1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
saw5 [17]
3 years ago
10

Mesa Designs produces a variety of hardware products, primarily for the do-it-yourself (DIY) market. As part of your job intervi

ew as a summer intern at Mesa, the cost accountant provides you with the following (fictitious) data for the year (in $000). Inventory information: 1/1/00 12/31/00 Direct materials $ 59 $ 66 Work-in-process 87 79 Finished goods 998 1,024 Other information: For the year ’00 Administrative costs $ 3,200 Depreciation (Factory) 3,330 Depreciation (Machines) 4,730 Direct labor 7,600 Direct materials purchased 5,260 Indirect labor (Factory) 1,780 Indirect materials (Factory) 590 Property taxes (Factory) 240 Selling costs 1,180 Sales revenue 35,610 Utilities (Factory) 640 Required: 1. Prepare a cost of goods sold statement. 2. Prepare an income statement.
Business
1 answer:
pav-90 [236]3 years ago
5 0

Answer:

Instructions are listed below

Explanation:

Giving the following information:

Inventory information:

DM:

Beginning = $59

Ending= $ 66

Direct materials purchased 5,260

Work-in-process

Beginning= $87

Ending= $79

Finished goods

Beginning= $998

Ending= $1,024

Other information:

Administrative costs $ 3,200

Depreciation (Factory) 3,330

Depreciation (Machines) 4,730

Direct labor 7,600

Indirect labor (Factory) 1,780

Indirect materials (Factory) 590

Property taxes (Factory) 240

Selling costs 1,180

Sales revenue 35,610

Utilities (Factory) 640

1) We need to calculate the production during the period.

Cost of manufactured period= Beginning work in progress inventory+ direct materials + direct labor + factory overhead - ending work in progress

Beginning work in progress inventory= 87

Direct materials= 59 + 5620 - 66= 5,613

Direct labor= 7,600

Factory overhead=Depreciation (Factory) + Depreciation (Machines) +  Indirect labor (Factory) + Indirect materials (Factory)  + Property taxes (Factory) + Utilities (Factory)= 3,330 + 4730 + 1780 + 590 + 240 + 640= $11,310

Ending work in progress=79

Cost of manufactured period=87+5613+7600+11310-79= $24,531

Cost of goods sold (COGS)= Beginning Inventory+Production during period−Ending Inventory

CGOS= 998 + 24531-1024= $24,505

B)

Revenue= 35610

COGS= 24505 (-)

Gross profit= $11,105

Administrative cost= 3200

Selling costs= 1180

Total period costs= 4380 (-)

EBITDA= 6725

You might be interested in
A company uses the weighted average method for inventory costing. At the beginning of a period the production department had 54,
harkovskaia [24]
I’m not sure but 181,500
7 0
3 years ago
Which of the three economic systems (market, planned, and mixed) do you believe address the issue of scarcity the best?
Fofino [41]
Mixed because if everything its mixed up you won't no how much u have of something.
8 0
3 years ago
Projects A and B are mutually exclusive and have an initial cost of $82,000 each. Project A provides cash inflows of $34,000 a y
MrRissso [65]

Answer:

If discount rate is 11.7% Project B should be accepted.

If discount rate is 13.5% both projects should be rejected

Explanation:

If the Net present value of Project A is higher than that of project B, we will accept project A and vice versa.

<u>Under 11.7% Discount Rate</u>

Net Present Value-Project A = -82000 + 34000 / 1.117  +  34000 / 1.117²  +   34000 / 1.117³  = $85.099

Net Present Value-Project B = -82000 + 115000 / 1.117³ = $516.029

Project B should be accepted as it has a higher NPV.

<u />

<u>Under 13.5% Discount Rate</u>

Net present Value-Project A = -82000 + 34000 / 1.135 + 34000 / 1.135² + 34000 / 1.135³   = - $2397.49

Net Present Value-Project B = -82000 + 115000 / 1.135³  = - $3347.91

Both projects should be rejected as both have negative NPVs

7 0
3 years ago
A company had a beginning balance in retained earnings of $430,000. It had net income of $60,000 and declared and paid cash divi
ella [17]

Answer:

b. $433,750

Explanation:

The ending balance in retained earnings can be calculated as;

= Beginning balance + Net income - Cash dividends

Given that;

Beginning balance = $430,000

Net income = $60,000

Cash dividends = $56,250

= $430,000 + $60,000 - $56,250

= $433,750

Therefore, the ending balance in retained earnings is $433,750

4 0
2 years ago
Look at the sales prices change that is being suggested. In particular, Winetki talks about one of the product's prices as doubl
PilotLPTM [1.2K]

The calculation of a revised break-even point in units for the firm as a whole, using the weighted-average contribution margin approach is 1,155,556 units.

<h3>What is the weighted-average contribution margin?</h3>

The weighted-average contribution margin shows the average amount that a group of products or services contribute to meet the fixed costs.

The weighted-average contribution margin can be computed as Aggregate sales - Aggregate variable expenses) ÷ Number of units sold.

<h3>Data and Calculations:</h3>

Aggregate sales revenue = $1,800,000

Aggregate variable costs = $1,125,000

Aggregate contribution margin = $675,000 ($1,800,000 - $1,125,000)

Total units sold = 1,500,000

Total fixed costs = $520,000

Weighted average contribution margin = $0.45 ($675,000/1,500,000)

Break-even point in units = 1,155,556 units ($520,000/$0.45)

Thus, the calculation of a revised break-even point in units for the firm as a whole, using the weighted-average contribution margin approach is 1,155,556 units.

Learn more about break-even analysis at brainly.com/question/21137380

#SPJ1

4 0
1 year ago
Other questions:
  • What does apartheid mean and what country in africa practiced it?
    12·1 answer
  • PLEASE HELP. Choose from one of the five (5) workplace skills listed below. Then explain why an employer might be more willing t
    6·1 answer
  • "karla is taking two classes for a total of six credit hours. therefore she should be spending a minimum of ________ hours for r
    7·1 answer
  • What could have caused the aggregate demand curve to shift to the right from AD1 to AD2 an increase in exports an increase in im
    15·1 answer
  • Recording Initial Transactions and Subsequent Adjustments
    12·1 answer
  • Q: Research topic: CORONA-19: Asian stock markets and vaccine hopes
    6·1 answer
  • HELPPP ILL MARK BRAINLIEST!!!!
    13·2 answers
  • Colsen Communications is trying to estimate the first-year cash flow (at Year 1) for a proposed project. The financial staff has
    13·1 answer
  • If the risk-free rate of interest (rf) is 6%, then you should be indifferent between receiving $250 today or:
    6·1 answer
  • A portion of FICA that is paid to provide eligible retired workers and
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!