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Basile [38]
3 years ago
8

Hodgkiss Mfg., Inc., is currently operating at only 95 percent of fixed asset capacity. Current sales are $800,000. Fixed assets

are $480,000 and sales are projected to grow to $890,000. How much in new fixed assets are required to support this growth in sales
Business
1 answer:
Norma-Jean [14]3 years ago
3 0

Answer:

$4,292,699.99

Explanation:

Calculation to determine How much in new fixed assets are required to support this growth in sales

Full capacity sales = $800,000/0.95 = $842,105.26

Capital intensity ratio = $480,000/ $842,105.26 = 0.57000000

Fixed asset need = ($890,000 × 0.57000000) - $480,000 = $4,292,699.99

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Mark and Anthony are business partners of a franchised bakery. They have reached the end of the current financial year, and they
FinnZ [79.3K]

Answer:

B. Information return

Explanation:

Corporations, trusts, individuals, estates, partnerships, that engage in business or trade and make transactions which are reportable shall report the transactions by filing an information return with the IRS, that indicates the amount a person received as payment within the calendar year on which the information return is based

The details on the information return can be used for ensuring that the tax returns are correctly filed

Payments made by owners of businesses such as compensation for nonemployee and employee requires the filing of an information return

It is important to save a copy of the information returns being filed each year

3 0
3 years ago
H.J. Heinz Company uses standards to control its materials costs. Assume that a batch of ketchup (7,650 pounds) has the followin
zysi [14]

Answer:

$0.6 per pounds

Explanation:

The computation of the standard unit materials cost per pound is shown below:-

Whole Tomatoes = 5,000 × $0.75

= $3,750

Vinegar = 350 × 0.90

= $315

Corn syrup = 40 × 7.50

= $300

Salt  = 125 × 1.80

= $225

Total cost = Whole Tomatoes + Vinegar + Corn syrup + Salt

= $3750 + $315 + $300 + $225

= $4,590

Standard Unit Materials cost per pound = Total cost ÷ ketchup pounds

= $4,590 ÷ 7,650 pounds

= $0.6 per pounds

8 0
4 years ago
Inventory Valuation under Variable Costing Lane Company produced 50,000 units during its first year of operations and sold 47,30
otez555 [7]

Answer:

1. $5.62

2. $15,174

Explanation:

1. The computation of the cost of one unit of product under variable costing is shown below:-

Total product cost = Direct material + Direct labor + Variable overhead

= $123,000 + $93,000 + $65,000

= $281,000

Unit product cost = Total product cost ÷ Produced units

= $281,000 ÷ $50,000

= $5.62

2. The computation of cost of ending inventory under variable costing is shown below:-

Unsold at end = Unit produced - Unit sold

= 50,000 - 47,300

= 2,700

Cost of ending inventory = Number of units sold × Unit product cost

= $5.62 × 2,700

= $15,174

3 0
3 years ago
Your email marketing service shuts you down if your spam reports exceed 3%. You are doing a mailing to 900 people. What is the m
Likurg_2 [28]

Answer:27

Explanation:900 times 3%=27

5 0
3 years ago
Smythe Co. makes furniture. The following data are taken from its production plans for the year.
PtichkaEL [24]

Answer:The hazardous waste disposal cost per unit  for chair and table respectively is $2.83 and $1.54

Explanation:

From the question, If cost are assigned at a rate based on direct labor hours, then the  total disposal cost for chairs is

total disposal cost for chairs =Direct labor hours required for chairs/Total Direct labor hours required for both furniture x Hazardous waste disposal costs

268,000/ 268,000+16,400  x 615,000

= 268,000/ 284,400  x  615,000

===$595,535.865

and for tables for  is

total disposal cost for tables=Direct labor hours required for tables /Total Direct labor hours required for both furniture x Hazardous waste disposal costs

16,400 / 268,000+16,400  x  615,000

= 16,400 / 284,400  x 615,000

===$35,464.135

The hazardous waste disposal cost per unit  for chair and table respectively is

For chair ====total disposal cost for chairs/ Expected production of chairs

$595,535.865/210,000 units= $2.83

For table ====total disposal cost for table/ Expected production oftable

$35,464.135/23,000 units=$1.54

4 0
3 years ago
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