Which of the following does not describe a product feature?*

onceptual Connection: For each situation, identify the possible root cause(s) of the activity cost (such as plant layout, proces

Minchanka [31]

Answer:

Explanation:

For each situation, identify the possible root cause or causes of activity cost, among these:

1. Plant Layout

2. Process design

3. Product design

(A) PROCESS DESIGN

The design of the process of production is the root cause of activity cost here. From the rates given, it's clear that the manual method of production costs more time and money than the mechanical production method.

A minor cause of activity cost here is the PRODUCT DESIGN; the cost of which varies with the use of labour and the use of machine.

(B) PRODUCT DESIGN

Change in design of the gear (removal of some component parts) reduces set up time and cost.

(C) PLANT LAYOUT

Redesign of manufacturing plant saves the time and cost of moves.

3 0

3 years ago

The Federal Reserve conducts a $30 million open-market purchase of government bonds. If the required reserve ratio is 15 percent

PIT_PIT [208]

Answer

a. 200 million

b. 30 million

The answer and procedures of the exercise are attached in the image below.

Explanation

Please consider the data provided by the exercise. If you have any question please write me back. All the exercises are solved in a single sheet with the formulas indications.

4 0

4 years ago

Under its executive stock option plan, N Corporation granted options on January 1, 2021, that permit executives to purchase 12.0

AveGali [126]

Answer:

N. Corporation

The effect on earnings in the year after the options are granted to executives is a reduction in the net income by $16 million because of the Compensation Expense that will be recorded.

The journal entry on December 31, 2021 (a year after) is:

Debit Compensation Expense $16,000,000

Credit Stock Options $16,000,000

To record compensation expense.

Explanation:

a) Data and Calculations:

Options grant date = January 1, 2021

Options granted = 12.0 million shares

Options vesting date = December 31, 2023

There are 3 years before the vesting date

Fair value of the options = $4

Therefore, Total Compensation Expense = Options granted*Fair value per option

= 12,000,000 * $4

= $48,000,000

Annual compensation expense from 2021 to 2023 = $48,000,000/3

= $16,000,000

8 0

4 years ago

Whenever the internal rate of return on a project equals that project's required rate of return, Group of answer choices the net

Xelga [282]

Answer:

the net present value equals zero

Explanation:

Net present value method: In this method, the initial investment is subtracted from the discounted present value cash inflows. If the amount comes in positive than the project is beneficial for the company otherwise not.

Internal rate of return: The internal rate of return is that return at which the net present value is equal to zero which means that the internal rate of return is the same as the project required rate of return

7 0

3 years ago

On April 12, Hong Company agrees to accept a 60-day, 10%, $9,000 note from Indigo Company to extend the due date on an overdue a

emmainna [20.7K]

Answer:

The journal entry to be recorded for the payment of the note on date of maturity is shown below:

Explanation:

The journal entry to be recorded for the payment of the note on date of maturity is as follows:

Notes Payable A/c..........................Dr $9,000

Interest expense A/c......................Dr $148

Cash A/c..........................................Cr $9,148

Being payment of the note payable is reported on the maturity date

As on the day of the payment, the cash is going out of the business which means assets is decreasing and any decrease in assets is credited. Therefore, the cash account is credited. And the notes payable is paid so the notes payable account is debited and interest expense account will also be debited.

Working Note:

Interest expense = $9,000 × 10% × 60/ 365

Interest expense = $148

3 0

3 years ago