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Alja [10]
3 years ago
8

Based on the segment income statement below, Chips, Inc. is considering eliminating its Barbecue Division line. Revenue from Bar

becue Division sales $ 510,000 Salaries for Barbecue Division workers (110,000 ) Direct material (315,000 ) Sunk costs (equipment depreciation) (77,500 ) Allocated company-wide facility-sustaining costs (55,000 ) Net loss $ (47,500 ) If Barbecue Division were eliminated, profitability would
Business
1 answer:
zloy xaker [14]3 years ago
7 0

Answer: Decrease by $70000

Explanation:

Before the Barbecue Division is eliminated, the profit gotten will be:

Revenue from Barbecue Division sales = $510,000

Less: Salaries = $110000

Less: Direct material = $315000

Profit = $70000

Therefore, based on the analysis above, If Barbecue Division were eliminated, profitability would decrease by $70000

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Explanation:

8 0
3 years ago
Sleep master, inc. manufactures bedding sets. the budgeted production is for 57,000 comforters in 2013. each comforter requires
pentagon [3]

Answer:

Total Material cost = $507,000

Explanation:

Material budget shows the total budgeted material cost for a specific period.

               Sleep master, inc.

          Direct Material Budget

            December 31, 2013

Budgeted production units                57,000

<u>yards required per comforter                   × 6</u>

Materials needed for production = 342,000 yards

<u>Add: Ending Material Inventory   =  27,000   yards</u>

Total Material units required       = 369,000 yards

<u>Less: Beginning Materials            = (31,000)  yards</u>

Material used                                = 338,000 yards

<u>Cost per yard                                         × $1.50</u>

Total Material cost                       = $507,000

5 0
3 years ago
if there is a budget deficit during the biennium, money can be used from the economic stabilization fund
Lunna [17]

If there is a budget deficit during the biennium, money can be used from the economic stabilization fund with approval of 3/5th of the members of both the Texas house and the Texas Sentae.

<h3>What is the meaning of the Senate?</h3>

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A deliberative assembly known as a senate is frequently the upper house or chamber of such a bicameral legislature.

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5 0
1 year ago
Record the January 31, 2019 adjusting entry for the December 31, 2018 receipt of $3,000 from race participants for providing ser
MAXImum [283]

Answer:

Debit Unearned revenue   $1,000

Credit Service revenue       $1,000

Explanation:

When cash is received in advance for service yet to be provided, an asset and a corresponding liabilities are created.

The liability is then reduced as the revenue for which cash was collected in advance is earned.

Given that the December 31, 2018 receipt of $3,000 from race participants for providing services for three races. One race is held on January 31, 2019 and the other two will be held in March 2019.

Revenue from one race = 1/3 × $3,000

= $1,000

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Debit Unearned revenue   $1,000

Credit Service revenue       $1,000

Being entries top recognize revenue earned from the race held on January 31, 2019 .

4 0
3 years ago
Pablo management has ten part-time employees, each of whom earns $145 per day. they are normally paid on fridays for work comple
kvv77 [185]

Explanation:

December 31, 2016: To record accrued wages for one day (10 workers × $145) = $1,450.

January 4, 2017: To record accrued and current wages.

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Cash = 10 workers × 4 days × $145 = $5,800.

See attached photo.

4 0
3 years ago
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