Answer:
The Journal Entry is as follows:
Loss on Impairment $8,400
Debt Investment ($8,400)
Explanation:
Given.
Carrying Value = $79,200
Decreased Value = $70,800
Differences = $79,200 - $70,800
Differences = $8,400
Since the loss in value is determined, uncollectible.
The required entry on the journal entry are the amount loss on impairment and the amount invested on debt.
The Journal Entry is as follows:
Loss on Impairment $8,400
Debt Investment ($8,400)
Answer:The variable cost = $40,000, The average variable cost = $8,The average fixed cost =$2
Explanation: To calculate Variable Cost
TC = FC + VC
Therefore, VC= TC - FC
$50,000-$10,000
=$40,000
To calculate average variable cost
AVC/Q
= $40,000/$5,000
= $8
To calculate average fixed cost
TFC/Q
$10,000/$5,000
=$2
Answer:
- the costs of training employees in quality
- the costs of measuring and inspecting products and services
Explanation:
Indeed, this form of cost is very much important to improve upon quality standards in manufacturing firms.
Remember, they can be directly related to the products like;<em> inspecting work-in-process and finished goods, </em>or they could be indirect like;
- cost of hiring staff to provide inspections
- cost of equipment inspection
- cost of printing/producing inspection document guide, etc
Answer:
Newton Corporation
Net income for the year = $120
Explanation:
a) Data and Calculations:
Direct materials cost = $400
Direct labor cost = 800
Manufacturing overhead 400
Total manufacturing cost $1,600
Cost per unit = $8
Ending Inventory of finished goods = 150 units * $8 = $1,200
Cost of goods sold = 50 * $8 = $400
Sales revenue = 50 * $12 = $600
Newton Corporation
Income Statement
For the year ended December 31:
Sales Revenue $600
Cost of goods sold 400
Gross income $200
Selling & Admin.
expense 80
Net Income $120
b) Newton Corporation's net income is the difference between the Sales Revenue, cost of goods sold and selling and administrative expenses.