Two ways in which an insurance company can contribute to the economic development of a country.

The Doak Company has projected the following quarterly sales amounts for the coming year:

tester [92]

Answer: Check attachment

Explanation:

The cash collection was calculated as:

a. (90-45)/90 = 1/2

Q1 = 1700 + (1/2 × 3900)

= 1700 + 1950

= 3650

Q2 = 1950 + (1/2 × 4700)

= 1950 + 2350

= 4300

Q3 = 2350 + (1/2 × 4300)

= 2350 + 2150

= 4500

Q4 = 2150 + (1/2 × 3600)

= 2150 + 1800

= 3950

Check the attachments for further information.

6 0

3 years ago

In a process-costing system, the cost of abnormal spoilage should be A. Included in the cost of units transferred out. B. Prorat

Olin [163]

Answer:

D. Treated as a loss in the period incurred.

Explanation:

The process-costing system is used by firms that produce goods that goes through a set of manufacturing departments i.e it's used when firms mass produce nearly identical or similar units through various processes.

Under process-costing system, direct costs of production are accumulated, summarized, and then assigned to all the units produced during the period.

Thus, a single product cost is calculated by dividing process cost in each manufacturing department by the respective units produced during the production period.

Some organizations that use the process-costing system are oil refineries, chemical processing companies, eraser manufacturing companies, and food production companies.

In a process-costing system, the cost of abnormal spoilage should be treated as a loss in the period incurred.

The abnormal spoilage refers to the cost exceeding normal level, associated with spoiled units of a manufacturing process. It should be treated as a loss in the period incurred because it cannot be recovered

4 0

3 years ago

Wild Flowers Express has a debt-equity ratio of .60. The pretax cost of debt is 9 percent while the unlevered cost of capital is

andre [41]

Answer:

0.1631 ; 16.31%

Explanation:

Given:

Cost of capital = 14% = 0.14

Debt to equity ratio = 60% = 0.6

Cost of debt = 9% = 0.09

Tax rate = 23% = 0.23

Cost of equity : cost of capital + debt - to - equity ratio * (1 - tax rate) * (cost of capital - cost of debt)

Cost of equity = 0.14 + 0.60 × (1 - 0.23) × (0.14 - .09)

Cost of equity :

0.14 + 0.60 * 0.77 * 0.05

0.14 + 0.0231

= 0.1631 ; 0.1631 * 100% = 16.31%

4 0

2 years ago

T/F<br> The amount that savings or an investment grows is called the principal.

solniwko [45]

the answer is true well it is on apex anyway i hope its right

7 0

3 years ago

Dawson Toys, Ltd., produces a toy called the Maze. The company has recently established a standard cost system to help control c

svlad2 [7]

Answer:

1. a. The materials price and quantity variances

Material price variance: Standard cost per micron is $1.50 and actual cost per micron is $1.48. So, price variance is 1.48 - 1.5 = $(0.02) per micron

Quantity variance: Based on standard bill of material, Dawson Toys need 3,000 x 6 = 18,000 microns to produce 3,000 Maze toys. Actual consumption volume is 25,000 - 5,000 = 20,000 microns. So, quantity variance is 20,000 - 18,000 = 2,000 microns.

1. b. The labor rate and efficiency variances

Actual labor rate = Actual labor cost / Actual hour = 88,000/4,000 = $22 per hour.

Efficiency variance = Actual labor rate - Standard labor rate = 22 - 21 = $1 per hour.

2. Prepare a brief explanation of the possible causes of each variance.

Direct material cost variance: Total actual material cost is 20,000 x 1.48 = $29,600, higher than standard material cost of 18,000 x 1.5 = $27,000. This is mainly due to higher production waste as compared to standards.

Direct labor cost variance: Total actual labor cost is $88,000, higher than standard labor cost of 4,000 x 21 = $84,000. This is mainly due to lower labor rate per hour than expected.

Explanation:

5 0

3 years ago