<span>Working on a commission basis may make dealing with finances more difficult because one is not on a regular salary. A commission means you only get paid for a sale or a completed task. If you do not sell enough, or fail to complete enough tasks, your income may be reduced. Thus, planning your finances becomes difficult.</span>
Answer:
1. Calculation of the Cost of the Tramel Job
Particulars Amount
Direct material cost $2,300
Direct labor cost $500
Overhead applied <u>$650 (</u>500*130)
Total cost of job <u>$3,450</u>
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2. Particulars Debit Credit
Overhead Cost $1,300
To materials $800
To Labour $500
3. The Cost of the Tramel Job will not be affected
Someone who affirms a contract by word or action and has the authority to act on someone else's behalf.
Answer:
417 units
Explanation:
Break even Sales in $ = Fixed Costs ÷ contribution margin ratio
= $5,000 ÷ 30%
= $16,667
Break even sales in units = Break even Sales in $ ÷ selling price of each hand-sewn shirt
= $16,667 ÷ $40
= 416.675
= 417 units of hand-sewn shirt