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trasher [3.6K]
3 years ago
7

Annenbaum Corporation uses the weighted-average method in its process costing system. This month, the beginning inventory in the

first processing department consisted of 1,600 units. The costs and percentage completion of these units in beginning inventory were: Cost Percent Complete Materials costs $ 6,900 65% Conversion costs $ 8,000 45% A total of 8,900 units were started and 7,100 units were transferred to the second processing department during the month. The following costs were incurred in the first processing department during the month: Cost Materials costs $ 126,700 Conversion costs $ 208,200 The ending inventory was 50% complete with respect to materials and 35% complete with respect to conversion costs. The cost per equivalent unit for materials for the month in the first processing department is closest to:
Business
1 answer:
Effectus [21]3 years ago
4 0

Answer:

$15.18

Explanation:

We can calculate the Cost Per Equivalent Unit for Material by using following formula:-

Ending Inventory Units = Opening Inventory + Opening Unit -Transferred Unit

= 1,600 + 8,900 - 7,100

= 3,400 units

Equivalent Units for Material = Ending Inventory Units × 50% + Units Transferred and Completed × 100%

= 3,400 × 50÷100 + 7,100 × 100 ÷ 100

= 1,700 + 7,100

= 8,800 Units

Cost Per Equivalent Unit for Material = (During the Month Material Cost Incurred + Opening Material Cost) ÷ Equivalent Units for Material

= ($126,700 + $6,900) ÷ 8,800 Units

= $15.18  

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5 0
3 years ago
Two events occur simultaneously in the market for automobiles: (1) an improvement in assembly line 'technology' and (2) the econ
kozerog [31]

Answer:

Option (d) is correct.

Explanation:

If there is an improvement in the technology then as a result the producers will be able to produce more quantity of automobiles with the same level of resources. This will increase the supply of automobiles and shift the supply curve rightwards.

At the same time, the economy is experiencing a recession. This will reduce the income of the consumers and hence, the demand for automobiles also decreases. This will lead to shift the demand curve leftwards.

As a result of these shifts in the demand and supply curve, the equilibrium price will fall and the impact on equilibrium quantity is indeterminate because it will be dependent upon the magnitude of the shift of demand and supply curve.

7 0
3 years ago
Bob needs to create an agreement between his company and a third-party organization that demonstrates a "convergence of will" be
Andrej [43]

Answer: Memorandum Of Understanding (MOU)

Explanation: A memorandum of understanding may be explained as a binding document between two or more parties usually employed to showcase an agreement in action, decision or intent of the parties involved. The memorandum of Understanding may be adopted to serve as a commitment to partner between two or more parties where the parties prefer to adopt a gentle or leave out legal procedure in their agreement deal.

In the scenario above, Bob will have to create a Memorandum of Understanding which will be signed by Bob's company and the third party to signify a convergence of will between them.

8 0
3 years ago
On July 1 of the current calendar year, Olive Company paid $8,200 cash for management services to be performed over a two-year p
Andrew [12]

Based on the amount paid by Olive Company for the two year period, the adjusting entry on December 31 would be a debit to an expense and a credit to prepaid expense for $2,050.

<h3>What would be the adjusting entry?</h3>

Based on the accrual method, only costs for the year can be recorded as expenses.

If any costs are for other periods, those costs would be credited to prepaid expenses.

The expense for this year for management services would be:

= Number of months from July to December x Amount paid / number of months in contract

= 6 months x 8,200 / 24 months

= $2,050

In conclusion, expenses will be debited $2,050.

Find out more on prepaid expenses at brainly.com/question/9270086.

4 0
2 years ago
What should you expect to get from your insurance company in exchange for your premium?
Sergeu [11.5K]

Answer:

see below

Explanation:

Premiums are the regular payments the insured pays to the insurance company for insurance coverage. By paying premiums, the insurance company agrees to compensate the insured for any financial loss resulting from the risk covered by the insurance contract.

Premiums are the cost of insurance.  The customer pays premiums while the insurances undertake the risk stated in the policy documents. Should the customer suffer damages, injuries, or financial loss, the insurance companies compensate the customer as per the terms stated in the insurance contract.

5 0
3 years ago
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