Answer and Explanation:
The preparation of the analysis is shown below:
Particulars Retained equipment Replace equipment Net income change
Variable cost $1,560,000 $1,230,000 $330,000
($520,000 × 3 years) ($410,000 × 3 years)
New machine cost $300,000 -$300,000
Net change $30,000
So based on the analysis the old machine should be replaced
Therefore we considered all the information given in the question
Answer:
The correct answer is letter "B": the excess of sales revenue over variable cost.
Explanation:
In its most simple form, contribution margin is calculated by subtracting variable costs and expenses from revenues. Contribution margin represents a part of the company's revenues that are not allocated for variable cost. Thus, that portion is used to pay the firm's fixed costs. Contribution margin is low usually for <em>labor-intensive</em> entities while <em>capital-intensive</em> companies tend to have a higher contribution margin.
Answer:
0
Explanation:
0 amount should Silverman reflect in its 2018 income statement for this sale because the good was delivered after 12/31/18.
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$250 Bonus: Wells Fargo Bank.
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The answer is in each department as jobs proceed through the department.
In a system that uses multiple predetermined overhead rates, overhead is applied in each department as jobs proceed through the department.
What is a Predetermined Overhead Rate?
- A predetermined overhead rate is an assignment rate that's utilized to apply the assessed fetched of fabricating overhead to fetched objects for a particular announcing period.
- This rate is frequently utilized to help in closing the books more rapidly, since it maintains a strategic distance from the compilation of real Predetermined overhead costs as portion of the period-end closing handle.
- In any case, the contrast between the real and evaluated sums of overhead must be accommodated at slightest at the conclusion of each monetary year.
- Larger organizations may utilize a diverse Predetermined overhead rate in each generation division, which tends to move forward the accuracy of overhead application by utilizing a better level of exactness.
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