Diversification is important in investing because…

Elkland Heating & Cooling installs and services commercial heating and cooling systems. Elkland uses job costing to calculat

andrey2020 [161]

Answer:

Estimated manufacturing overhead rate= $15 per direct labor hour

Explanation:

Giving the following information:

Overhead is allocated to each job based on the number of direct labor hours spent on that job.

The estimated overhead= $61,500.

Estimated direct labor hours= 4,100

To calculate the estimated manufacturing overhead rate we need to use the following formula:

Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Estimated manufacturing overhead rate= 61,500/4,100= $15 per direct tlabor hour

6 0

3 years ago

One day, Barry the Barber, Inc., collects $500 for haircuts. Over this day, his equipment depreciates in value by $80. Of the re

zheka24 [161]

Answer:

Gross Domestic Product

= $500

<em>GDP is the final value of goods and services. The haircut is valued at $500 so is GDP. </em>

Net National Product:

= GDP - Depreciation

= 500 - 80

= $420

National Income

= $420

<em>This is the income that a resident of the country earns and $420 is what Barry earned in net income.</em>

Personal Income

= National income - Retained earnings

= 420 - 120 - 50

= $250

Disposable Personal Income (Dollars)

= Personal income - income taxes

= 250 - 90

= $160

4 0

3 years ago

2. Chico Co. sold $4 million of 10-year bonds on December 31, 2015, with interest payable June 30 and December 31 at an annual r

Aleonysh [2.5K]

Answer:

The requirement of the question is provided below:

a. What were the proceeds received by Chico upon the sale of the bonds?

b. Prepare the entry made by Chico to record the sale of the bonds on December 31, 2015.

The proceeds from the issue is $4,498,488.41

The entries are:

Dr Cash $4,498,488.41

Cr Bonds payable $4,000,000

Cr Premium on bonds payable $498,488.41

Explanation:

The first task here is to determine the proceeds from the issue, which can be done using the present value formula in excel.

=pv(rate,nper,pmt,fv)

rate is the effective rate of 10% divided by 2,since coupon is paid twice a year.

nper is the time to maturity of 10 years multiplied by 2

pmt is the coupon payment paid twice a year, that is :12%/2*$4000,000=$240,000

fv is the value expected by investors upon redemption that is $4 million

=-pv(5%,20,240000,4000000)

pv=$4,498,488.41

5 0

3 years ago

Read 2 more answers

Use the following information to answer questions 10 – 14. Suppose South Korea can produce 100 computer chips with 12 hours of l

Andrew [12]

Answer:

100 bed linens

Explanation:

Opportunity costs of South Korea:

Computer chips = 100 chips / 12 hours of labor = 8.33 computer chips per hour of labor.
Bed linens = 50 chips / 6 hours of labor = 8.33 bed linens per hour of labor.

Since both products require the same amount of labor hours (8.33 labor hours per unit), then the opportunity cost of producing 100 computer chips is 100 bed linens.

Opportunity costs are the extra costs or benefits lost from choosing one activity or investment over another alternative.

7 0

2 years ago

What is a reason someone would want to include a savings in a budget?

katrin2010 [14]

Having a saving in the budget will one help obviously save more money for the household and it will build interest over the years.

7 0

3 years ago