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3 years ago

Match each situation below to two applicable reasons that require an adjustment to be made.

Business

1 answer:

____ [38]3 years ago

4 0

1) A. C.

2) A. E.

3) B. C.

4) B. F.

5) A. E.

6) A. C.

7) B. F.

8) B. C.

Explanation:

1) Delta Airlines provided flights this month for customers who paid cash last month for tickets. Revenue has been earned. Liability has been incurred.

2) GSD+M completed work on an advertising campaign that will be collected next month. Revenue has been earned. Asset has been acquired.

3) Abercrombie received a telephone bill for services this month, which must be paid next month. Expense has been incurred. Liability has been incurred.

4) The Tiger Woods Foundation used up some of the benefits of its 35,000-square-foot building. Expense has been incurred. Asset has been used up.

5) IBM completed a consulting project for the CDC to simulate the spread of contagious viruses and will be paid next month. Revenue has been earned. Asset has been acquired.

6) This month Apple, Inc. redeemed iTunes gift cards that had been issued last month. Revenue has been earned. Liability has been incurred.

7) Schutt Sports used up some of the benefits of its football helmet manufacturing equipment. Expense has been incurred. Asset has been used up.

8) Procter & Gamble received a bill for this months advertising services, which it will pay next month. Expense has been incurred. Liability has been incurred.

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Identifying the Parts of the Cost Formula; Calculating Monthly, Quarterly, and Yearly Costs Using a Cost Formula Based on Monthl

HACTEHA [7]

Answer: attached below

Explanation:

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4 years ago

Exercise 19-3 Income reporting under absorption costing and variable costing LO P2 Sims Company, a manufacturer of tablet comput

Juliette [100K]

Answer:

Variable costing principle uses variable cost alone while absorption costing uses all cost both fixed and variable that are related to the production

1)Variable costing

Income = $28,000,000

Cost of production - $9,600,000

Gross profit = 18,400,000

Admin & selling expenses =509,091

PBIT = 17,890,909

2)Absorption costing

Income - $28,000,000

Cost of production 18,400,000

Gross profit 9,600,000

Admin $ selling expenses 5,259,091

PBIT = 4,340,909

3)Reported income is identical under both variable and absorption costing when production is the same with sales and there is no opening finished good inventory . All costs including the fixed costs are absorbed into the cost of production

Explanation:

Direct material - $40/unit

Direct labor $60/unit

Variable overhead cost - $2,200,000

Fixed overhead cost - $8,800,000

Variable admin cost - $700,000

Fixed admin cost - $4,750,000

Unit produced - 110,000

Unit sold - 80,000

Selling price - $350

sales revenue - 80000*$350 - $28,000,000

Cost

Direct material = 80000* 40= $3,200,000

Direct labor = 80000*60 = $4,800,000

Variable overhead = 2200000/110000 * 80000 = $1,600,000

Fixed overhead = $8,800,000 =

Variable admin= 700000/110000 * 80000 = $509,091

Fixed admin = $ 4,750,000

Total cost = $23,659,091

7 0

4 years ago

Which of the following is not a factor of production?

Sonbull [250]

Goods and services are not factors of production.

Factors of production are inputs that are needed to provide goods or services. They include, land, labor, capital, and entrepreneurship.

<h2>Further Explanation:</h2><h3>Factors of reproduction </h3>

Factors of reproduction or resources are inputs or resources that are used in the generation of goods and services with an aim of making profit.
There are four main factors of production which include; Land, Labor, Capital and Entrepreneurship.

This refers to all the natural resources that are available to be used in the production of goods.
These natural resources includes raw materials from the ground, non-renewable resources such as petroleum and renewable resources such as timber.
The income or reward earned from land as a factor of production is rent.

<h3>Labor </h3>

This refers to the manpower or work done by human beings.
The value of labor depends on the skills, education and motivation of workers.
The reward for labor as a factor of production is wages and salaries.

<h3>Capital </h3>

This refers to the capital goods, that is, man-made objects that are used for production of goods and services such as machinery, equipment and chemicals.
They also include industries and commercial buildings.
The reward or income earned from capital goods is interest

<h3>Entrepreneurship </h3>

It involves coming up with an idea and developing it into profitable business.
An entrepreneur is therefore an individual who combines the other factors of production to build a business and add the supply in the economy.
The reward or income earned by entrepreneurs is profit.

Keywords: Factors of production, labor, land, capital

<h3>Learn more about</h3>

Factors of reproduction: brainly.com/question/9637316
Reward for factors of reproduction: brainly.com/question/9637316
Capital goods: brainly.com/question/11672036
Consumer goods: brainly.com/question/3227054

Level: High school

Subject: Business

Topic: Factors of reproduction

7 0

3 years ago

Read 2 more answers

A project will not produce any cash flows for two years. Starting in the third year, it will produce annual cash flows of $11,90

dusya [7]

Answer:

The NPV of the project at 8.7 percent will be 4,802.58‬

Explanation:

We will calcualte the present value of the cash inflow:

$\frac{Inflow}{(1 + rate)^{time} } = PV$

Inflow 11,900.00

time 3.00

rate 0.087

$\frac{11900}{(1 + 0.087)^{3} } = PV$

PV 9,265.28

Inflow 11,900.00

time 4.00

rate 0.087

$\frac{11900}{(1 + 0.087)^{4} } = PV$

PV 8,523.71

Inflow 50,500.00

time 6.00

rate 0.087

$\frac{50500}{(1 + 0.087)^{6} } = PV$

PV 30,613.58

Then, we will add them together and subtract the investment amount

NPV: 30,613.59 + 8,523.71 + 9,265.28 - 43,600 = 4,802.58‬

3 0

3 years ago

if variable manufacturing overhead is applied on the basis of direct labor-hours and the variable overhead rate variance is favo

Sladkaya [172]

Answer:

the standard variable overhead rate exceeded the actual rate.

Explanation:

Considering that, Variable overhead rate variance = Actual overhead costs - (actual hours * Standard rate)

Hence, in this case, since it is assumed that, if variable manufacturing overhead is applied on the basis of direct labor-hours and the variable overhead rate variance is favorable, then: the standard variable overhead rate exceeded the actual rate.

5 0

4 years ago