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ira [324]
3 years ago
12

The following information relates to Kew Company's Vale Division for last year: sales .................................. $500,00

0 variable costs ......................... 300,000 fixed costs ............................ 50,000 return on investment ................... 25% minimum required rate of return ........ 6% Calculate the residual income reported by Vale Division last year.
Business
1 answer:
-Dominant- [34]3 years ago
3 0

Answer:

$114,000

Explanation:

The computation of the residual income is shown below:

As we know that

Residual Income = Net operating Income - Average Operating assets × Required rate of return

where,

Net Operating Income is

= Sales Revenue - Variable Costs - Fixed Costs

= $500,000 - $300,000 - $50,000

= $150,000

And,

Average operating Assets is

= Net Operating Income ÷ Return on Investment

= $150,000 ÷ 0.25

= $600,000

So, the residual income is

= $150,000 - $600,000 × 6%

= $150,000 - $36,000

= $114,000

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Simone is a 26-year-old who lost her job as a copy editor for a local newspaper. She has spent the past few weeks out of work an
AlekseyPX

Answer:

Simone will be considered unemployed.

Explanation:

Simone is 26 years old, this means that she is in the adult population. She used to work as a copy editor for a newspaper. She has lost her job and is actively looking for work. She will be considered an unemployed person and will be included in the labor force.  

Those workers who do not have a job currently but are actively looking for one are considered unemployed. Those who are without jobs but are not actively looking for one are considered discouraged workers and are not included in the labor force. The labor force includes only employed and unemployed workers.

5 0
3 years ago
Job 593 was recently completed. The following data have been recorded on its job cost sheet:
Diano4ka-milaya [45]

Answer:

a.$6,705

Explanation:

The total cost is the sum of the three cost component, Direct materials, direct labours, and factory overhead.

Direct Labor Cost: 71 hours x $15 per hour = $ 1,065

Manufacturing Overhead: 175 machine hours x $14 per hour = $ 2,450

Direct Materials $ 3,190

Total cost: 1,065 + 2,450 + 3,190 = 6,705

8 0
3 years ago
Which is not an example of a behavior exhibited in a market economy?
Diano4ka-milaya [45]

Answer: market economy’s do not have government interference in businesses

Explanation:

5 0
3 years ago
Wren and Zola are on a team that has been assigned to cut production costs in an electronic component production facility. For s
aksik [14]

Answer:

B) Norming

Explanation:

Analyzing the scenario above, it is possible to state that Wren and Zola are in the team development norming stage.

At this stage, there is an increase in the identification of the role of each member and their goal in a team. There is a decrease in previous conflicts and an increase in group identity, which helps to develop tasks more effectively and jointly, where each member has a well-defined responsibility and the leader has the essential role of regulating the group and assisting in the development the responsibilities of each one, which will lead to effectiveness in achieving the team's objectives.

7 0
3 years ago
The following events took place at a manufacturing company for the current year:(1) Purchased $95,000 in direct materials.(2) In
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Answer:

D $88410

Explanation:

Work in progress includes all the raw materials, direct labour and conversion costs incurred so far excluding cost of goods sold .

WIP= Intial WIP +Manufacturing costs incurred- Cost of goods sold.

The WIP inventory at the begining of the period is given as nil.

WIP during the period = (95000*80%)+56000+13600+107000

=252600(but it was given that 65% of the Process was completedi.e., finished goodswhich are not the part of the WIP inventory ; hence the remaining 35% is the Work in process inventory)

=$ 88410.

Further the remaining raw material 20% = 95000*20% shall not comprise a part of the WIP as it has not been brought into process itself , it shall lie in raw materials inventory itself.It shall be counted into the WIP once it is brought into the manufacturing assembly line.

3 0
3 years ago
Read 2 more answers
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