Your parents have been advised to save 5% of their income for your college education,

Predetermined overhead rates in traditional costing are often based on

sp2606 [1]

Answer:

a) direct labor cost for job order costing and machine hours for process costing.

Explanation:

As we know that the predetermined overhead rate is the rate which is to be computed by considering the total estimated manufacturing overhead cost and the estimated activity level i.e machine hours, etc

Under the traditional costing, in case of job order costing it ts based on direct labor cost while in the process costing it is based on machine hours

Hence, first option is correct

3 0

3 years ago

Which of the following statements regarding the direct and indirect methods of reporting cash flow from operating activities is

erica [24]

Answer:

a) although both methods result in the same net increase or decrease in cash for the year, net cash flow from operating activities will be different under the two methods

Explanation:

Using the indirect method, computation of cash flow from operating activities begins with net income as shown in the income statement. The FASB also permits both methods but has expressed a preference for the direct method and the direct method shows the specific cash inflow and outflows for each operating activities of the business.

This option that does not align with the differences between the 2 methods is that the cash flow reported under direct and indirect method for operating activities would always remain the same notwithstanding the method used.

3 0

3 years ago

Joe is a pizza delivery worker. the pizza shop he works for has a 30 minutes or less delivery guarantee or else the customer doe

USPshnik [31]

If Joe has good morals he would stop and help the women. He could have the money taken out of his pay check to possible keep his job but if he does not stop and help the women he will have live with his decision for the rest of his life, the guilt would eat him alive. He can always get another job but we only have one life to live and if he could help save someone else, he should do that.

7 0

3 years ago

Holmes Company produces a product that can be either sold as is or processed further. Holmes has already spent $60,000 to produc

lozanna [386]

Answer:

Holmes should sell process the product further, because the profit if process further is higher than sell product now.

Explanation:

Net profit if sell product now is $37,500 ( = sales to another manufacturer $97,500 – already spent $60,000)

Sales as in process further/ Incremental Accounting

Sales: $695,125 (=$415 x 1,675 units)

Additional Process costs: $485,570 (=$290 x 1,675 units)

Net profit if process further = total sales $695,125 – already spent $60,000 – additional process cost $485,570 = $149,555, higher than profit $37,500 if sell now.

6 0

3 years ago

The Mill Flow Company has two divisions. The Cutting Division prepares timber at its sawmills. The Assembly Division prepares th

shtirl [24]

Answer:

Cutting $0

Revenue $1,480,000

Explanation:

Cutting Assembly

Revenue $660,000 $2,500,000

Cost of services:

Incurred $ 660,000 $ 360,000

Transferred-in $0 $660,000

Total $ 660,000 $1,020,000

Operating income $ 0 $1,480,000

60,000 cords x $11 = $660,000

Operating income:

Cutting

Revenue $660,000 - Total $ 660,000 =0

Assembly

Revenue $2,500,000- Total$1,020,000

=$1,480,000

7 0

3 years ago