Answer:
Wexpro, Inc. gains $11500 (59500-48000) by processing further X15. It is a financial advantage to compete with a more complex product. X15 should be processed further.
Explanation:
Wexpro, Inc., produces several products from processing 1 ton of clypton, a rare mineral.
Material and processing costs total $60,000 per ton, one-fourth of which is allocated to product X15.
60000*0,25=$15000
Seven thousand units of product X15 are produced from each ton of clypton. The units can be sold at the split-off point for $9 each.
<u>Sales before split-off point: </u>
<u />
Sales 7000u*$9= $63000
Material and processing cost= $15000
Total=$48000
The units can be processed further at a total cost of $9,500 and then sold for $12 each.
<u>Sales after split-off point:</u>
Sales= 7000*12=$84000
Split-off cost= $9500
Material and processing cost= $15000
Total= $59500
Wexpro, Inc. gains $11500 (59500-48000) by processing further X15. It is a financial advantage to compete with a more complex product. X15 should be processed further.
Answer:
job 429 -WIP 3040 debit
job 430 -WIP 4020 debit
job 431 -WIP 4740 debit
factory overhead 900 debit
raw materials 12,700 credit
--to record materials requisions--
job 429 -WIP 2,300 debit
job 430 -WIP 3,400 debit
job 431 -WIP 7,900 debit
factory overhead 1,310 debit
wages payables 14,910 credit
--to record wages tickets--
job 429 -WIP 1,426 debit
job 430 -WIP 2,046 debit
job 431 -WIP 4,898 debit
factory overhead 8,370 credit
--to record applied overhead--
Explanation:
job 429 -WIP: 2300 x 62% = 1,426
job 430 -WIP: 3400 x 62% = 2,046
job 431 -WIP: 7900 x 62% = 4,898
total overhead: 8,370
I must say im going with the letter B correct me if im wrong
Current year Dividend (D0) = $3.20
Dividend for the first year (D1) = $3.20*(1.28) = $4.10
Dividend for the second year (D2) = $3.20*(1.28)^2 = $5.24
Dividend for the third year (D3) = $3.20*(1.28)^3 = $6.71
Dividend for the fourth year (D4) = $3.20*(1.069)^4 = $7.17
Price of the third year (P3) = $7.17/(0.16-0.069) = $78.83
Current Price of the year (P0) = $4.10/(1+0.16)^1 + $5.24/(1+0.16)^2 + $6.71/(1+0.16)^3 + $78.83/(1+0.16)^3
P0 = $64.34