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3 years ago

Do you think expenditure on road building and maintenance is an on-budget or off-budget expenditure?

1 answer:

8 0

Assuming that you're talking about the Federal's budget, road building and maintenance is an On-Budget expenditure

On-budget expenditures are those that included in regular annual budget,

meanwhile off-budget expenditures are those that included in regular annual budget

Maintaining public utilities to ensure people's safety is included on annual budget

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Lin corporation has a single product whose selling price is $134 and whose variable expense is $67 per unit. the company's month

Rashid [163]

Answer:

600 units

Explanation:

The equation to calculate target profit is:

S × Q = (V × Q) + F + T

S = sales price
Q = Quantity of units
V = Variable expenses
F = Fixed expenses
T = Target profit

$134Q = $67Q + $32,300 + $7,900

$134Q - $67Q = $40,200

$67Q = $40,200

Q = $40,200 / $67 = 600

7 0

3 years ago

You are in talks to settle a potential lawsuit. The defendant has offered to make annual payments of $28,000, $32,000, $66,000,

larisa86 [58]

Answer:

$202,137.90

Explanation:

Year Annual payment Discount factor Present value

1 $28,000 0.965250965 $27,027.03

2 $32,000 0.931709426 $29,814.70

3 $66,000 0.899333423 $59,356.01

4 $99,000 0.868082454 $85,940.16

Total present value $202,137.90

The discount factor should be computed by

= 1 ÷ (1 + interest rate)^years

where,

rate is 3.6%

Year = 0,1,2,3,4 and so on

6 0

3 years ago

Gator Corporation manufactures several types of accessories. For the year, the gloves and mittens line had sales of $480,000, va

Ksenya-84 [330]

Answer:

The company will lose $85,000 if the product line is discontinued

Explanation:

Giving the following information:

Sales= 480,000

variable expenses= (360,000)

Contribution margin= 120,000

fixed expenses= (140,000)

Net operating income= (20,000)

If Gator eliminates the line, $35,000 of fixed costs will remain.

We need to determine the effect on income if the product line is discontinued.

Effect on income= fixed costs - net operating income

Effect on income= -105,000 - (-20,000)

Effect on income= -85,000

The company will lose $85,000 if the product line is discontinued

8 0

3 years ago

Two methods can be used to construct a statement of cash flows: the direct method and the indirect method. Under the indirect me

Morgarella [4.7K]

Answer:

A. two balance sheets and B. income statement

Explanation:

There are three types of activities in the cash flow statement which are described below:

1. Operating activities: It includes those transactions which affect the working capital after net income. The increase in current assets and a decrease in current liabilities would be deducted whereas the decrease in current assets and an increase in current liabilities would be added.

These changes in working capital would be adjusted. Moreover, the depreciation expense is added to the net income and the loss on sale of assets is added whereas the gain on sale of assets is deducted

2. Investing activities: It records those activities which include purchase and sale of the long term assets. The purchase is an outflow of cash whereas sale is an inflow of cash

3. Financing activities: It records those activities which affect the long term liability and shareholder equity balance. The issue of shares is an inflow of cash whereas redemption and dividend is an outflow of cash.

5 0

3 years ago

Sky High Company has two departments, X and Y. The following estimates are for the coming year: X Y Direct manufacturing labor

Anni [7]

Answer:

Predetermined manufacturing overhead rate= $9.8 per machine hour

Explanation:

Giving the following information:

Machine-hours= 50,000

Manufacturing overhead= $490,000

To calculate the predetermined manufacturing overhead rate we need to use the following formula:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Predetermined manufacturing overhead rate= 490,000/50,000= $9.8 per machine hour

4 0

4 years ago