Other things the same, when the price level rises, interest rates select one:

Ice Cream Corporation uses the weighted-average method in its process costing system. Data concerning the first processing depar

olya-2409 [2.1K]

Answer:

Ice Cream Corporation

The cost per equivalent unit for materials for the month in the first processing department is closest to:

= $14.30.

Explanation:

a) Data and Calculations:

Units Materials Conversion

Beginning work in process 2,400 $ 14,500 $ 6,600

Percentage of completion

Beginning work in process 75% 20%

Started into production 11,100

Units in production 13,500

Completed and transferred 10,000

Ending work in process 3,500 90% 30%

Costs added during the month $173,600 $243,600

Total costs of production

Beginning work in process $ 14,500 $ 6,600

Costs added during the month 173,600 243,600

Total costs of production $188,100 $250,200

Equivalent units of production:

Completed and transferred 10,000 10,000 (100%) 10,000 (100%)

Ending work in process 3,500 3,150 (90%) 1,050 (30%)

Equivalent units of production 13,150 11,050

Cost per equivalent unit:

Total costs of production $188,100 $250,200

Equivalent units of production 13,150 11,050

Cost per equivalent unit $14.30 $22.64

5 0

3 years ago

Sea Side Enterprises is trying to predict the cost associated with producing its anchors. At a production level of 5,300 anchor

Lena [83]

Answer:

The total cost at 9000 anchor is $473400

Explanation:

To come up with the cost equation used by the manager, we need to find the variable cost per unit.

The total cost at production level of 5300 is = 5300 * 54 = $286200

Out of the total costs, $18000 are fixed.

Thus, variable costs at production of 5300 is = 286200 - 18000 = $268200

The variable cost per unit is = 268200 / 5300 = $50.60

Let x be the number of anchors produced.

The cost equation is = 18000 + 50.60x

At 9000 anchors, the total cost will be,

Total cost = 18000 + 50.60 * (9000) = $473400

8 0

3 years ago

Cyclical unemployment is caused by business cycle fluctuations. reducing international trade barriers, which causes some industr

Shalnov [3]

Answer:

The correct answer is letter "A": business cycle fluctuations.

Explanation:

Cyclical unemployment refers to unemployment related to downturns in the economy. It tends to be temporary but the length depends on the level of contraction of the economy during a recession. This type of unemployment is typical of the natural increase and decrease cycle of a nation's growth.

6 0

3 years ago

Your company, which has a MARR of 12%, is considering the following two investment alternatives:

mote1985 [20]

Answer:

future worth:

project A 11,615.26

project B 12,139.18‬

It should choose project B as their future value is greater

IRR of project A: 13.54%

We should remember that the IRR is the rate at which the net value is zero thus, equals the inflow with the cash outlay

It is calculate with excel or financial calculator due to the complex of the formula.

Explanation:

Project A

We calculate the future value of the cash flow per year and cost as we are asked for future value. The salvage value is already at the end of the project life so we don't adjust it.

Revenues future value

$C \times \frac{(1+r)^{time} -1}{rate} = FV\\$

C 15,000

time 8

rate 0.12

$15000 \times \frac{(1+0.12)^{8} -1}{0.12} = FV\\$

FV $184,495.3970

Expenses future value

$C \times \frac{(1+r)^{time} -1}{rate} = FV\\$

C 3,000

time 10

rate 0.12

$3000 \times \frac{(1+0.12)^{10} -1}{0.12} = FV\\$

FV $52,646.2052

Cost future value

$Principal \: (1+ r)^{time} = Amount$

Principal 40,000.00

time 10.00

rate 0.12000

$40000 \: (1+ 0.12)^{10} = Amount$

Amount 124,233.93

Net future worth:

-124,233.93 cost - 52,646.21 expenses + 184,495.40 revenues + 4,000 salvage value

future worth 11,615.26

Project B

cost:

$Principal \: (1+ r)^{time} = Amount$

Principal 60,000.00

time 10.00

rate 0.12000

$60000 \: (1+ 0.12)^{10} = Amount$

Amount 186,350.89

expenses 52,646.21 (same as previous)

revenues

$C \times \frac{(1+r)^{time} }{rate} = FV\\$

C 24,000

time 7

rate 0.12

$24000 \times \frac{(1+0.12)^{7} -1}{0.12} = FV\\$

FV $242,136.2815

TOTAL

242,136.28 + 9,000 - 52,646.21 - 186,350.89 = 12,139.18‬

Internal rate of return of project A

we write the time and cash flow for each period.

Time Cash flow

0 -40,000

1 -3,000

2 -3,000

3 12,000

4 12,000

5 12,000

6 12,000

7 12,000

8 12,000

9 12,000

10 16,000

IRR 13.54%

Then we write on excel the function =IRR(select the cashflow)

and we got the IRR of the project

6 0

3 years ago

Teller Co. is planning to sell 900 boxes of ceramic tile, with production estimated at 870 boxes during May. Each box of tile re

ELEN [110]

Answer:

The correct answer is $2,610.

Explanation:

According to the scenario, computation of the given data are as follow:-

We can calculate the the direct labor cost by using following formula:-

Direct labor hour required= Estimated production × Direct labor hour

= 870 × 1÷4 =217.5 hours

Direct labor cost = Direct required labor hour × Rate of labor per hour

= 217.5 hours × $12

= $2,610

According to the analysis, $2,610 is the total amount to be budgeted for direct labor.

4 0

3 years ago