Answer:
Results are below.
Explanation:
Giving the following information:
Estimated direct labor hours= 135,000
Estimated varaible overhead= $337,500
Estimated fixed overhead= $540,000
<u>To calculate the predetermined overhead rate, we need to use the following formula:</u>
<u></u>
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
<u>Variable:</u>
Predetermined manufacturing overhead rate= 337,500/135,000= $2.5 per direct labor hour
<u>Fixed:</u>
Predetermined manufacturing overhead rate= 540,000/135,000= $4 per direct labor hour
Answer:
The cost of goods available for sale is $650,100
Explanation:
Credit terms of 3/15, n/45 means that 3% discount for the payment within 15 days and the full amount to be paid within 45 days.
The discounts Northwest Fur Co. took = $560,000 x 3% = $16,800
Northwest uses a perpetual inventory system and the gross method to record purchases.
Net Purchases = Purchases - Purchase Returns - Purchases Discounts + Freight-In = $560,000 - $4,900 - $16,800 + $8,800 = $547,100
The cost of goods available for sale = Beginning merchandise inventory + Net Purchases = $103,000 + $547,100 = $650,100
Answer:
The correct answer is A. purchase inventory from vendors
Explanation:
The inventory is a detailed, orderly and valued relationship of the elements that make up the assets of a company or person at a given time. In the past, it was normal for inventories to be carried out by physical means (they were written on paper), but now they are usually kept in databases centrally to an entire company, even if there are companies or small stores that continue doing so with paper.
The inventory is:
-
detailed because the characteristics of each of the elements that make up the heritage are specified.
- ordered because it groups the assets in their corresponding accounts and the accounts in their assets.
- valued because the value of each asset is expressed in monetary units.
Answer:
they will inevitably fall behind other competitors seeking out innovations.
Explanation:
Innovation typically involves the creation of a new product of any category such as automobile, building, phones, electronics, etc., that generates money for the innovators or manufacturers through purchase made by the end users (consumers).
Competitive advantage can be defined as conditions, factors or circumstances that allow a business firm (organization) to manufacture finished goods or services better and perhaps cheaper than other (rival) firms in the same industry. Thus, it's responsible for putting a business firm in a superior or more favorable position than rival firms.
This ultimately implies that, a competitive advantage has a significant impact on a business because it increases its level of sales, revenue generation and profit margin when compared to rival firms in the same industry.
Hence, market competition may sometimes encourage a firm to innovate out of fear because of the perception that they will inevitably fall behind other competitors in the same industry who are seeking out innovations.
