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inna [77]
3 years ago
6

Wu Production Company, which uses activity-based budgeting, is in the process of preparing a manufacturing overhead budget. Whic

h of the following would likely appear on that budget? Facility and general operations-level costs: Indirect material. Batch-level costs: Production setup. Product-level costs: Insurance and property taxes. Unit-level costs: Maintenance. Unit-level costs: Depreciation.
Business
1 answer:
creativ13 [48]3 years ago
6 0

Answer:

Option which would likely appear on that budget will be:

Batch level costs: production setup.

Explanation:

Here the company uses activity based budgeting is a management accounting tool which new year budget is only seen by not considering the previous year records.

 Activity based budgeting which  is  a budgeting method in which firstly the overhead costs are being calculated and the the budgets gets created.

Batch-level cost is a cost which is not associated with any given specific individual units but is associated with a group of units.

For example, to set up a production run the cost incurred is associated with the batch of goods that are produced subsequently.

Another example can be be procurement costs. The expenses associated with the procurement costs include the  ordering of direct materials, paying suppliers and receiving goods.

Since all of the expenses are related to the orders placed numbers, they must be allocated not to an individual product but to group of unit.

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Presented below is information related to equipment owned by Porto Company on December 31, 2017. Cost $5,600,000 Accumulated dep
KATRIN_1 [288]

Answer:

Depreciation $ 1,000,000 (debit)

Accumulated Depreciation $ 1,000,000 (credit)

Explanation:

<em>Step 1 Analyse whether there was an impairment </em>

Impairment of an asset happens when its Carrying Amount is greater than its Recoverable Amount.

<u><em>Carrying Amount</em></u>

Carrying Amount = Cost - Accumulated depreciation

                             = $5,600,000 - $640,000

                             = $ 4,960,000

<em><u>Recoverable Amount</u></em>

Is the higher of :

  1. Value in use : $4,000,000 and
  2. Fair Value less Cost to sell $2,720,000

Therefore Recoverable Amount is $4,000,000

<em><u>Impairment</u></em>

Carrying Amount  > Recoverable Amount, therefore the Equipment Was impaired

The impairement loss is $ 960,000

<em>Step 2 Calculate the depreciation 2018.</em>

Depreciation Charge = Cost / Useful life

                                   = ($5,600,000 - $640,000 -  $ 960,000) / 4

                                   = $ 1,000,000

<u>Journal</u>

Depreciation $ 1,000,000 (debit)

Accumulated Depreciation $ 1,000,000 (credit)

7 0
3 years ago
Drag the tiles to the correct boxes to complete the pairs.
BlackZzzverrR [31]

Answer:

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8 0
3 years ago
Read 2 more answers
The following transactions occurred during July: Received $900 cash for services performed during July. Received $5,350 cash fro
Lady bird [3.3K]

Answer:

The amount of the increase to the Cash account is $10,450

Explanation:

<em>Cash account </em>

Cash  for services performed during July $900

Cash from the issuance of common stock to owners $5350

Cash received from customer as payment for services performed during June $450

Cash Borrowed from bank $2600

Cash received from customer service to be performed during august    $1150

Total sum is Cash account increase of $10,450

8 0
3 years ago
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In a population of 100 individuals, we have 25 people that are homozygous AA, 50 people that are heterozygous Aa, and 25 people
ch4aika [34]

Answer:

50 A alleles

Explanation:

Since the question only wants information regarding the homozygous AA group, the information pertaining the other two groups may be disregarded.

Each individual with the AA genotype has two A alleles. Therefore, if there are 25 individuals that are homozygous AA, the number of A alleles in this group is:

n = 25*2=50\ A\ alleles

There are 50 A alleles in in the homozygous AA group.

6 0
3 years ago
if increasing physical capita increases productivity why would a company not buy newer faster computers for all its works every
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Explanation:

Every year's investment on the physical capital may decrease the profit rate of the company though it is true that the fast computers and technological items can improve the productivity of the workers.

Every year investment is not required for the employees from company's point of view as they think it is over expending on the products which are not necessary and relevant.

7 0
3 years ago
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