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3 years ago

Acme Enterprises just bought a new manufacturing machine. Which of these costs should be capitalized? (Check all that apply.)

Business

1 answer:

ankoles [38]3 years ago

4 0

Answer:

Option D, E and F. See below for information.

Explanation:

Costs are capitalized when they form a principal part of the asset. These costs may include any costs that are needed to make the asset operational and any costs that are incurred to bring the asset to operating premises.

As such the $15,000 freight bill that brings the asset in premises, the invoice price of $500,000 which comprises the cost of the capital asset and the one time cost of $8,000 to tear down the wall and install the asset are all capital costs and are to be capitalized in the final cost of the asset to be recorded.

All other are annual expenses are not to be capitalized (Option a, b and c)

Hope that helps.

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Trez Company began operations this year. During this first year, the company produced 100,000 units and sold 80,000 units. The a

hjlf

Answer:

<u>Income statement for the company under variable costing</u>

Sales (80,000 units x $45) $3,600,000

Less Cost of Sales

Beginning inventory $0

Cost of goods manufactured (100,000 units x $19) $1,900,000

Cost of good available for sale $1,900,000

Less Ending inventory (20,000 x $19) ($380,000) ($1,520,000)

Contribution $2,080,000

Less Period Costs

Fixed Manufacturing Overhead ($600,000)

Selling and administrative expenses - Fixed ($400,000)

Selling and administrative expenses - Variable ($180,000)

Net Income / (loss) $900,000

Explanation:

Under Variable Costing.

1.Product cost = Variable Manufacturing Costs Only

Therefore, Product cost = $4 + $11 + $ 4

= $19

2.Period Cost = Fixed Manufacturing Overheads + Non - Manufacturing Costs

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3 years ago

Which of the following is the principle of management dedicated to the structuring of resources to support the accomplishment of

yaroslaw [1]

Answer:

a. organization

Explanation:

There are basic five principal of Management:

Planning
Organization.
Controlling
leading
Staffing

These basic five principal make an average manager to a successful manager.

Planning in management play a vital role as it is about choosing the right process and active objective of organization.

Organization is about structuring of resources and managing relationship with worker to acchieve organization´s goal.

Leading is about inspiring and motivating others in the organization to make vision of organization realistic and achievable.

Staffing is about recuiting and allocating right person at a right job.

Controlling is about evaluating the process and goal of organization.

6 0

3 years ago

It costs Sunland Company $28 of variable costs and $18 of allocated fixed costs to produce an industrial trash can that sells fo

Usimov [2.4K]

Answer:

The effect that will happen on the net income is an increase in $6,000.

Explanation:

For this product, we have:

Price: $90.

Variable cost: $28

Allocated fixed cost: $18

There is an opportunity to sell 3,000 units at $30, and the firm has excess capacity.

As the allocated fixed cost only counts for the existing level of production (before accepting the 3,000 additional units), they don't matter in the decision.

With excess capacity, the firm only incurs in the variable cost of $28 per unit. If the price is $30, the variation in the net income will be:

$\Delta NI=Q(P'-VC)=3,000*(30-28)=3,000*2=6,000$

The effect that will happen on the net income is an increase in $6,000.

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3 years ago

The motives of those involved in unethical behavior that caused the financial crisis in the real estate, banking, and mortgage i

dlinn [17]

The motives of those involved in unethical behavior that caused the financial crisis in the real estate, banking, and mortgage industries included Option A greed and the wish to inflate their own earnings.

<h3>What is unethical behavior?</h3>

unethical behavior bare behavior that is contrary to the rules and principle of the organization.

In most cases it is usually as a result of greed and the wish to inflate their own earnings.

Learn more about unethical behavior at:

brainly.com/question/24518056

#SPJ1

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1 year ago

What kind of education do you need to be a construction engineer technology?

Sliva [168]

You would have to earn an <span>Associate of Applied Science (AAS) degree or an advanced technical certificate. </span>

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3 years ago