Answer:
The correct answer is option (b) $5400
Explanation:
Solution
Calculation of the cost of direct material on May 1
Now,
The starting work In process inventory = Direct materials Cost + Direct labor Cost + Manufacturing overhead applied on W.I.P
13,500 = Direct materials cost + 4500 + 3600
Thus,
Direct material cost = 13500 - 4500-3600 = $5400
Note: Direct labor cost = 300 * 15 = $ 4500
The manufacturing overhead = 300 hour * $12 = $ 3600
So, only expenses associated to work in process will be considered, hence only direct labor and manufacturing overhead are used to work in process are considered.
Answer: The General offers automobile insurance online. Buyers can purchase a policy over the Internet and the company will provide immediate proof of insurance to get legal drivers on the road quickly.
This shows how electronic commerce contributes to customer value through the creation of <u>new facilities that save time and money, making the insurance system much more efficient and faster, resulting in greater comfort for customers.</u>
Answer:
enduring;
situational
Explanation:
The concept of enduring participation implies the existence of a long-term relationship, regardless of the current situation.
Situational participation depends on the moment and how attractive the event is in a specific period of time.
Answer:
Explanation:
The journal entries are shown below;
Bad debt expense A/c Dr $2,421
To Allowance for doubtful debts A/c $2,421
(Being bad debt expense is recorded)
The computation of the bad debt expense is given below
= Net sales × estimated percentage given
= $807,000 × 0.3%
= $2,421
To determine the estimated bad debt expenses we debited the bad debt expense account and credited the allowance for doubtful debts
Answer:
d. Is reflected in income from continuing operations.
Explanation:
Taxes are defined as the amount that is levied by a government on its citizens, the funds are used to fund government expenditure.
When a business's tax rate increases the extra cost that results will be recognised as an expense in the income from operations.
On the other hand when tax rate is reduced it will result in increased income for the business.
Tax is one of the factors businesses consider when setting up operations. Locations with low tax rates are more favoured as they result in higher income.
