Answer:
9.1%
Explanation:
To calculate the annual rate of return on this account you can use the following formula:
r = ( FV / PV )^1/n - 1, where
r= rate of return
FV= future value= 25,000
PV= present value= 450
n= number of periods of time= 46
r=(25,000/450)^(1/46)-1
r=55.56^0.0217-1
r=1.091-1
r=0.091 → 9.1%
According to this, the annual rate of return on this account was 9.1%.
Answer:
The correct answer is A. A process cost accounting system is appropriate for similar products that are continuously mass produced.
Explanation:
The system of costs by processes is that by which the production costs are charged to the processes, to the accumulated systems of the production costs, by department or by cost center.
This cost system is ideal for companies such as assembly departments. Even in the financial institution where I worked, the process cost system was also used as a method of calculation and cost allocation.
Answer:
Weighted average contribution margin= $1.85
Explanation:
Giving the following information:
It sells two large drinks for every small drink. A large drink sells for $3.00 with a variable cost of $ 0.60. A small drink sells for $ 1.25 with a variable cost of $ 0.50.
To calculate the weighted average contribution margin, we need to use the following formula:
Weighted average contribution margin= (weighted average selling price - weighted average unitary variable cost)
Sales proportion:
Large drink= 0.67
Small drink= 0.33
Weighted average contribution margin= (0.67*3 + 0.33*1.25) - (0.67*0.6 + 0.33*0.5)
Weighted average contribution margin= 2.4225 - 0.567
Weighted average contribution margin= $1.85
Answer:
Final balance in the cost of goods sold = $299,000
Explanation:
Cost of Goods Sold:
Job C-62 $141,000
Job C-63 $183,000
Adjustment to Manufacturing Overhead account:
Overhead over allocated to be reduced from COGS ($25,000)
Balance in Cost of Goods Sold (debit) $299,000
( 141,000+183,000-25,000)
Therefore, final balance in the cost of goods sold = $299,000
Answer:
An employee is terminated.
Explanation:
All the transactions, in a company or organisation are recorded in financial statements of the company.
For this each transaction having some numerical value, that has a monetary effect on the organisation is identified.
In the given case,
- purchase of equipment will involve direct monetary effect as cash will be paid, asset will be increased, etc:
- cash investment made, will again require cash outflow, and is presented as monetary in nature.
- Declaration of cash dividends gives existence to a liability called dividend payable, or scrips payable, and is thus, recorded in books.
- The termination of employee does not itself involve any direct monetary effect. As, the payment made or realized from such termination will be recorded in financial statements.
