All categories

2 years ago

The Waverly Company has budgeted sales for the year as follows:

Business

1 answer:

Yanka [14]2 years ago

6 0

Answer:

Production= 15,000 units

Explanation:

Giving the following information:

Sales:

Q2=14,000

Q3=18,000

The ending inventory of finished goods for each quarter should equal 25% of the next quarter's budgeted sales in units.

To calculate the production for the second quarter, we need to use the following formula:

Production= sales + desired ending inventory - beginning inventory

Production= 14,000 + (18,000*0.25) - (14,000*0.25)

Production= 15,000 units

You might be interested in

Windsor Windows manufactures and sells custom storm windows for enclosed porches. Windsor also provides installation service for

Alina [70]

Answer:

June 1, 2021

No entry – neither party has performed under the contract.

August 1,2021

Dr. Cash $4,000

Dr. Accounts Receivable $700

Cr. Unearned Service Revenue $1,085

Cr. Sales revenue $3,615

Dr. Cost of goods Sold $2,300

Cr. Inventory $2,300

Explanation:

As no one performed under the contract on June 1, 2021, so there will be no entry on this day.

On August 1, 2021, Windsor has 2 performance obligations

First: Delivery of the windows

Second: Installation of the windows

Fair value of Windows = $4,000

Fair value of Installation services = $1,200

Fair Value of Contract = $4,000 + $1,200 = $5,200

Allocation of to revenue is based on the ratio of fair value of each performance to the total fair value of contract, As below

Windows = ($4,000 / $5,200) X $4,700 = $3,615 (round to nearest dollar)

Installation services = ($1,200/$5,200) X $4,700 = $1,085 (round to nearest dollar)

Total Revenue recognized = $4,700

8 0

2 years ago

Ace Construction Company contracts to build a retirement community on land owned by Smith. Jones, an adjoining landowner, expect

Arada [10]

Answer:

d.) Jones is an incidental beneficiary and has no right to sue for Ace Construction's breach of the contract.

Explanation:

Jones was not a direct party to the contract, in fact, any profit which he was supposed to receive was incidental in nature and thus he cannot sue Ace Construction's breach of the contract.

4 0

3 years ago

Help ASAP

Amiraneli [1.4K]

Using the "Thinking at Margin" methodology, the relevant statement for a television maker to consider while making a choice is as follows: the average cost of ten TVs is one hundred dollars apiece. Option C. This will be discussed in further detail below.

<h3>What exactly does "Thinking at Margin" entail?</h3>

In most cases, it means giving some consideration to the action that will come next in your plan. The word "marginal" may also be used to signify "additional." The first glass of lemonade you drink on a hot day will quench your thirst, but successive glasses may not have the same impact on you.

When you contemplate at the margin, you are considering what the next or succeeding action will mean for you on an individual level.

In conclusion, using the "Thinking at Margin" technique, the following are the essential points for a television producer to take into consideration before making a decision when it comes to television programming: The usual cost of creating ten televisions is one thousand dollars each. Alternative C

Learn more about Thinking at the Margins by visiting this link: brainly.com/question/4468044 #SPJ1

3 0

1 year ago

Departmentalization by location allows an organization to readily respond to the unique demands of each geographic area. True Fa

lidiya [134]

It is true that departmentalization by location allows an organization to readily respond to the unique demands of each geographical area.

The departmentalization by location is a strategy that organizations use to maintain departments in different locations where they operate, in order to deal more closely with the company's activities and needs.

This is a positive strategy that can speed up decision making, as each geographic area has different needs that must be addressed differently from the other.

So the statement is true and some of the advantages of departmentalization by location is improved communication, better allocation of employees and greater product promotion.

Learn more about departmentalization here:

brainly.com/question/6229273

6 0

2 years ago

On July 1, an investor holds 50,000 shares of a certain stock. The market price is $30 per share. The investor is interested in

Yakvenalex [24]

Answer:

The strategy the investor should follow is to short 26 contracts of September Mini S&P 500 futures.

Explanation:

Provided information;

Amount of shares of a certain stock =50,000

The market value per share = $30

Portfolio value= P = 50,000 × 30 = $1,500,000

Beta of stock β = 1.3

current Index futures price = 1,500

Multiplier = $50

Futures Value A = 1,500 × 50 = $75,000

The formula used in calculating the number of contracts =

Number of contracts N = (β × P) ÷ Future values

N = (1.3 × $1500000) ÷ $75000

N = $1950000 ÷ $75000

Number of contracts N = 26

The strategy the investor should follow is to short 26 contracts of September Mini S&P 500 futures.

5 0

3 years ago