Answer:
Requirement 1 - Predetermined Overhead Rate is $0.60 per direct labor cost
Explanation:
Requirement 1 - Predetermined Overhead Rate
Predetermined Overhead Rate = Budgeted Overheads / Budgeted Activity
In our senario we use the formular:
Factory overheads Applied = Predetermined Overhead Rate × Actual Activity
therefore, Predetermined Overhead Rate = Factory overheads Applied / Actual Activity
<em>Note : Moonrise Bakery applies factory overhead based on direct labor costs</em>
Predetermined Overhead Rate = $2,460,000/$4,100,000
= $0.60 per direct labor cost
The <u>Service-Profit Chain model </u>is based on a set of cause-and-effect linkages between internal and external performance, and in this fashion, defines the key performance measurements on which service-based firms should focus.
<h3>What is Service-Profit Chain Model?</h3>
This refers to a business model which was developed in Havard to determine the best method of operation that service-oriented firms should adopt. It shows the interrelationship between
- profitability,
- the loyalty of customers,
- productivity, and
- customer satisfaction,
which are all parts of a business that are necessary for growth and performance.
See the link below for more about Business Performance:
brainly.com/question/24673911
Answer: See explanation
Explanation:
The question is:
1. What is the service department charge rate for Graphics Production?
a.$10.00
b.$2.00
c.$0.50
d.$6.66
The service department charge for Graphics Production will be calculated by dividing the cost of graphic production by the total number of copies that are made. This will be:
= $200000/(20000 + 30000 + 50000)
= $200,000 / 100,000
= $2 per copy
2. How much service department cost will be allocated to the Micro Division?
a.$200,000
b.$145,000
c.$345,000
d.$60,000
The service department cost that is allocated to the Micro Division will be calculated as:
= [20000 x ($200000/100000)] + [700 x ($500000/2000)] + [130 x ($400000/400)]
= (20000 × 2) + (700 × 250) + (130 × 1000)
= $40000 + $175000 + $130000
= $345000
Answer:
Jenkins Manufacturing
Joe should produce using the new equipment.
Explanation:
a) Costs incurred using the old equipment:
Variable costs = $45,000 ($50 x 900)
Fixed costs = $40,000
Total costs = $85,000
Operating Loss = $22,000 ($63,000 - 85,000)
b) Costs incurred using the new equipment:
Variable costs = $22,500 ($25 x 900)
Fixed costs = $60,000
Total costs = $82,500
Operating Loss = $19,500 ($63,000 - 82,500)
Production using the new equipment would reduce the operating loss by $2,500.
Answer:
D)-26%
Explanation:
The computation of the realized return on your investment is shown below:
= (Rate of return × total investment) - (interest paid)
= (-10% × $20,000) - (6% × $1,000)
= (-$2000 - $600)
= -$2,600
Now the Rate of return is
=(-$2,600 ÷ $10,000)
= -26%
hence, the realized return on your investment is -26%
Therefore the correct option is D.
