Answer: $147
Explanation:
First find what 40% of $245.00 is:
= 40% * 245
= $98.00
The boots are sold at a discount of 40%. This means that 40% - which is $98 - was deducted from the value.
The selling price is therefore:
= 245 - 98
= $147
Answer:
Cash Inflow of $191,400
Explanation:
There are three types of activities in the cash flow statement which are described below:
1. Operating activities: It includes those transactions which affect the working capital after net income. The increase in current assets and a decrease in current liabilities would be deducted whereas the decrease in current assets and an increase in current liabilities would be added.
These changes in working capital would be adjusted. Moreover, the depreciation expense is added to the net income
2. Investing activities: It records those activities which include purchase and sale of the long term assets. The purchase is an outflow of cash whereas sale is an inflow of cash
3. Financing activities: It records those activities which affect the long term liability and shareholder equity balance. The issue of shares is an inflow of cash whereas redemption and dividend is an outflow of cash.
In the given case, the sale proceed of equipment is consider in the investing activity i.e $191,400
Answer:
D) 1,500
Explanation:
rent per room =$100 dollars
variable cost= $ 20 dollars
fixed cost =$ 100,000.00
desired profits=$ 20,000.00
volume(V) to meet profit target;
Contribution margin per sale= $100-$20= $80
Profits = revenue-cost
=$20,000= Vx$80-$100,000
=20,000=v80-100000
v80=100,000.00+20,000
v80=120,000
v= 120,000/80
Volume =1,500
Answer:
Allocated MOH= $18,750
Explanation:
Giving the following information:
The estimated total factory overhead= $300,000
Total estimated direct labor cost= $240,000.
The actual direct labor cost was $15,000.
First, we need to calculate the estimated overhead rate based on direct labor cost. Then, we can allocate overhead.
To calculate the estimated manufacturing overhead rate we need to use the following formula:
Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Estimated manufacturing overhead rate= 300,000/240,000= $1.25 per direct labor dollar
Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Allocated MOH= 1.25*15,000
Allocated MOH= $18,750
Answer:
True
Explanation:
An activity based costing (ABC) system assigns resources to the different production activities, and then unit costs are determined by the proportion of the production activities that every unit requires.
This is a much more complex costing method than just assigning overhead costs based on direct labor hours or machine hours.