Answer:
$434,000
Explanation:
The total amount that should be included in the operating income as follows:
1. Cash sales $135,000
2. Credit sales $289,000
3. Gain from the sale of property and the equipment $10,000
Operating income $434,000
hence, the $434,000 should be included in the operating income
Answer:
1. Journal entries are quicker and more comfortable in the manual accounting
2. Posting is easier in computer software-based accounting
3. Trial balance adjustment in manual accounting is tricky. However, a lengthy process may pose a challenge for computerized accounting.
4. Financial statements are more straightforward in software-based accounting than manual accounting
Explanation:
The introduction of accounting software such as QuickBooks has transformed the working for accounting professionals. The conventional accounting system replacement has made the job more comfortable. However, there are new challenges added, such as learning the software, making error-free inputs, and pace of computer-related entries. However, considering that once these skills are learned, the overall job is easier than before.
1. Journal entries in manual are made quicker, and errors can be rectified. However, entries are linked automatically to their respective ledgers that solve the challenges with compound entries
2. Posting is simpler in software as the general ledger is created on a single click. Manual posting requires time and efforts
3. Adjusted entries need to manual input in conventional method to create the adjusted trial balance whereas, in software, its added through adjusting journal entries.
4. Financial statements are much more straightforward in software as they are available on one click, whereas in manual accounting, they are required to be calculated.
Answer:
Total cost is 253,800 $ and cost per unit is 31.725 $.
Explanation:
Material (8000 X 6) 48000
Labor (8000 X 5) 40000
Factory OH ( 8000 X 4) 32000
Salaries 42000
Set up cost 34000
Facility level cost <u> 29000</u>
Total Manufacturing Cost <u>225000</u>
Opportunity Cost ( 2400 X 12) 28800
Total Relevant Cost $<u>253,800</u>
<u>Cost / Unit (253800/8000)</u><em> $ 31.725/ unit. </em>
Answer:
A) Contacting the farming cooperative to negotiate the price of corn for your upcoming contract.
Explanation:
You need to cut upstream costs, which means costs related to the supply of materials, parts and components, and the processing of the final goods.
Upstream costs include the price of raw materials and in this case, the raw materials are bought from a farming cooperative. By negotiating a lower price for corn with them, you can actually reduce your upstream costs.
