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Effectus [21]
3 years ago
11

What problems might robert encounter in comparing these companies to one another on the basis of their​ ratios? ​(select all the

answers that​ apply.)
a. financial ratios from software companies are never very reliable.
b. the operating characteristics of firms across different industries vary significantly resulting in very different ratio values.
c. the four companies are in very different industries.
d. caution must be exercised when comparing older to newer​ firms,
e.g., utility company vs. software company?
Business
1 answer:
Misha Larkins [42]3 years ago
5 0

Answer:

The likely problems to be encountered by Roberts include the following below:

b. the operating characteristics of firms across different industries vary significantly resulting in very different ratio values.

d. caution must be exercised when comparing older to newer​ firms,

e.g., utility company vs. software company?

c. the four companies are in very different industries.

Explanation:

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2 years ago
Echo Corporation uses a job-order costing system and applies overhead to jobs using a predetermined overhead rate. During the ye
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Answer:

Actual overhead= $153,400

Explanation:

Giving the following information:

During the year the company's Finished Goods inventory account was debited for $360,000 and credited for $338,800. The ending balance in the Finished Goods inventory account was $36,600.

At the end of the year:

Manufacturing overhead was overapplied by $15,900.

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Because the manufacturing overhead was overapplied, we need to subtract from the applied overhead to determine the actual overhead.

Actual overhead= applied overhead - overapplied overhead

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5 0
3 years ago
Last year, Richmon Company produced 10,000 units and sold 6,000 units at a price of $20. Costs for the last year were as follows
Goshia [24]

Answer:

The correct answer is B: $46,400

Explanation:

The difference between absorption and variable costing is that the first one includes fixed manufacturing overhead in the manufacturing cost.

Giving the following information:

Absorption costing:

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Direct labor= 38,000

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