Which of the following terms best describes an economy in which producers of goods and services react to consumer choices
2 answers:
You might be interested in
Answer:
Applied manufacturing overhead is $4,000
Explanation:
Given,
Total manufacturing overhead = $200,000
Activity level = 10,000 DLH
Predetermined overhead rate =
=
=$20
Manufacturing overhead applied = predetermined rate × time required
= 20 × 200
= $4,000
Therefore, manufacturing overhead of $4,000 is applied to the job.
Answer:
$300,000
Explanation:
Option expenses to be recognized in the first year ,
= × period elapsed - Expenses already recognized
wherein N = No of options expected to be vested
FV = Fair value on the grant date
Vesting period = The time period after which the options can be exercised
Thus, after the first year, employee compensation expenses to be recognized
= × 1 year = $300,000 - 0 = $300,000
Similarly, for the second year, option expenses to be recognized would be,
= × 2 years - $300,000 = $300,000
Similarly for the third year
= × 3 years - ($300,000+ 300,000) = $300,000
The journal entry to be passed each year would be
Stock Option Compensation Expense A/C Dr. $300,000
To Stock Options A/C $300000
(Being stock option expenses for the year recognized)