Answer:
Unitary cost= $118
Explanation:
Giving the following information:
Production= 43,000
Direct materials $43.00 per unit
Direct manufacturing labor $8.00 per unit
Variable manufacturing costs $4.00 per unit
Fixed manufacturing costs $63.00 per unit
<u>The absorption costing method includes all costs related to production, both fixed and variable.</u> The unit product cost is calculated using direct material, direct labor, and total unitary manufacturing overhead.
Unitary cost= 43 + 8 + 4 + 63
Unitary cost= $118
Answer: $124800
Explanation:
First, we have to calculate the ammortization expense which will be:
= $468000 / 10
= $46800
May 2019 = ($46800 × 8/12)
= $31200
December 2020 = $46800
December 2021 = $46800
Ammortization expense will now be:
= $31200 + $46800 + $46800
= $124800
Answer:
B. $12,000 is a sunk cost
Explanation:
By considering the given information, the cost that is correct is a sunk cost for $12,000
The sunk cost is the cost already incurred and will not be retrieved in the future. Plus, it's also termed a past cost.
It is a useless cost and it can be avoided also.
It is that cost that is not considered at the time of decisions making.
So, option B is correct
Arianne's store is an example of a SOLE PROPRIETORSHIP.
A sole proprietorship is the simplest business form among all businesses. It doesn't have a legal entity because its debts will be personally covered by its owner. All its profit and loss will be enjoys and paid for by Arianne and the coverage of its debts is unlimited.
Answer:
The correct answer is option b) $367,000
Explanation:
Here for calculating the correct amount of inventory that Horace should report can be calculated through, by adding the inventory worth $320,000 at 31 December, 2015 with consignment given to Herschel worth $47,000, SO
Correct amount of inventory =
Amount of inventory on 31 December
+
Consignment given to Herschel
= $320,000 + $47,000
= $367,000
Here we are taking Herschel consignment in to account and that too at the historical purchase cost because Horace company has give the Herschel to sell the goods on his behalf but the transfer of ownership has not taken place here , the right to ownership here remains with the Horace and the amount at which they should be recorded is at purchase cost not selling cost.
We will also not include goods worth $ 22,000 in to the calculation because the Horace company has not received the goods physically yet, we will include those goods in to inventory on January 3 not before that.
