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vlabodo [156]
3 years ago
11

Higgs Enterprise's flexible budget cost formula for indirect materials, a variable cost, is $0.75 per unit of output. If the com

pany's performance report for last month shows a $600 favorable spending variance for indirect materials and if 8,000 units of output were produced last month, then the actual costs incurred for indirect materials for the month must have been:
a.$6,000


b.$5,400


c.$6,600


d.$5,200
Business
1 answer:
vivado [14]3 years ago
6 0

Answer: b. $5,400

Explanation:

When there is a FAVOURABLE VARIANCE it means that the ACTUAL amount spent on a project is less than the amount that the company BUDGETED for it.

There is a favourable Variance in the scenario described above meaning that the budgeted costs for Indirect Materials was higher than the actual costs.

That means that the actual costs can simply be calculated by the following formula,

Actual Cost = Budgeted Amount - Positive Variance.

Budgeted Amount = 0.75 * 8,000 units

Budgeted Amount = $6,000

Actual Cost incurred is therefore,

= 6,000 - 600

= $5,400

Hence the correct answer is Option B

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Nell, a member of a protected class, applies for a job with Origami Paper Corporation, but fails the company's employment test a
11111nata11111 [884]

Answer:

<em>Disparate-impact discrimination</em>

Explanation:

As we can see in the given scenario, that Nell believes that the test has an unintentionally discriminatory effect as he fails in the test taken by the company, so this discriminating act that was made by the Origami Paper Corporation is a <u>disparate-impact discrimination</u>.

<em>Because as we know that if someone is been discriminated unintentionally, then it comes under disparate-impact discrimination.</em>

8 0
3 years ago
Masterson Company's budgeted production calls for 56,000 liters in April and 52,000 liters in May of a key raw material that cos
Soloha48 [4]

Answer:

The budgeted materials need in liters for April is $54,800 liters.

Explanation:

For computing the needed budgeted material for April month, following equation is used which is shown below:

= Budgeted raw material + closing inventory - opening inventory

where ,

budgeted raw material for April month is $56,000  liters

Closing inventory is 30% of following month which equals to

= 52,000 × 30%

= 15,600 liters

and, opening inventory is given i.e. 16,800 liters.

Now, apply these values to the above equation which equals to

= $56,000 + $15,600 - $16,800

= $54,800 liters

Thus, the budgeted materials need in liters for April is $54,800 liters.

5 0
2 years ago
A company's code of ethics or code of business conduct describes how the leaders must behave, not the employees.
GaryK [48]
FALSE. A company's code of ethics or code of business conduct describes how the leaders must behave, not the employees.
5 0
3 years ago
If inspections and licenses are required, then the role of government being represented is a ______.
mestny [16]

Answer:

"Supervisory body" is the right approach.

Explanation:

  • A case investigator who usually reviews lawsuits regarding businesses and governments is considered a Supervisory body.
  • It would be the independent central parliamentary entity responsible for the supervision of law enforcement records audit, the passenger details unit as well as the Federal or state authorities service Inspectorate.
7 0
2 years ago
The following is a December 31, 2021, post-closing trial balance for Almway Corporation.
Basile [38]

Answer:

Almway Corporation

Classified Balance Sheet as at December 31, 2021:

Assets

Current assets:

Cash                                            $ 7,000

Restricted Cash                           39,000

Investment in

 equity securities                        46,000

Accounts receivable      82,000

Allowance for

uncollectible accounts $6,000 76,000

Inventory                                   216,000

Prepaid insurance                        6,000

(for the next 9 months)

Total current assets             $390,000

Long-term assets:

Land for sale                              41,000

Land for use                              81,000

Buildings              436,000

Acc. depreciation  116,000    320,000

Equipment            126,000

Acc. depreciation  76,000      50,000

Patent (net)                              26,000

Investment in

 equity securities                   96,000

Restricted Cash                      31,000

Long-term assets              $645,000

Total assets                     $1,035,000

Liabilities and Equity

Current Liabilities:|

Accounts payable                 107,000

Short-term notes payable     59,200

Interest payable                     36,000

Total current liabilities      $202,200

Long-term notes payable     118,800

Bonds Payable                    256,000

Total long-term liabilities  $374,800

Total liabilities                   $577,000

Common stock                   348,000

Retained earnings               110,000

Total equity                      $458,000

Total liabilities & equity $1,035,000

Explanation:

a) Data and Calculations:

Almway Corporation

Post-closing Trial Balance as at December 31, 2021:

Account Titles                      Debit       Credit

Cash                                 $ 77,000

Investment in

 equity securities             142,000

Accounts receivable          76,000

Inventory                          216,000

Prepaid insurance               6,000

(for the next 9 months)

Land                                 122,000

Buildings                         436,000

Accumulated depreciation-buildings $ 116,000

Equipment                      126,000

Accumulated depreciation equipment  76,000

Patent (net)                      26,000

Accounts payable                                 107,000

Notes payable                                       178,000

Interest payable                                     36,000

Bonds Payable                                    256,000

Common stock                                    348,000

Retained earnings                                110,000  

Totals                      $1,227,000     $1,227,000

Adjustments:

1. Investment in equity securities $142,000

   Long-term investments                46,000

  Short-term investments =             96,000

2. Land for sale = $41,000

   Land for use =  $81,000

Total land = $122,000

3. Restricted Cash (2024) = $31,000

   Restricted Cash (short-term) = $39,000

   Other cash = $7,000

4. Notes payable:

Short-term notes = $59,200 ($46,000 + $13,200)

Long-term notes = $118,800

5. Accounts receivable = $82,000

Allowance for Uncollectible accounts = $6,000

6. Authorized shares = 300,000

   Issued and outstanding shares = 116,000

Almway Corporation

Adjusted Trial Balance as at December 31, 2021:

Account Titles                      Debit       Credit

Cash                                   $ 7,000

Restricted Cash                  39,000

Investment in

 equity securities               46,000

Accounts receivable          82,000

Allowance for uncollectible accounts    $6,000

Inventory                           216,000

Prepaid insurance                6,000

(for the next 9 months)

Land for sale                       41,000

Land for use                       81,000

Buildings                          436,000

Accumulated depreciation-buildings    116,000

Equipment                       126,000

Accumulated depreciation equipment  76,000

Patent (net)                       26,000

Investment in

 equity securities             96,000

Restricted Cash                31,000

Accounts payable                                 107,000

Short-term notes payable                     59,200

Interest payable                                     36,000

Long-term notes payable                     118,800

Bonds Payable                                    256,000

Common stock                                    348,000

Retained earnings                                110,000  

Totals                       $1,233,000    $1,233,000

6 0
3 years ago
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