In the year 2000, the US census showed that 9.1% of those over 75 had not married so the percentage is relatively low and from 75-84 yrs old, about 50% were still married, 40% were widowed and 5.4 % were divorced.
Answer:
Check the explanation
Explanation:
Given details
1. Magna charter needs a plane for a time duration of 7 years, which can be taken on lease or bought from stellar leasing company
2. In the event that Magna charter has purchase the plane, it is qualified for depreciation, depreciation being the expense; it decreases the profit, then by profit amount.
3. Therefore tax savings on depreciation is the amount of cash inflow
4. correspondingly the lease rentals is expensive, consequently reducing the profit, thereby tax amount also.
5. Magna Charter will have to select the option that gives minimal cash out flows.
6. since the cash flows are in separate periods, & they cannot be compared, thus the cashflows are discounting to today's current value.
7. Discounting of Cash flows shall be done at post tax cost of debt, thus discount rate is 8% (10% * (1- 20%)) for Magna & 6% (10% * (1- 40%) ) for Stellar leasing company.
The diagrams in the attached images below explains Magna View point
Answer:
1. Overhead rate = Overhead costs / Direct material costs
Overhead rate = $684,000 / $1,900,000
Overhead rate = 0.36
Overhead rate = 36%
2. How much direct labor cost and overhead cost are assigned to this job?
Total cost of job in process $71,000
Less: Overhead applied $7,920
($22,000 * 36%)
Less: Material cost of job in process <u>$22,000</u>
Direct labor cost <u>$41,080</u>
Hence, direct labor cost is $41,080 and Overhead cost is $7,920
Answer:
Crane Company
If Crane Company uses LIFO, the value of the ending inventory is:
= $440.
Explanation:
a) Data and Calculations:
Units Unit Cost Total Cost
1/1/20 inventory 150 $4.00 $600
1/15/20 Purchase, 70 5.10 357
1/28/20 Purchase, 70 5.30 371
Total 240 $1,328
1/31/20 inventory 110 $4.00 $440 ($4.00 * 110)
b) The LIFO method assumes that goods that are sold first are the last that were purchased. Therefore, the cost of the ending inventory is usually based on the cost of the earlier inventory purchased. In our case, the cost per unit was based on the beginning inventory balance.