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4 years ago

Work in process, beginning:

Business

1 answer:

densk [106]4 years ago

4 0

Answer:

FIFO Equivalent Units Materials = 15,320

FIFO Equivalent Units Conversion = 15,680

Explanation:

FIFO methods,

The equivalent units of production

Materials and conversion costs.

Particulars Units % of Completion Equivalent Units

Materials C. Costs Materials C. Cost

Beg WIP 900 60 10 540 90

Units Transferred 14500 100 100 14500 14500

<u>WIP Ending 400 70% 70% 280 280</u>

<u>Total 14900 15,320 15,680</u>

FIFO Equivalent Units Materials = 15,320

FIFO Equivalent Units Conversion = 15,680

In Fifo method the percentage of the worked units is calculated to find the equivalent units of production.

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The Ring Division of A1d-Y6z Company reported the following information for May: selling price per unit .................... $35

Travka [436]

Answer:

52,000 units

Explanation:

Selling price = $35*40,000 = $1,400,000

Variable cost = $12 * 40,000 = $480,000

Contribution margin = $1,400,000 - $480,000 = $920,000

Fixed cost = Residual income + Contribution

Fixed cost = $920,000 - $229,600

Fixed cost = $690,400

Sales to earn residual income = [Fixed cost + Desired profit] / Contribution per unit

Sales to earn residual income = [$690,400 + $505,600] / $35 - $12

Sales to earn residual income = $1,196,000 / $23

Sales to earn residual income = 52,000 units

7 0

3 years ago

Anne Lockwood, manager of Oaks Mall Jewelry, wants to sell on credit, giving customers 3 months to pay. However, Anne will have

Alja [10]

Answer:

15.18%

Explanation:

Calculation for the nominal annual rate

First step is to find EFF% using this formula

EFF%=[1+(Nominal rate percentage/Numbers of months in a year )]^Numbers of months in a year

Let plug in the formula

EFF%=[1+(15%/12)^12

EFF%=(1+0.0125)^12

EFF%=(1.0125)^12

EFF%=1.1608×100%

EFF%=116.08%

Second step is to find Rnom compounding quarterly of 116.08% using this formula

Rnom compounding quarterly = (1+(R/4)^4

Let plug in the formula

Rnom compounding quarterly= (116.08%)^(1/4) Rnom compounding quarterly= 1+ R/4

Hence,

Rnom compounding quarterly = 15.18%

Therefore Anne Lockwood should quote her customers with Rnom compounding quarterly of 15.18%

6 0

3 years ago

Why are some producers forced to sell their products at the prevailing market price?

Elden [556K]

Answer: High degree of similarity to competitors products.

Explanation:

In a perfectly competitive markets, the producers are price takers as the producers cannot influence the prices of goods in a market.

In such cases, producers are forced to sell the goods at current market prices. Good sold in the market are similar and prices are usually the same. If a producer influences his or her price by setting a price above the equilibrium price in the market, the customers will move and purchase the product from other producers.

4 0

3 years ago

Read 2 more answers

An investor contributes $100,000 of cash to a partnership and signs a $200,000 recourse note. During the first year, the investo

dezoksy [38]

Answer:

net cash flow = $10000

Explanation:

given data

contributes cash = $100,000

partnership income = $80,000

debt service expense = $30,000

interest = $20,000

principal amortization = $10,000

operating expenses = $40,000

depreciation expense = $65,000

solution

we know that Depreciation is not cash flow so we will exclude it

so for cash flow get here as = income minus all cash cost

cash flow = income - interest expenses - operating expenses .........1

cash flow = $80,000 - $20,000 - $40,000

cash flow = $20,000

and here additional paid out = $10,000 for reduce loan balance

so as that net cash flow = $20000 - $10000

net cash flow = $10000

3 0

3 years ago

In June 2017, Bill, a single taxpayer, purchased a home for $187.000. Later that year, he added a new room at a cost of $28,400.

zubka84 [21]

Answer:

Gain on sale= $257600

Explanation:

According to IAS 16 (property plant and equipment), the initial measurement of non-current asset is at cost. The cost includes the purchase price and all other directly attributable costs incurred to bring the non-current asset to it's desired location and intended use.

IAS 16 also requires that any subsequent expenditures incurred should either be expensed out if expenditures classify as Revenue expenditure and should be capitalized in the cost of the non-current asset if expenditures classify as Capital Expenditures. In Bill's case, addition of a new room in the existing home structure is an expenditure that classifies as a capital expenditure. Hence cost of the new room will be capitalized in to the cost of the home.

So the book value of Bill's home is = $187000 + $28400

BV of bills home= $215400

Sales proceeds from the sale of the home = $473000

Gain on sale= Sales proceeds - book value

Gain on sale= $473000 - $215400

Gain on sale=257600

7 0

4 years ago