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Snowcat [4.5K]
3 years ago
11

direct materials $34, direct labor $27, variable manufacturing overhead $15, fixed manufacturing overhead $43, variable selling

and administrative expenses $20, and fixed selling and administrative expenses $28. Its desired ROI per unit is $31. Compute the markup percentage using absorption-cost pricing.
Business
1 answer:
Natalija [7]3 years ago
6 0

Answer:

Mark- up = 26.05%

Explanation:

<em>Absorption costing is method of costing where overheads are charged to units produced using volume-based bases. e.g machine hours, labour hours e.t.c. Units are valued using full cost per unit </em>

Full cost per unit= Direct material cost + direct labor cost + variable manufacturing overhead + fixed manufacturing overhead

Note that the selling and administrative expenses are period cost which are not to be considered as production cost, hence they are excluded.

Full cost per unit= 34 + 27 +15 +43 = 119

ROI per unit/profit per unit = 31

Mark- up under absorption costing is profit expressed as a percentage of of the full cost.

Mark- up = 31/119 × 100 = 26.05%

Mark- up = 26.05%

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A(n. ________ provides most or all of the services needed to mount an advertising campaign.
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A full-service agency offers most or all of the services required to launch a campaign, including as research, ad copy and art creation, media planning, and final message production.

<h3>How is a full-service advertising firm structured?</h3>

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3 0
2 years ago
On January 1 of the current year, the Queen Corporation issued 7% bonds with a face value of $76,000. The bonds are sold for $73
babunello [35]

Answer:

$5,776

Explanation:

the journal entry to record the issuance of the bonds:

January 1, 202x

Dr Cash 73,720

Dr Discount on bonds payable 2,280

    Cr Bonds payable 76,000

coupon = $76,000 x 7% x 1/2 = $2,660

discount on bonds payable per coupon = $2,280 / 10 = $228

Journal entry to record coupon payment:

June 30 and December 31, 202x

Dr Interest expense 2,888 x 2 = 5,776

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3 0
3 years ago
The goal of the consumer price index is to measure changes in the
UNO [17]

Answer:

Prices over time

Explanation:

The consumer price index measures the average of consumer goods and services. It is often calculated by taking the average price changes for each item.

The consumer price index measures the average changes in prices of a basket of goods and services over time that consumers pay.

5 0
3 years ago
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3. Compute the first production department's cost of ending work in process inventory for materials, conversion, and in total fo
mixer [17]

Based on the material and conversion costs to the first department, its ending work in process for May are:

  • Materials = $20,240
  • Conversion cost = $9,020
  • Total = $29,260

The first production departments costs of units transferred to next production department is:

  • Materials = $125,120
  • Conversion cost = $223,040
  • Total = $348,160

<h3>What is the ending work in process?</h3>

For materials:

= 44,000 x 100% x 0.46

= $20,240

For conversion cost:

= 44,000 x 25% x 0.82

= $9,020

Total ending work in process:

= 20,240 + 9,020

= $29,260

<h3>What are the cost of units transferred?</h3>

Materials:

= 272,000 x 0.46

= $125,120

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= 272,000 x 0.82

= $223,040

Total cost of units transferred?

= 125,120 + 223,040

= $348,160

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7 0
2 years ago
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