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3 years ago

LO 4.7In a job order cost system, indirect labor incurred is debited to which account?

Business

1 answer:

anyanavicka [17]3 years ago

5 0

Answer:

manufacturing overhead

Explanation:

Since the manufacturing overhead comprises of all the indirect cost related to the factory like - depreciation on factory equipment, property taxes, indirect labor, indirect material, manager salary who worked for factory, etc

Since indirect labor has come under the manufacturing overhead so, the same is debited to manufacturing overhead as indirect labor is incurred

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A buyer took out a $6,000 loan for 10 years at 10.5% interest. The buyer made principal payments of $75 a month on the loan in a

larisa [96]

Answer:

$5,550

Explanation:

Given:

Principle amount of the loan = $6,000

Duration of the loan = 10 years

Rate of interest = 10.5%

Principle payment made each month = $75

Now,

The total principle amount paid in six months

= Principle payment made each month × 6 months

= $75 × 6

= $450

Now,

the principle amount payment is made on addition to the interest, therefore no interest will be due after 6 months

Hence,

the principle loan balance

= Principle loan amount initially - Total principle paid

= $6,000 - $450

= $5,550

3 0

3 years ago

Joe decided to quit his computer-programming job (where he was earning $48,000 per year) to start his own software business. For

Mrrafil [7]

Answer:

b. −1,002.5

Explanation:

economic profit = accounting profit - opportunity costs

accounting profit = revenue - maintenance and insurance = $96,000 - $30,240 = $65,760
opportunity costs = the lost salary as a computer programmer + money he could earn by selling the land lot and investing = $48,000 + ($395,000 x 4.75%) = $66,762.50

economic annual profit = $65,760 - $66,762.50 = -$1,002.50

7 0

3 years ago

In Maddie's company, senior officers eat in the same cafeteria as the entry-level workers. On a trip to a different country, she

yKpoI14uk [10]

Answer:

Power distance

Explanation:

"Power distance is a term that describes how people belonging to a specific culture view power relationships - superior/subordinate relationships - between people, including the degree that people not in power accept that power is spread unequally.

Individuals in cultures demonstrating a high power distance are very deferential to figures of authority and generally accept an unequal distribution of power, while individuals in cultures demonstrating a low power distance readily question authority and expect to participate in decisions that affect them. "

Reference: Grimsley, Shown. “Hofstede's Power Distance: Definition & Examples Video.” Study.com, Study.com, 2019

6 0

3 years ago

If the Sampson Company, a supplier of wood, understands the needs and requirements for wood for a few firms within a NAICS class

Helen [10]

Answer:

The answer is "Option c".

Explanation:

The customer service must matter arising' needs to fulfill everyone. The Sampson Company, a timber manufacturer, understands the wood specifications or conditions for several firms within the NAICS category. Within this case, the Dunn Company will develop the timber specifications or criteria of all firms underclass.

5 0

2 years ago

Joe operates a business that locates and purchases specialized assets for clients, among other activities. Joe uses the accrual

babunello [35]

Answer: Please refer to Explanation

Explanation:

a. No Effect on Taxable Income.

First off Joe's income is only dependent on if the test is successful. Even if it were, the test would only be conducted in year 1 March not in year 0 which is the focus of this question. Taxes are only paid when cash is received.

b. No Effect on Taxable Income.

Had there been a business discussion, Joe would have been able to claim a 50% deduction in Tax. However since there was none, there is no effect on Tax.

c. No effect on Taxable Income

The insurance is not tax deductible.

d. $12,750 in taxable income.

Even Joe believes that $2,750 of income might not be collected, he cannot deduct this from taxes until it actually happens therefore his increase in income is $12,750.

e. $2,250 reduction in taxable income

The $6,750 was paid for 3 months. Joe uses Accrual accounting however meaning that expenses have to be recorded for the period they are incurred. $2,250 was incurred for December and so that is the amount that will be deducted as an expense for the year.

f. $1,600 reduction in Taxable income.

If the representative brings back receipts that are in order, Joe can be able to reimburse her for $1,600 in expenses. This includes $550 for airfare, $600 for lodging and for food and entertainment, the maximum he can claim as deductible in tax is 50% of each which means $250 for meals and $200 for entertainment. Adding all that up will give $1,600.

g. $139.15 reduction in Taxable income

Joe drove 96 miles to and fro the factory to his house. This is not tax deductible and considered personal. He however drove 245 miles visiting company sites. This is tax deductible.

The standard rate for 2020 according to the IRS is 57.5 cents per mile so 245 * 57.5 cents per mile will give $139.15.

h. $345 reduction in taxable income

Joe spent $175 to attend to symposium. He also paid $95 in taxi fare to get to the symposium. He ate meals worth $150 during the symposium not which 50% is deductible. 50% being $75. Adding all these together is,

= 175 + 95 + 75

= $345.

This is the taxable reduction.

3 0

3 years ago