Ask question

Ask question

All categories

3 years ago

13

Based on a predicted level of production and sales of 22,000 units, a company anticipates total variable costs of $99,000, fixed

costs of $30,000, and operating income of $36,000. Based on this information, the budgeted amount of fixed costs for 20,000 units would be:
A. $165,000B. $150,000C. $117,272D. $181,500E. $141,900

1 answer:

Hunter-Best [27]3 years ago

4 0

Answer:

correct answer is option B

I.E $150,000

Explanation:

GIVEN DETAILS:

Variable cost $99,000

Fixed cost $30,000

Operating income $36,000

Total sales for 22,000 units = Variable cost + Fixed cost + Operating income

total cost = $99,000 + $30,000 + $36,000 = $165,000

Selling price of per unit = $165,000 / 22,000 = $7.5

Budgeted amount for 20,000 units = $7.5 x 20,000 = $150,000

so correct answer is option B

You might be interested in

Sheffield Corporation incurred the following costs in 2020. Cost of laboratory research aimed at discovery of new knowledge $145

Stells [14]

Answer: Debit Research and Development expense $477,000

Credit Cash $477,000

Explanation:

The journal entry simply refers to the recording of transactions that a company makes and it should be noted that the total amount that's gotten in the debit column must be equal to the total amount that us gotten in the credit column.

Based on the information given in the question, the journal entry for Sheffield Corporation will be:

Debit Research and Development expense $477,000

Credit Cash $477,000

8 0

2 years ago

Dave Matthew Inc. issues 500 shares of $10 par value common stock and 100 shares of $100 par value preferred stock for a lump su

Sedaia [141]

Answer:

$78,199

Explanation:

If the market price of common stock is $165 per stock, then selling 500 common stocks should = $82,500

If the market price of preferred stock is $230 per preferred stock, then selling 100 preferred stocks should = $23,000

If we add both we would get $105,500. If we want to allocate the proceeds proportionally according to their market prices:

common stocks = ($82,500 / $105,500) x $100,000 = $78,199

preferred stocks = ($23,000 / $105,500) x $100,000 = $21,801

the journal entries should be:

Dr Cash account 78,199
Cr Common Stock account 5,000
Cr Capital Paid-in Excess of Par Value (Common Stock) account 73,199

Dr Cash account 21,801
Cr Common Stock account 10,000
Cr Capital Paid-in Excess of Par Value (Preferred Stock) account 11,801

3 0

3 years ago

Assume that there are 5 different issues of sports illustrated, 6 different issues of newsweek, and 3 different issues of time,

Genrish500 [490]

Answer:

a. P(1 Sports illustrated and 3 Newsweek) = $\frac{100}{1001}$

b. P(at least 2 Newsweek) = $\frac{595}{1001}$

We follow these steps to arrive at the answer:

The total number of magazines is $5+6+3 =14$

Of these we need to choose 4 books randomly. Since order doesn’t matter here, we use combinations.

There are $_{14}C_{4}$ ways to choose 4 books.

$_{14}C_{4}=\frac{14!}{10!4!} = 1001 ways$

1. 1. We need to choose 1 Sports illustrated and 3 newsweeks.

We can choose 1 Sports illustrated from 5 in $_{5}C_{1}$ ways.

$_{5}C_{1}=\frac{5!}{4!1!} = 5 ways$

We can choose 3 issues of Newsweek in $_{6}C_{3}$ ways.

$_{6}C_{3}=\frac{6!}{3!3!} = 20 ways$

So,

$P(1 Sports Illustrated and 3 Newsweek) = \frac{_{6}C_{3} * _{5}C_{1}}{_{14}C_{4}}$

$P(1 Sports Illustrated and 3 Newsweek) = \frac{20 * 5}{1001}$

$P(1 Sports Illustrated and 3 Newsweek) = \frac{100}{1001}$

2.<u> P(at least 2 Newsweek)</u>

Here we divide the number of books into two categories. One is the Newsweek Magazines (6), the other group consists of all other books (8).

$P(at least 2 Newsweek) = 1 - [P(no Newsweek) + P(one newsweek)]$

Now, if we have to find P(no newsweek), we first need to find the number of ways we can select 4 books from the group that does NOT contain Newsweek magazines.

We can calculate that by:

${ _{8}C_{4} = \frac{8!}{4!4!} = 70 ways$

So,

$P(no newsweek) = \frac{70}{1001}$

We can compute P(1 Newsweek) as follows:

We can choose 1 Newsweek in $_{6}C_{1} =\frac{6!}{5!1!} = 6 ways$

We can choose 3 other books in $_{8}C_{3} =\frac{8!}{5!3!} = 56 ways So, P(at least 1 Newsweek) = [tex]\frac{6*56}{1001} or \frac{336}{1001}$

Since

$P(at least 2 Newsweek) = 1 - [P(no Newsweek) + P(one newsweek)]$ ,

$P(at least 2 Newsweek) = 1 - [\frac{70}{1001} + \frac{336}{1001}]$

$P(at least 2 Newsweek) = 1 - [\frac{406}{1001}]$

$P(at least 2 Newsweek) = \frac{595}{1001}$

4 0

2 years ago

Dana believes that a new phone to be sold by ear fruit inc. will become the most popular phone in the global market. dana enters

iVinArrow [24]

Answer:

C) nothing

Explanation:

When any individual invests in stocks, they are assuming a risk where they can earn money or lose money, there is no 100% guarantee that a stock price will go up. In this case Dana thought she would earn money, but ended up losing some money. Since she bought a call option believing that the price would increase, but it didn't, then she lost the money she had invested in purchasing the option.

8 0

3 years ago

How does the automated system improve the effciency andvtimeliness of financial statements

Pavlova-9 [17]

Everything in life......................!

8 0

3 years ago