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3 years ago

Sheaves, Inc., has sales of $50,000, costs of $23,000, depreciation expense of $2,250, and interest expense of $2,000.

Business

1 answer:

Dominik [7]3 years ago

6 0

Answer:

$21,767.50

Explanation:

Computation table:

Particular Amount

Sales $50,000

Less: Costs $23,000

Less: Depreciation $2,250

EBIT $24,750

Less: Interest $2,000.

EBT $22,750

Less: Tax (23%) $5,232.50

Net Income $17,517.50

$24,750 + 2,250 -5,232.50

$21,767.50

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Titon Sports, which produces footballs, has two departments: cutting and stitching. Footballs that have undergone the cutting pr

zhenek [66]

Answer:

We find the equivalent units for both Weighted Average Method and FIFO separately for cost calculations . These are given along as required.

Explanation:

Titon Sports

Equivalent Units

Weighted Average Method

Particulars Units % of Completion Equivalent Units

Materials --Conversion Materials --Conversion

Completed and

Transferred 52,000 100% 100% 52,000 52,000

Ending work

in process 21,500 0% 20% Zero 4300

Equivalent Units 52,000 56,300 

Particulars Units % of Completion Equivalent Units

Transferred In Transferred In

Completed and

Transferred 52,000 100% 52,000

Ending work

in process 21,500 100% 21,500

Equivalent Units 73500

Particulars  Transferred In Materials Conversion Total

Costs

Beginning WIP $ 45,360 $0 $17,660

Total costs added $154,560 $28,080 $89,310

Total Costs 199920 $28,080 106970  $334970

b. Conversion cost per equivalent unit during March

Total Conversion Costs/ Total Equivalent Units Conversion

= 106970/56,300 = $1.9 per Equivalent Unit

Materials cost per equivalent unit during March

Total Materials Costs/ Total Equivalent Units Materials

= 28080/52000 = $ 0.54 per Equivalent Unit

Transferred In cost per equivalent unit during March

Total Transferred In Costs / Total Transferred In Units

= 199920 / 73500 = 2.72

C. Cost Assigned To Transferred Out Goods $ 268,320

Materials = 52,000*0.54= $ 28080

Conversion = 52,000* 1.9= 98800

Transferred in Units = 2.72 * 52000= 141440

Cost Assigned To Ending Work In Process $66650

Conversion = 4300* 1.9= 8170

Transferred in Units = 2.72 * 21500= 58,480

C. Total Costs Assigned = Transferred Out + Ending = $334970

d. Conversion cost assigned to the ending work in process: $8170

Conversion = 4300* 1.9= 8170

We see the difference between the weighted average and FIFO method is that the FIFO method only accounts for the current period costs not the total the costs.Where as the weighted method includes all the costs from preceeding department and also current costs.

e.Titon Sports

Equivalent Units

FIFO Method

Particulars Units % of Completion Equivalent Units

Materials --Conversion Materials --Conversion

Completed and

Transferred 52,000 100% 100% 52,000 52,000

Ending work

in process 21,500 0% 20% Zero 4300

Less

Beg. WIP 17500 0% 60% Zero 10500

Equivalent Units 52,000 45,800 

Particulars Units % of Completion Equivalent Units

Transferred In Transferred In

Completed and

Transferred 52,000 100% 52,000

Ending work

in process 21,500 100% 21,500

Less

Beg. WIP 17500 100% 17500

Equivalent Units 56000

f. Materials cost per equivalent unit during March (FIFO)

Total Materials Costs/ Total Equivalent Units Materials

= 28080/52000 = $ 0.54 per Equivalent Unit

g. Cost Assigned To WORK In Process (FIFO) $ 8385

Conversion cost per equivalent unit during March

Total Conversion Costs/ Total Equivalent Units Conversion

= 89310/ 45,800 = $1.95 per Equivalent Unit

Conversion = 4300* 1.95= $ 8385

h. Cost Assigned To Transferred Out Goods $ 273,000

Materials = 52,000*0.54= $ 28080

Conversion = 52,000* 1.95= 101,400

Transferred In cost per equivalent unit during March

Total Transferred In Costs / Total Transferred In Units

= 154560 / 56,000 = 2.76

Transferred in Units Costs = 2.76 * 52000= 143520

8 0

3 years ago

Gerald's Tire Store sets itself apart from competitors by the extra attention it pays to providing fast, courteous service in a

Elodia [21]

Answer:

Letter c is correct. Macro, or overarching, strategy.

Explanation:

Gerald's Tire Store created a macro or overarching strategy because the company's focus is mainly on the customer.

The focus on the excellence of the services offered to the customer, translate an effective strategy for the positioning of a company in the market, offering a differentiated and quality service provides increased brand value, strengthens the relationship with customers, increases their perception and customer satisfaction. products and services offered.

Creating customer relationships means creating value is a challenge for organizations and requires extra effort from marketers. It is necessary to segment the market to find where your target audience is, what your needs and desires are, then develop and implement a strategic marketing plan to create value, strengthen the brand and ensure a competitive advantage in the market.

7 0

3 years ago

Presented below is information related to Waterway Company. Cost Retail Beginning inventory $374,710 $283,000 Purchases 1,393,00

Lilit [14]

Answer:

$218,050

Explanation:

Please see attachment.

5 0

3 years ago

Penny buys 3 bouquets of flowers for $3 each and 4 bouquets for $2 each. which expression gives the total cost of the bouquets t

Elis [28]

The correct answer is 3³+ 4×2

Lets, calculate the total cost of the boquets of flowers that penny buys,

Penny buys 3 boquets of flowers, for 3$ each so, the total cost is given by,

3×3 = 33$

Penny buys 4boquets of 2$ each.

So, the total cost of the boquets of the flowers that worth 2$ each is given by,

(4×2 )

So, the total costs of the boquets of flowers that penny buys is given by,

3³+42.

Total cost is defined as the total expense by the individual or a company added to the variable costs occur. Total cost help the businesses to calculate their profits and loss and maintain their sales data.

The terms fixed costs, total fixed costs, and variable costs have a similar sound, there are important distinctions among the three. The primary difference is that whereas variable costs and total fixed costs are heavily over dependent on the quantity of goods or services a company produces, fixed costs do not take that quantity into account.

To learn more about fixed cost, refer this link

brainly.com/question/27328807

#SPJ4

4 0

1 year ago

Snow White Frame Company's cost formula for its supplies cost is $1,740 per month plus $8 per frame. For the month of March, the

Mademuasel [1]

Answer:

$48 U

Explanation:

Calculation to determine what The activity variance for supplies cost in March would be closest to:

First step is to calculate the Planning supply activity cost

Planning supply activity cost = (614 × $8) +$1,740

Planning supply activity cost = 4,912+$1740

Planning supply activity cost = $6652

Second step is to calculate the Actual supply activity cost

Actual supply activity cost = (620 × $8) + $1,740

Actual supply activity cost =4960+$1,740

Actual supply activity cost =$6,700

Now let calculate the Activity variance for supplies cost using this formula

Activity variance for supplies cost = Actual activity cost – Planning activity cost

Let plug in the formula

Activity variance for supplies cost= $6,700 - $6,652

Activity variance for supplies cost= $48 Unfavorable

Therefore The activity variance for supplies cost in March would be closest to:$48 U

3 0

3 years ago