Answer:
A. $15,000
Explanation:
Gross margin is the revenue from sales deducted by the production cost of goods sold.
The total cost to produce all 5,000 units is:
The production cost of the 3,000 units sold is:
If each of the 3,000 units sells for $15.00, the gross margin for the first year is:
The correct alternative is A. $15,000
*Note that general, selling, and administrative expenses were not included since they don't qualify as production costs.
National security is the security and defence of a nation state, including its citizens, economy, and institutions, which is regarded as a duty of government.
Answer:
Dr Bonds payable 240,000
Cr Cash 230,400
Cr Gain on bond retirement 9,600
Explanation:
The face value of the bonds was $240,000 and that is the amount of the bonds payable that must be debited. The price of the bond = $240,000 x 0.96 = $230,400. The amount which the company gains for early retirement = $240,000 - $230,400 = $9,600
Answer:
Results are below.
Explanation:
Giving the following information:
Predetermined overhead rate= $18.00 per direct labor-hour
Direct labor wage rate= $12.00 per hour.
Job A-500
Direct materials $220
Direct labor $60
<u>First, we need to calculate the direct labor hours:</u>
Direct labor hours= 60/12= 5
<u>Now, we can allocate overhead:</u>
Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Allocated MOH= 18*5
Allocated MOH= $90
<u>Finally, the unit cost:</u>
<u></u>
Total cost= 220 + 60 + 90= $370
Unit cost= 370/60
Unit cost= $6.17
Answer:
E. rise significantly as defects increase in the finished product.
Explanation:
Real Cost of Quality
This cost is concerned with preventing, finding and correcting product issues relating to quality. It is the total amount used is solving quality related defects. It is the extent to which resources are used to prevent poor quality that are below the standards of the organization. The cost tend to rise whenever there's a rise in the defects found in finished products. This is because it is the cost that is used in correcting or remediating the defects.
