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4 years ago

Harbour Company makes two models of electronic tablets, the Home and the Work. Basic production information follows:

Business

1 answer:

SashulF [63]4 years ago

6 0

Answer:

Instructions are below.

Explanation:

First, we need to calculate the predetermined overhead rate:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Predetermined manufacturing overhead rate= 180,660/2,600

Predetermined manufacturing overhead rate= $69.49 per machine hour

Now, we can allocate overhead to each product line:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Home= 69.49*1,200= $83,388

Work= 69.49*1,400= $97,286

b) We need to determine the unitary cost for each product:

Home:

Unitary cost= 38 + 23 + (83,388/620)= $195.50

Work:

Unitary cost= 72 + 40 + (97,286/490)= $310.54

c) Gross margin= selling price - unitary cost

Home:

Gross margin= 359 - 195.5= $163.4

Work:

Gross margin= 573 - 310.54= $262.46

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You see a used sporty car that you would like to own. It costs $9,000 and you would pay 7.2% interest, compounded monthly and fi

bogdanovich [222]

Answer:

$24,705.8

Explanation:

To find the answer, we will use the present value of an annuity formula:

PV = A (1 - (1 + I)^-n / i

Where:

PV = Present value of the investment (in thise case, the cost of the car)
A = Value of the annuity (the monthly payments)
i = Interest Rate
n = number of compounding periods

The monthly payments are an annuity: they are periodic, fall under the same interest rate, and have the same value, therefore, if we find the value of the annuity, we will find the value of the first monthly payment at the same time (both things are the same):

Plugging the amounts into the formula we obtain:

9,000 = A ( 1 - (1 + 0.072)^-36 / 0.072

9,000 = A (12.75)

9,000 / 12.75 = A

705.88 = A

Now, to find the full value of the loan, we multiply the annuity value for 36, because that value will be paid 36 times until the loan is completed:

Full value of the loan = 705.88 x 36

= 25,411.68

Finally, to find the loan balance after the first payment, we take the full value of the loan, and substract the value of the annuity from it:

Loan balance after first payment = 25,411.68 - 705.88

= 24,705.8

3 0

3 years ago

Spelling Corporation has eliminated the need for Finished Goods Inventory as it manufactures customer orders as they are receive

Marizza181 [45]

Answer:

Just-in-time inventory method

Explanation:

Just-in-time inventory method accurately forecasts demand for a good or service, so that it requests only for inventory it uses in production process. This method is aimed at reducing inventory storage cost and other expenses associated with having excess inventory on hand.

This method results in smooth operation at reduced cost. To be successful the business must accurately predict demand, and react fast to meet supply obligations.

6 0

3 years ago

Star Health, Inc. is a fitness center in Oklahoma City. In October, the company earned $550,000 in revenues and incurred the

Georgia [21]

Answer: $135.66

Explanation:

Given that,

Revenue earned in October = $550,000

Number of customers = 300

Operating costs:

Manager's Salary = $5,500

Gym Rent = 1,800

Depreciation Expense long dash Equipment = 7,000

Office Supplies Expense = 2,300

Utilities Expense = 1,600

Trainer's Salary = 22,500

Therefore,

Unit cost per customer = $\frac{Sum\ of\ all\ operating\ costs}{no.\ of\ customers}$

= $\frac{5,500+1,800+7,000+2,300+1,600+22,500}{300}$

= $135.66

7 0

3 years ago

Fill in the blanks for each of the following independent cases.

denis-greek [22]

The correct form to fill the blanks of the following independent cases is:

Case Revenues variable Fixed Total operating contribution

cost cost cost income margin Contribution

a 2400 600 200 800 1600 75% 1800

b 2500 1400 200 1600 900 44% 1100

c 500 300 200 500 0 40% 200

d 1200 900 200 1100 100 25% 300

The below formulas should be used:

Contribution = Revenues - variable cost.

Contribution margin = contribution ÷ revenue.

Operating income = Revenue - total cost

Total cost = fixed cost + variable cost

4 0

3 years ago

A rise in the interest rate increases the opportunity cost of consuming today. increases the opportunity cost of consuming in th

ExtremeBDS [4]

Answer:

increases the opportunity cost of consuming today

Explanation:

Consumption today is inversely related to interest rate.

If interest rate rises, consumption falls and if interest rate falls, consumption increases.

If interest rate is higher, the amount that can be earned on savings increases and this increases the incentives to save more now and consume less today.

3 0

3 years ago