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BartSMP [9]
3 years ago
14

Dalrymple Company produces a special spray nozzle. The budgeted indirect total cost of inserting the spray nozzle is $ 12 comma

500. The budgeted number of nozzles to be inserted is 10 comma 000. What is the budgeted indirect cost allocation rate for this​ activity?
Business
1 answer:
Zina [86]3 years ago
4 0

Answer:

$1.2

Explanation:

Budgeted indirect total cost/ budgeted number of nozzles .

$12,000/$10,000

$1.2

Therefore the budgeted indirect cost allocation rate for this​ activity is $1.2

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Maksim231197 [3]

Answer:

Cost of goods sold = $8,800

Explanation:

<em>The cost of goods is represents amount incurred to make available  what has been sold. It is computed as follows:</em>

<em>Cost of goods sold = opening stock + purchases - closing inventory</em>

It is useful to determine the cost of goods so as to calculate the gross profit margin. The gross profit is the sales revenue less cost of goods sold.

So we can compute same for the sporting equipment store as follows:

Cost of goods sold = 3,800 + 7,800 - 2,800

= $8,800

Cost of goods sold = $8,800

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