Answer:
Answer for the question:
Prepare the company’s direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced. (Round "Direct labor time per unit (hours)" and "Direct labor cost per hour" answers to 2 decimal places.)
is explained in the attachment.
Explanation:
Answer:
The predetermined overhead rate based on machine hours is $62
Explanation:
We will distribute the expected overhead cost over the costdriver. In this case, machine hours.
15,500,000/250,000 = 62
each machine hour carries 62 dollars of overhead.
The actual machine hours are used to determinate the applied overhead. While the actual cost it is compared with the applied to look for underapplication or overapplication.
Answer:
Gross requirement for A = 10 units
Inventory on hand for a is 2 units
Net requirement is 10 -2 = 8 units
Therefore Gross requirement of D = 8 * 3 = 24 units (for each A, 3 units of D is required)
and Gross requirement of F = 8 * 2 = 16 units (for each A, 2 units of F is required)
Answer:
The amount by which each additional dollar of government spending increase output (Y) is 4.
Explanation:
Since you save 25% of each additional dollar of income, we therefore have:
MPS = Marginal propensity to save = 25%, or 0.25
Multiplier = 1 / MPS = 1 / 0.25 = 4
The multiplier is the amount by which each additional dollar of government spending will increase output (Y).
Therefore, the amount by which each additional dollar of government spending will increase output (Y) is 4.
Additional note:
This is not part of the requirement of the question but it is just for you to learn from.
Since we have:
Increase in government spending = $100
Therefore, we have:
Increase in output (Y) = Multiplier * Increase in government spending = 4 * $100 = $400
