Credit reporting agencies are required to exclude negative information that is older than five years old. A) True B) False

Empire Company is a manufacturer of smartphones. Its controller resigned in October 2017.

Helen [10]

Answer:

a. Schedule of cost of goods manufactured for October 2017.

Raw materials costs ($264,000 + $18,000 - $29,000) $253,000

Direct labor costs $190,000

Depreciation on factory equipment $31,000

Indirect labor cost $28,000

Rent on factory facilities $60,000

Utilities expense $12,000 × 75% $9,000

Insurance expense $8,000 × 60% $4,800

Add Opening Work in process Inventory $20,000

Less Closing Work in process Inventory ($14,000)

Cost of goods manufactured $581,800

b. Income statement for October 2017.

Sales Revenue $780,000

Less Cost of Goods Sold :

Opening Finished goods Inventory $30,000

Add Cost of goods manufactured $581,800

Less Closing Finished goods Inventory ($50,000) ($561,800)

Gross Profit $218,200

Less Expenses :

Advertising expense $90,000

Selling and administrative salaries $75,000

Depreciation on sales equipment $45,000

Utilities expense 12,000 × 25 % $3,000

Insurance expense 8,000 × 40 % $3,200 ($216,200)

Net Profit / Loss $2,000

Explanation:

First, Prepare the cost of goods manufactured for October 2017 and include the amount in the calculation of cost of goods sold.

In the cost of goods manufactured schedule, include only the costs that are factory related.

Then, Prepare the income statement for October 2017, making sure to adjust the Utilities and Insurance expenses appropriately.

4 0

3 years ago

You work for a pharmaceutical company that has developed a new drug. The patent on the drug will last 1717 years. You expect tha

Svetlanka [38]

Answer: The present value of the new drug is $19.33 million

We follow these steps to arrive at the answer:

Expected Revenues from the drug in year 1(P) $2 million

Growth Rate (g) 2% p.a.

No. of years (n) 17 years

Discount rate (r) 9% p.a.

Since the revenues are expected to grow at a constant rate of 2% p.a, we can treat this series of cash flows as a <u>growing annuity. </u>

We calculate the Present Value of a growing annuity with the following formula:

$PV = \frac{P}{r-g}*\left [ 1- \left (\frac{1+g}{1+r}\right)^{n}\right]$

Substituting the values we get,

$PV = \frac{2}{0.09-0.02}*\left [ 1- \left (\frac{1+0.02}{1+0.09}\right)^{17}\right]$

$PV = \frac{2}{0.07}*\left [1- 0.323558233\right]$

$PV = 28.57142857 * 0.676441767$

$PV = 19.32690763$

8 0

2 years ago

Who said "to be cheerful act as if cheerfulness were already there."?

Vilka [71]

The person is WILLIAMS JAMES.
William James is an American psychologist and philosopher. He was a leader of the psychological movement of functionalism.
One of William James quote says that the path to cheerfulness is to sit cheerfully and to act and speak as if cheerfulness is already there

5 0

2 years ago

Peg and Al Fundy have a limited food budget, so Peg is trying to feed the family as cheaply as possible. However, she still want

Inga [223]

Answer:

A) we requiere to fulfill the Vitamint contrains or surpass them A => 12 C=>6

B) we request that instead of fullfilling the vitaming requirement to be 12/6 or more

to be exactly for this amount.

Explanation:

We set up the situation in excel Solver with the following constraing:

1 2 3 4

A 3 3 1 7

B 3 1 1 1

C 12 6 24

C2 = A1*A2 + B1*B2

C3 = A1*A3 + B1*B3

C4 = A1*A4 + B1*B4

common constraing:

C4 min

A1 = integer

B1 = integer

A) constraing

C2 => 12

C3 =>6

B) contraing to achieve the exact value for each vitamin:

C2 = 12

C3 = 6

4 0

3 years ago

Rage, a leading motor vehicle manufacturer, introduces a new superbike model. it invites proposals from independent dealers who

uysha [10]

<span>This is most likely an example of a franchise opportunity. It could also be considered to be a hybrid type of franchise where the indepenent dealers have more leeway in how the business looks and how it is run. This would be a win/win for many independent dealers as the would still be making most of the local decisions.</span>

6 0

3 years ago

Credit reporting agencies are required to exclude negative information that is older than five years old. A) True B) False​

Credit reporting agencies are required to exclude negative information that is older than five years old. A) True B) False