1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Mamont248 [21]
3 years ago
5

Panamint Systems Corporation is estimating activity costs associated with producing disk drives, tapes drives, and wire drives.

The indirect labor can be traced to five separate activity pools. The budgeted activity cost and activity base data by product are provided below. Activity Cost Activity Base Procurement $370,000 Number of purchase orders Scheduling 250,000 Number of production orders Materials handling 500,000 Number of moves Product development 730,000 Number of engineering changes Production 1,500,000 Machine hours Number of Purchase Orders Number of Production Orders Number of Moves Number of Engineering Changes Machine Hours Number of Units Disk drives 4,000 300 1,400 10 2,000 2,000 Tape drives 4,000 150 800 10 8,000 4,000 Wire drives 12,000 800 4,000 25 10,000 2,500
The activity rate for the procurement activity cost pool is:______.
a. $18.50 per purchase order
b. $15.42 per purchase order
c. $37.00 per purchase order
d. $43.53 per purchase order
Business
1 answer:
Ivenika [448]3 years ago
3 0

Answer:

a. $18.50 per purchase order

Explanation:

The computation of the activity rate for the procurement activity cost pool is shown below:

Cost per Unit = Activity Cost ÷ Total of Activity Base

= $370,000 ÷ (4,000 + 4,000 + 12,000)

= $370,000 ÷ 20,000

= $18.50

Hence, the activity rate is $18.50 per purchase order

You might be interested in
The current price of a stock is $50, the annual risk-free rate is 6%, and a 1-year call option with a strike price of $55 sells
wariber [46]

Answer:

$9.00.

Explanation:

The computation of the value of a put option is shown below:

Data provided in the question

Current price of the stock = $50

Risk free rate = 6%

Strike price = $55

Sale price = $7.20

Based on the above information

The value of put option is

Put = V - P + X exp(-r t)

= $7.20 - $50 + $55 e RF  - 0.06(1)

= $7.20 - $50 + $51.80

= $9.00

Hence, the value of put option is $9

6 0
3 years ago
Barrington Bears has developed the following sales forecasts for the next few months. January 500, February 600, March 720, Apri
Oduvanchick [21]

Answer:

The correct answer is C.

Explanation:

Giving the following information:

Barrington Bears has developed the following sales forecasts for January 500 units.

BB has 80 bears on hand on Dec. 31. The normal ending inventory policy is to hold 20% of next month’s sales.

Direct labor is paid $18 per hour. Each bear takes 40 minutes to hand-finish. Variable overheads total $21 per direct labor hour. Fixed overheads amount to $25,000 per month.

First, we need to calculate the production for January.

Sales= 500 units

Ending inventory= (600*0.2)= 120 units

Beginning inventory= 80 (-)

Total= 540 units

Conversion costs= direct labor + manufacturing overhead

Direct labor= [(40/60)*540]*$18= $6,480

Variable overhead= 21*360 hours= $7,560

Fixed overhead= $25,000

Total conversion costs= $39,040

5 0
3 years ago
The four underlying assumptions of generally accepted accounting principles are economic entity, monetary unit, periodicity, and
DerKrebs [107]

Answer:

1. Going concern

2. Economic entity

3. Monetary unit

4. Periodicitys

Explanation:

1. Since Jumbo's Restaurant is planning to close, the assumption of continuity (going concern) is no more applicable. This should be disclosed. Instead asset was still recorded at historical price which is misleading.

2. Gorloks Tax Services is an economic entity, and the property and assets of owners are not considered to be for the business. In this case the boat Sam bought was wrongly reported as an asset of the company.

3. Claim Jumpers when reporting the 5 trucks purchased must include a monetary value for them. The assumption of monetary unit states that all items reported on the balance sheet must be expressed in monetary terms.

4. Cobbler's Etc violated the assumption of periodicity which states the financial position of the business must be declared in a particular accounting period. Accounting period can monthly, quarterly, biannually, and yearly. The business should choose and accounting period and ensure financial position is reported for each of them. In this case financial reporting is not consistent with reporting happening after 14 months and before that 18 months.

6 0
3 years ago
The statement of shareholders’ equity reports the transactions that cause changes in its shareholders’ equity account balances.
vazorg [7]

Answer:

B) the issuance of bonds.

Explanation:

Equity which represents the amount owed to the owners of the business includes retained earnings (which is the accumulation of the net income/loss over the years less dividends paid) and common shares.

As such, the sale of additional shares of stock, net income and declaration of dividend are typical reasons for changes in shareholder's equity however, the issuance of bonds is a liability (usually non-current).

6 0
3 years ago
When the us dollar buys more japanese yen the us dollar has?
zvonat [6]
The dollar buys more yen<span> and the </span>dollar has<span> appreciated.</span>
8 0
3 years ago
Other questions:
  • Becky fenton has 65/130/75 automobile insurance coverage. if two other people are awarded $110,000 each for injuries in an auto
    7·1 answer
  • One common strategy for attracting the most buyers, which can be accomplished through several tactics, is:
    15·1 answer
  • Viger Corporation has a standard cost system in which it applies manufacturing overhead to products on the basis of standard mac
    12·1 answer
  • Cheyenne Repair Shop had the following transactions during the first month of business as a proprietorship. Journalize the trans
    10·2 answers
  • You decided to buy apples at a grocery store somewhere in the mountains. You buy 5 pounds of apples, which are sold for $1.99/lb
    7·1 answer
  • One factor that shifts the consumption schedule is household wealth. Households build wealth by spending their incomes as they e
    7·1 answer
  • Sheridan, Inc. is a calendar-year corporation whose financial statements for 2020 and 2021 included errors as follows: Year Endi
    6·1 answer
  • A budget is prepared as part of a(n) _____ plan.
    6·2 answers
  • A region is in the middle of a very cold and snowy winter. As a result, hot chocolate has become more desirable, and many of the
    12·1 answer
  • Manager Mike offered incentives, allowed his employees to voice their opinions, and communicated positive messages. How do these
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!