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jasenka [17]
3 years ago
11

Assume the perpetual inventory system is used. 1) Green Company purchased merchandise inventory that cost $16,100 under terms of

3/10, n/30 and FOB shipping point. 2) Green Company paid freight cost of $610 to have the merchandise delivered. 3) Payment was made to the supplier on the inventory within 10 days. 4) All of the merchandise was sold to customers for $23,700 cash and delivered under terms FOB destination with freight cost amounting to $410. What is the amount of gross margin that results from these transactions
Business
1 answer:
saw5 [17]3 years ago
6 0

Answer:

$7,473

Explanation:

Calculation to determine the amount of gross margin that results from these transactions

First step is to calculate COGS

COGS=$16,100-($16,100 * 0.03)+$610

COGS=$16,100-$483+$610

COGS=$16,227

Now let calculate the Gross margin

Using this formula

Gross margin = Sales revenue - COGS

Let plug in the formula

Gross margin=$23,700 - $16,227

Gross margin =$7,473

Therefore the amount of gross margin that results from these transactions is $7,473

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Johnson Company has the following overhead costs: machine setup $25,000; factory maintenance $10,000; heating and lighting $15,0
kvv77 [185]

Answer:

Total overhead = $50,000

Explanation:

Activity based costing is a method of allocating production cost to various activities, from example to accounting, sales, operations and son on. A given standard amount is multiplied by the units of an activity.

In this instance the overhead includes machine setup, factory maintenance, heating and lighting.

Total overhead= machine setup + factory maintenance + heating and lighting

Total overhead= 25,000+ 10,000+ 15,000

Total overhead = $50,000

Sales expense is a direct expense so is not included.

5 0
3 years ago
Who can answer this?
lesantik [10]

Answer:

I don't know the first one but will do the rest I know.

Explanation:

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I don't know the last one maybe someone else can answer.

7 0
3 years ago
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Bill plans to open a self-serve grooming center in a storefront. The grooming equipment will cost $425,000, to be paid immediate
Rudik [331]

Answer:

1.075

Explanation:

The computation of the profitability index is shown below:

= Net Present value ÷ Required investment

where,

Net Present value

= Annual cash inflows × PVIFA for 8 years at 12%

= $92,000 × 4.9676

= $457,019.2 0

Refer to the PVIFA table

And, the required investment is $425,000

So, the profitability index is

= $457,019.2 0 ÷ $425,000

= 1.075

8 0
4 years ago
Assume Gillette Corporation will pay an annual dividend of $0.65 one year from now. Analysts expect this dividend to grow at 12%
soldi70 [24.7K]

Answer:

In order to find Gillette's value of a share we need to use the multi stage model and find what will its dividend be at the end of the 5th year

The dividend of the first 5 years can be calculated by multiplying the previous one by 1.12

Dividend 1 year from now = 0.65

Dividend 2 years from now= 0.65*1.12=0.728

Dividend 3 years from now=0.728*1.12=0.81536

Dividend 4 years from now= 0.81536*1.12= 0.913203

Dividend 5 years from now=0.91320.*1.12= 1.022788

After this the growth level will be 2% so we can find the 6th years dividend by multiplying 1.022788 by 1.02 and we will get 1.043243

Now we can calculate the share price will be after 5 years by using the DDM

D1/(R-G)

D1= 1.0432

R= 0.08

G= 0.02

1.0432/0.06= 17.38

Now in order to find the current price we need to discount this price to find the present value we can do this by using its cost of capital as the discount rate.

17.38/1.08^5

=12.98735

Explanation:

5 0
4 years ago
I like this boy but how to tell him HELP ME
Svetach [21]

Answer:

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Explanation:

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8 0
3 years ago
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