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docker41 [41]
4 years ago
7

If a department that applies FIFO process costing starts the reporting period with 50,000 physical units that were 25% complete

with respect to direct materials and 40% complete with respect to conversion, it must add 12,500 equivalent units of direct materials and 20,000 equivalent units to direct labor to complete them. True or false?
Business
1 answer:
Pepsi [2]4 years ago
3 0

Answer:

The answer is: False

Explanation:

The department had 50,000 units which were:

  • 25% complete with respect to direct materials (equivalent to 12,500 units), to finish them it must add 37,500 equivalent units of direct materials.
  • 40% complete with respect to conversion (equivalent to 20,000 units), to finish them it must add 30,000 equivalent units of direct labor.
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True or false?
Nimfa-mama [501]

Answer:

Both statements are False

Explanation:

<u>Statement a</u>

As with higher debt involved the expected return on investment is more on equity. But reducing debt up till a certain level is beneficial in that condition, but there is an ideal debt to equity ratio of 1 - 1.5, it varies upon the industry requirements and conditions.

Although the theory which states that reducing debt will reduce cost of equity and of debt is false as there is a tax benefit on debt which states that cost is always less of debt.

<u>Statement b</u>

Financial distress and bankruptcy has several reasons to occur, and one of them is borrowing.

It do not depend on the level of borrowings, whether moderate or high, borrowings demand compulsory payment in the terms of interest due, which leads to a burden on the company. This also increases the demand of shareholders.

Thus, the statement is false.

5 0
3 years ago
In the labor market, the supply curve represents A) the workers and the demand curve represents the product of the labor. B) the
fgiga [73]

Answer:

The answer is: B) the supply of workers, and the demand curve is the demand for their labor.

Explanation:

In the labor market;

The supply curve represents the amount of labor that the workers are willing to offer at different price levels (wages).

The demand curve represents the number of workers that businesses are willing and able to hire at different wages.

7 0
3 years ago
Oklahoma County issued a request for proposal (RFP) to paint all the offices in the buildings located in District 3. The RFP sti
Greeley [361]

This requirement is an example of an order qualifier

<u>Explanation:</u>

Order qualifiers are the competing interests that a firm must prove to be a feasible opponent in the market field. An order qualifier is a quality of goods or assistance that is wanted for the goods/assistance to indeed be viewed by a client.

Order qualifiers are the ambitious criteria that create a firm's outcomes observed as access for marketing by purchasers. For a firm to remit order qualifiers, they have to be at least as great as their opponent. When a firm's thought of order winners and qualifiers rivals the customer's opinion of the equivalent, there endures a "fit" among the pair of panoramas.

Here only contractors that were licensed and bonded would be considered shows that the client is interest to a quality of assistance is wanted to paint.

8 0
3 years ago
If the dollar contribution margin per unit is increased by 10%, total fixed cost is decreased by 20%, and all other factors rema
Tasya [4]

Answer:

increase by $11,000

Explanation:

The computation of net operating income is shown below:-

Revenue = Sales per unit × Sales price per unit

= 3,000 × $70

= $210,000

Less variable costs = Sales per unit × Variable cost per unit

= 3,000 × $50

= $150,000

Fixed costs = $25,000

Net income =  Revenue - Less variable costs - Fixed costs

= $210,000 - $150,000 - $25,000

= $35,000

Contribution margin per units = $70 - $50

= $20

Increase by 10%, it will be

$20 × (1 + 0.1)

= $22

If it decrease by 20%

= $25,000 × (1 - 0.20)

= $20,000

Net income = $3,000 × 22 - 20,000

= 46,000

So it was 35,000, with the changes it is 46,000. That increase by $11,000

7 0
4 years ago
Find the difference in height between the top of a hill 973 feet high and a crack caused by an earthquake 79 feet below sea leve
s2008m [1.1K]
The difference in height between the hill 973 feet above sea level and the crack 79 feet below sea level is:

 

Difference in height = 973 - (-79)

 

Which is equal to 1052 feet.

4 0
3 years ago
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