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jeyben [28]
3 years ago
13

Given some of the apparent problems with Wilkerson’s cost system, should executives abandon overhead assignment to products enti

rely by adopting a contribution margin approach in which manufacturing overhead is treated as a period expense? Why or why not?
Business
1 answer:
Aneli [31]3 years ago
6 0

Answer:

Current issues in the framework by regarding fabricating costs as a period cost  

Assembling overhead is evaluated bu increasing direct work with 300%. This estimation isn't exact and doesn't speak to how the genuine variable sub-costs that form the manufacturing overhead act for example machine related costs, arrangement work, getting and creation control, designing, bundling and sending. In spite of the fact that there could be a connection between the measure of direct work cost and the all out manufacturing overhead, this present strategy for estimation is dubious and ignores the real segments of manufacturing overhead.  

Advantage of Product Cost  

Increasingly exact impression of the inconstancy of the sources for example on the off chance that there are five factors, it is more precise than one.  

Advantage of Period Cost  

Treating manufacturing overhead as a period cost implies that it stays simpler to contrast Wilkerson's and a rival, given that contender likewise treats manufacturing overhead as a period cost for example it is simpler to analyze like-for-like

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Demand for consumer goods is necessarily variable. Forecasting the demand for consumer goods is an important business activity,
bija089 [108]

Answer:

7.5 to 467.5.

Explanation:

Please note that In order to be fast, I make use of excel during the Calculation.

So, the first thing to do is to make sure that the observation is arranged in an increasing order.

Step one: Calculate the value for J1 and J3.

Know that J1 = J3. Where J3 = 3rd quartile.

Hence, J1 = 1st QUARTILE = QUARTILE. EXC (data, 1) = 18.

Also, J3 = QUARTILE. EXC(data, 3). = 29.5.

Therefore, the difference between the first quartile and the third QUARTILE = 29.5 - 18 = 11.5.

Step two: calculate the value for the higher fence and the lower fence respectively.

Thus, for the higher fence we have;

J3 + 1.5( 11.5).

= 29.5 + 1.5(11.5).

= 46.75.= (46.75 × 10) = 467.5).

Then, for the lower fence;

J1 - 1.5( 11.5).

= 18 - 1.5(11.5).

= 0.75 = (.75 × 10) = 7.5.

3 0
3 years ago
The definition of inventory includes which of the following items? (Select all that apply.) a) items used currently in the produ
Yanka [14]

Answer:

Items a) and b)

a) items used currently in the production of goods to be sold items

b) held for resale items currently in production for future

Explanation:

Inventory consists of current assets to be used in production of final goods or are the ones which are final goods and held for sale.

In the given case also, statement a includes raw materials, which are used to make the final good to be sold, which is a part of inventory.

Further, statement b includes work in production or final goods which are currently in production but would be resold.

The items which are kept for their use as like machinery or furniture or which shall be disposed are not inventory but are in fixed assets category.

3 0
3 years ago
A waiter believes the distribution of his tips has a model that is slightly skewed to the left​, with a mean of ​$8.90 and a sta
postnew [5]

Answer:

A. 0.3204    B. $14.669

Explanation:

Mean = 8.9      SD = 4.5

Required probability = P (X >/= 550/50)

P(X>/=11) = 1 - P[(X - mean/SD) < (11 - mean)/SD]

              = 1 - P(Z < (11-8.9)/4.5)

P(X>/=11) = 1 - P(Z < 0.4666667)

Using Excel NORMDIST(0.4666667,0,1,1)

P(X>/=11) = 1 - 0.6796 = 0.3204

The probability that she will earn at least $550 = 0.3204

b. P ( X  >  x )  =  0.10

1  −  P ( X  −  mean)/SD  ≤  (x  −  mean) /SD = 0.10

P ( Z  ≤  z )  =  0.90

Where,

z  =  (x  −  mean )/SD

Excel function for the value of z:

=NORMSINV(0.9)

=1.282

Hence (x - mean)/SD = 1.282

= (x - 8.9)/4.5 = 1.282

x = (1.282*4.5) + 8.9

x = 14.669

He earns $14.669 on the best 10% of such weekends.

3 0
3 years ago
The following income statement is provided for Vargas, Inc. Sales revenue (2,600 units × $20.10 per unit) $ 52,260 Cost of goods
leva [86]

Answer: 3.91

Explanation: We can calculate operating leverage by using following formula:-

operating\:leverage=\frac{contribution}{net\:income}

where,

contribution = sales - variable cost

                     =  sales - ( variable cost of goods sold + supplies )

                     =  $52,260 - ( $26,260 + $5460)

                     = $20,540

Now, putting the values into equation we get :-

operating\:leverage=\frac{20,540}{5,240}

                                          = 3.91

3 0
3 years ago
Which situation best illustrates an effect of the law of supply?
ollegr [7]

Answer:

c

Explanation:

5 0
3 years ago
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