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3 years ago

Determine the formula, then calculate ending direct materials total cost.

1 answer:

8 0

<span>Fortunately, this is a simple calculation to compute; use the value of your starting direct materials inventory, your direct materials purchased and your direct materials used to find the ending inventory of direct materials.</span>

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Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, (c) weighted average, and (d) specific identification. F

masha68 [24]

Answer:

Closing Units = (710 units - 490 units)= 220 units

a) FIFO : closing inventory = $14,040

Mar 18 purchase 20 *$62 =$1,240

Mar 25 purchase 200 *$64 = $12,800

b) LIFO : closing inventory = $12,780

Mar 1 opening = 90 * $52 =$4,680

Mar 18 purchase = 110 * $62 = $6,820

Mar 25 purchase = 20*$64 =1,280

c) Weighted Average Method (WAM) :

WAM= (Opening cost + purchases cost)/(opening units +units purchased)

= ($7,800+$14,250)/(150+250) = $55.125 cost before Mar 9 sale

WAM(after the first sale) = ($4,961.25 +$6,820 + $12,800)/(90+110+200)

= $61.45

Closing Inventory = $61.45*220 =$13,519

d) Specific Identification :Closing Inventory = $13,070

Mar 01 opening = 60 *$52 =$3,120

Mar 5 Purchase = 30*$57 =$1,710

Mar 18 Purchase = 40*$62 =$2,480

Mar 25 Purchase = 90*$64 =$5,760

Explanation:

The Question is incomplete. I have provided the missing part of the question below.

Date Activities Units Acquired at Cost Units Sold at Retail

Mar. 1 Beginning inventory 150 units $52.00/unit

Mar. 5 Purchase 250 units $57.00/unit

Mar. 9 Sales 310 units $87.00/unit

Mar. 18 Purchase 110 units $62.00/unit

Mar. 25 Purchase 200 units $64.00/unit

Mar. 29 Sales 180 units $97.00/unit

Totals 710 units 490 units

5 0

3 years ago

Which of the following is true?a. Anticipated inflation is an increase in the price level that comes as a surprise, at least to

alexira [117]

Answer:

Option "C" is the correct answer to the following statement.

Explanation:

Decision-makers are usually highly skilled in Forecasting Inflation, they educate themselves to get knowledge and skill which will help them to Anticipate inflation slow market rates.

Decision-makers probably expect with a particularly high level of certainty with these forecast many industries change their plans according to inflation.

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2 years ago

On January 1, 2011 Grace Company had an $13,000 balance in the Accounts Receivable account and a zero balance in the Allowance f

Lubov Fominskaja [6]

Answer:

The amount of uncollectible accounts expense recognized on the 2011 income statement is:

$6,600.

Explanation:

As the amount of uncollectible accounts are expressed as percentage of the total sales, then the amount is $6,600

Initial Balance

Dr Accounts Receivable $ 13.000

During 2011, Grace provided $55,000 of service on account

Dr Accounts Receivable $ 55.000

Cr SALES $ 55.000

The company collected $48,100 cash from account receivable.

Dr CASH $ 48.100

Cr Accounts Receivable $ 48.100

Uncollectible accounts are estimated to be 12% of sales on account

Dr Bad Debt Expense $ 6.600

Cr Allowance for Uncollectible Accounts $ 6.600

If the company applies the allowance method, it means that the account Allowance for Uncollectible Accounts must show as balance the % of accounts receivables as CREDIT.

Bad accounts are those credits granted by the company and there is no possibility of being charged.

"When customers buy products on credits but the company cannot collect the debt, then it's necessary to cancel the unpaid invoice as uncollectible."

One way is to directly cancel bad debts at the time it was decided that the credit is bad, the total amount reported as bad debt expenses negatively affect the income statement and the accounts receivable are reduced by the same amount, less assets

The other way is to determine a percentage of the total amount of accounts receivable as bad debts, there are many ways to analyze accounts receivable and calculate the value of bad debts.

When the company has the percentage of uncollectible accounts, the required journal entry is Bad Expenses (debit) with Reserve for Bad Accounts (credit)

At the time of cancellation, since the expenses were recognized before, we only use the Allowance for Uncollectible Accounts (Debit) with accounts receivable (credit), with this we are recognizing the bad credit of the company.

7 0

2 years ago

Suppose your company needs to raise $68 million and you want to issue 20-year bonds for this purpose. Assume the required return

e-lub [12.9K]

Answer:

you would need 68000 of the coupon bonds to issue to raise the $68 million.

Explanation:

price of the coupon bond = $1000

number of coupon bond = $68 million/1000

= 68000

Therefore, you would need 68000 of the coupon bonds to issue to raise the $68 million.

6 0

3 years ago

You have a budget of US$75 per day for your client’s Search campaign, and you’d like to set a maximum cost-per-click (max. CPC)

Dmitry [639]

Answer: Use bid simulators to see CPC estimates

Explanation:

When you know your daily budget and desired max cpc, you can use bid simulators to see CPC estimates and validate that this is the right bid amount for getting the most clicks. Google Ads bid simulators help you see how different bids might change your ads’ weekly performance. The bid simulators collect and analyze data from ad auctions on the Search Network and the Display Network while considering information such as Quality Score, keyword traffic, and competition in the ad auction. The tools use this information to estimate how your ads might have performed in terms of key metrics like cost, impressions, clicks, and conversion volume.

6 0

3 years ago