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Svetach [21]
3 years ago
10

Sarratt Corporation's contribution margin ratio is 70% and its fixed monthly expenses are $38,000. Assume that the company's sal

es for May are expected to be $97,000. Required: Estimate the company's net operating income for May, assuming that the fixed monthly expenses do not change.
Business
1 answer:
Ahat [919]3 years ago
3 0

Answer:

The company's net operating income for May is $7,930

Explanation:

Sales revenue = $97,000

Variable costs

= $97,000 × (1 - 70%)

= $97,000 × 0.69

= $66,930

Fixed costs = $38,000

Therefore, net operating income = Sales - revenue - variable cost - fixed cost

= $97,000 - $66,930 - $38,000

= $7,930

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Following is partial information for Delamunte Industries for the month of August: Work In Process Balance, August 1 $ 41,000 Di
xeze [42]

1. The calculation of the predetermined overhead rate applied to jobs during August is <u>75% of direct labor costs</u> ($90,000/$120,000).

2. The balance in the Work in Process account at the end of August is $61,000.

3. The amounts of direct material cost and applied overhead recorded for Job 248 as of August 31 are $19,000 and $18,000, respectively.

<h3>Data and Calculations:</h3>

Work In Process Balance, August 1 $ 41,000

Direct materials used       75,000

Direct labor 120,000

Manufacturing overhead applied (based on direct labor cost) 90,000

Total costs incurred = $326,000

<h3>Finished Jobs during August: </h3>

Job #    Cost of Jobs Completed

234               $ 58,000

237                  65,000

231                   74,500

246                  67,500

Total costs of finished jobs = $265,000

Work in process balance = $61,000 ($326,000 - $265,000)

<h3>Job in Process: Job 248:</h3>

Direct labor cost incurred = $24,000

Applied overhead = $18,000 ($24,000 x 0.75)

Direct materials = $19,000 ($61,000 - $24,000 - $18,000)

Thus, the work-in-process balance represents Job 248 (Direct labor $24,000, Direct materials $19,000, and Applied Overhead $18,000).

Learn more about job costing at brainly.com/question/24516871

#SPJ1

7 0
2 years ago
Sales for the year = $324,882, Net Income for the year = $36,610, Income from equity investments = $8,603, and average Equity du
Andre45 [30]

Answer:

A. 29.6%

Explanation:

Return on Equity is the times of profit a owner can earn on the equity investment in the business. Higher ratio shows the business is more profitable.

As per given data

Net Income =  $36,610

Average Equity = $123650

Return on Equity ( ROE ) = Net Income / Equity Investment

Return on Equity ( ROE ) = $36,610 / $123650

Return on Equity ( ROE ) = 0.296

Return on Equity ( ROE ) = 29.6%

4 0
3 years ago
Which is typical relationship between time and interest rate
allsm [11]
One typical relationship between time and interest rate would be simple interest rate. It is the most simplest interest rate however it is not used nowadays since it  does not account for all cost along the value of the money. For this relationship, interest rate is directly proportional with time.
5 0
4 years ago
Which of the following values should be inserted to correctly balance the ledger shown below?
vredina [299]
In order to figure out this you would take the original balance
$120.70 and add the paycheck $343.52
from there you would then minus the City payment of $53.90 and minus the internet payment of $86.40
This would leave you with $323.96
Hope This helps :)
8 0
3 years ago
CAN SOMEONE HELP ME PLEASE? I ATTACHED THE QUESTION <br> THANKS!!!
Aleks [24]

Answer:

The formula for each month is described below:

January +(B2*31*C2)+(B2*$A$12)

February +(B2*29*C2)+(B2*$A$12)

March +(B2*31*C2)+(B2*$A$12)

April +(B4*30*C4)+(B4*$A$12)

May +(B3*31*C3)+(B3*$A$12)

Explanation:

The formula matches the requirements for each individual month as number of days change accordingly and $A$12 determines the fixed transport cost the other variables are the number of boxes and the cost per box.

5 0
4 years ago
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