost

Business

1 answer:

vampirchik [111]3 years ago

3 0

Answer:

Activity Rate = Activity Cost/ Driver Costs= $ 500,000/10,000= 50

Activity Budgeted Budgeted Budgeted

Activity Cost Cost Driver Activity Rate

Production $500,000 10,000 50

Setup $144,000 450 320

Inspection $44,000 1100 40

Shipping $115,000 5750 20

Customer service $84,000 600 140

Total $887,000

White Brown Powdered Total

Sugar Sugar Sugar

Units 10,000 5000 5000 20,000

Production 250,000 125,000 125,000 500,000

Setup $ 27200 54,400 62400 144,000

Inspection $ 8800 13200 22000 44000

Shipping $ 23000 52,000 40,000 115000

Customer service $ 8400 49,000 26,600 $ 84,000

Total $ 317,400 $ 293,600 $276,000 $887,000

Per Unit Cost $ 31.74 $58.72 $ 55

Working

White Brown Powdered Total

Sugar Sugar Sugar

Machine Hours 5000 2500 2500 10,000

Production *50 *50 *50

$ 250,000 $ 125,000 $ 125,000

Number of setups 85 170 195 450

Setup * 320 * 320 * 320

27,200 54,400 62,400

Number of inspections 220 330 550 1100

Inspection *40 *40 *40

8800 13200 22000

Number of customer 1150 2600 2000 5750

Orders

Shipping *20 *20 *20

23,000 52000 40,000

Number of customer 60 350 190 600

Service Requests

Customer service *140 *140 *140

8400 49000 26,600

Units 10,000 5000 5000 20,000

You might be interested in

Margarite's Enterprises is considering a new project that will require $345,000 for new fixed assets, $160,000 for inventory, an

atroni [7]

Answer:

NPV = (53,222.44)

Explanation:

Net fixed asset 345,000

Working capital

160,000 inventory + 35,000 Ar = 195,000

short term deb (110,000)

net working capital 85,000

Total investment 430,000

salvage value 345,00 x 25% = 86,250

release of the working capital 85,000

Cash flow at end of project 171,250

annual cash flow

sales 550,000

cost (430,000)

depreciation 69,000

EBT 51,000

tax expense 35%

(17,850)

net income 33,150

+ dep 69,000

cash flow 102,150

Now we calculate the present value of the net cash flow and the present alue fothe end of the project

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

C 102150

time 4

rate 0.15

$102150 \times \frac{1-(1+0.15)^{-4} }{0.15} = PV\\$

PV $291,636.04

$\frac{Principal}{(1 + rate)^{time} } = PV$

Principla (sum of salvage and released Working capital 171,250.00

time 5.00

rate 0.15

$\frac{171250}{(1 + 0.15)^{5} } = PV$

PV 85,141.52

NPV = 291,636.04 + 85,141.52 - 430,000 = (53,222.44)

6 0

3 years ago

Some risks associated with investing in real estate are?

kirill [66]

An investor must see what circumstances while investing in a real estate area. So the investor must be careful while investing.

One can loose tenant and his invested capital, tenant capital and fixed turnovers would be largely affected. increased property taxes and increased cost of operations a real estate investor is exposed to all these.

Some other risks associated with taking huge debts for investing in a property, liquidity risks , management risks, legislative risks, and environmental risks with several legal risks. It also include sometimes bad locations, negative cash flows etc.

To learn more about real estate here,

brainly.com/question/10336196

#SPJ4

4 0

2 years ago

Making a Decision as Chief Financial Officer: Contingent Liabilities

Verizon [17]

Answer:

sry need points

Explanation:

3 0

3 years ago

Bonner Corp.'s sales last year were $415,000, and its year-end total assets were $355,000. The average firm in the industry has

koban [17]

Answer:

$182,083

Explanation:

The computation of the total assets by considering the total assets turnover is shown below:

Total assets turnover = Sales ÷ total assets

2.4 = $415,000 ÷ total assets

So, the total assets equal to

= $415,000 ÷ 2.4

= $172,917

So, the assets is reduced by

= Year-end total assets - calculated assets

= $355,000 - $172,917

= $182,083

5 0

3 years ago

The following data relate to the accounts of Edmiston Company. a. Unpaid salaries and wages at year end amount to $750. b. Edmis

AVprozaik [17]

Answer:

a. Debit Salaries and wages expense $750

Credit Accrued Salaries and wages $750

Being entries to record accrued salaries and wages

b. Debit Interest receivable $600

Credit Interest income $600

Being entries to record interest earned

c. Debit Insurance expense $350

Credit Prepaid Insurance $350

Being entries to record insurance expense

d. Debit Service revenue $900

Credit Unearned Service revenue $900

Being entries to record unearned revenue

e. Debit Supplies expense $1,500

Credit Supplies account $1,500

Being entries to record supplies expense

Explanation:

When salaries are incurred but yet to be paid, the expense has to be recorded with a corresponding liability known as accrued expense. When interest is earned but yet to be paid, it has to be recognized as a credit to the income statement and a debit to the balance sheet.

When insurance is paid in advance, the entries required are

Debit Prepaid Insurance

Credit Cash account

As time elapses and the insurance expires,

Debit Insurance expense

Since payment was for 2 years, period elapsed as at December 31, 2017 is 7 months hence amount of expense

= 7/24 * $1,200

= $350

When a fee is received in advance for a service yet to be rendered, the revenue for such fee is said to be unearned. The entries required are

Debit Cash account and Credit Unearned fees or deferred revenue.

As the service is performed and the revenue is earned, debit Unearned fees and credit revenue.

When Supplies is purchased, Debit supplies and credit Cash/Accounts payable. As Supplies are used up, debit supplies expense (with the amount used) and Credit Supplies account.

Amount of supplies used

= $2500 - $1000

= $1,500

4 0

3 years ago