Answer:
The correct answer is letter "C": Work in Process Inventory.
Explanation:
Work in Process Inventory is an asset in the company's Balance Sheet. It represents the accumulated cost of unfinished goods that are currently in the manufacturing process. Companies that manufacture large or customer-made items typically use a work in progress inventory system to record labor, raw material, and overhead.
Answer:
From a cost savings perspective the switch should be made in-house
Explanation:
In deciding whether Cool Systems should make or buy the switch , we calculate the relevant applicable to both situations,then compare t see which option saves costs.
The cost of making the switch is calculated thus:
Direct materials per unit $5
Direct labor $3
Variable overhead <u>$6</u>
Total relevant cost <u> $14</u>
The cost of purchasing the switch from another supplier is $15
From the above analysis, it is preferable to make the switch in-house as that option saves $1($15-$14) per switch.
However, it might be that we need to look beyond cost savings sometimes,purchasing the switch from another supplier might be viable if the quality of the outside switch is better or that the outside supplier can deliver in timely fashion.
Answer:
See below
Explanation:
First, we need to get the predetermined rate
Predetermined rate = Cost of manufacturing overhead / Cost driver
= $1,800,000/60,000
= $30
We will now calculate the application.
Actual labor hours × rate
= 61,500 × $30
= $1,845,000
We will now compare actual with overhead cost
= Applied Overhead cost - Actual manufacturing overhead
= $1,845,000 - $1,810,000
= $35,000
The above is an over application of overhead cost because the cost applied exceed the actual cost.
Answer:
correct option is a) $182,000
Explanation:
given data
federal expenditure = $1,000,000
advanced the city = $600,000
city incurred qualifying expenditures = $418,000
solution
we get here Ruth recognize as unearned revenue for its fiscal year ending that is express as
Amount to be recognized unearned revenue = advanced the city - city incurred qualifying expenditures .......................1
put here value
Amount to be recognized unearned revenue = $600,000-$418,000
Amount to be recognized unearned revenue = $182,000
so correct option is a) $182,000
Answer:
Cash flow amount = $17.52 million.
Explanation:
Cash flow amount = $4.8m of land + $12 m of building + $720k of grading = $17.52 million.
