Answer:
Mature companies with relatively predictable earnings
Explanation:
Constant growth model is under the assumption that a company's dividend will grow at a constant rate indefinitely(forever). This makes more sense and hold is appropriate method of valuation for a mature company that has relatively predictable earnings. Young companies on the other hand have fluctuating earnings making it appropriate to use non-constant growth model to value its dividends.
Answer:
2018: 8 months
Depreciation= $916,67
2019: full year
Depreciation= $1375
Explanation:
Giving the following information:
Taco Hut purchased equipment on May 1, 2018.
Price: $15,000.
Residual value: $4,000
Useful life: 8 year
We need to calculate the depreciation for 2018 and 2019 using straight-line method:
Depreciation= (purchase price- residual value)/useful life
Depreciation= (15000-4000)/8= $1375
2018: 8 months
Depreciation=(1375/12)*8= 916,67
2019: full year
Depreciation= $1375
Answer:
<u>Job cost sheet</u>
Beginning /Materials / Labor / *overhead / Total
>J/58 0 9200 14400 3840 27440
>J/59 0 8900 10800 2880 22580
>J/60 0 6400 7200 1920 15520
24500 32400 8640 65540
<em><u>Journal entries:</u></em>
raw materials 29670
accounts payable 29670
WIP 24500
raw materials 24500
WIP 32400
wages payables 32400
factory overhead 17880
accounts payable 17880
WIP 8640
factory overhead 8640
Finished Goods 50,020**
WIP inventory 50,020
***COGS 53,040
Finished Goods 53,040
Accounts receivables 74256
*4 Sales revenue 74256
Explanation:
* the overhead is calcualte as the direct labor per job (800 ; 600; 400 respectively) times the overhead rate of 4.80
** the finished goods are Job 58 for a cost of 27,440 and 59 which cost is 22,580 we add the mand get 50,020 for the amount transferred int ofinished goods
***the cost of good sold will be J/57 of 25,600 plus J/58
*4 the sales revenue will be COGS times 1.4 as is the manufacturing cost plus a 405 markup.
Answer:
a. $(8000)
b. Company should choose alternative 1 and make bottles.
Explanation:
Particulars Make Bottles Buy Bottles Differential
Alternative 1 Alternative 2
Purchase Price 0 $37 $(37)
Freight Charges 0 $4 $(4)
Variable cost $33 $33
Fixed Cost $17 $17 0
Cost per unit $50 $58 $(8)
Income / (Loss) $50,000 $58,000 $(8,000)
b. The company should choose alternative 1 and make bottles. The buying of bottles will cost company loss of $8,000.
Dogs are generally not allowed to eat vanilla ice cream. It is not recommended because vanilla ice cream is a dairy product containing milk sugar called lactose and also fat. Most dogs are lactose-intolerant. When they ingest dairy product, it would cause loose bowel movement which will then lead to dehydration. For the most part, you can only give small parts to the dog.
