Answer: D. Longhorn owns the inventory and should report it on its balance sheet.
Explanation:
Goods to be sold on consignment for a company means a company is selling goods for another company and will be paid for their services.
In that case, the company being sold for will retain the ownership of the goods because the company that is selling it for them is simply providing a service.
Angus in this scenario are simply holding the goods to sell it and so do not own the goods. Longhorn should therefore record it in their own books as inventory.
I’m sure it’s B. Debit Card
Answer:
Record all transactions in a check register.
Explanation:
It's easier to track how money is spent if there is a paper trail.
Answer:
Large Medium Small
Unit selling price $184 $160 $100
Unit variable cost 130 120 76
Unit contribution margin $54 $40 $24
Autoclave hours per unit 3 2 1
Total process hours per unit 5 4 2
Budgeted units of production 3,000 3,000 3,000
a. Determine the contribution margin by glass type and the total company income from operations for the budgeted units of production.
- total contribution margin for large safety plate glasses = $54 x 3,000 = $162,000
- total contribution margin for medium safety plate glasses = $40 x 3,000 = $120,000
- total contribution margin for small safety plate glasses = $24 x 3,000 = $72,000
b. Prepare an analysis showing which product is the most profitable per bottleneck hour.
contribution margin per autoclave hour:
- large safety plate = $54 / 3 = $18 per autoclave hour
- medium safety plate = $40 / 2 = $20 per autoclave hour
- small safety plate = $24 / 1 = $24 per autoclave hour ⇒ MOST PROFITABLE PRODUCT PER AUTOCLAVE HOUR (BOTTLENECK)
Answer:
29.37%
Explanation:
Rate of return = Average annual income/Average initial investment
Average annual income = $3,700
Average initial investment = (I+s)/2
Average initial investment = (25,200+0)/2
Average initial investment = $12,600
Rate of return = $3,700/$12,600
Rate of return = 0.2936508
Rate of return = 29.37%