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3 years ago

The following information applies to the questions displayed below.]

Business

1 answer:

Leokris [45]3 years ago

8 0

Answer:

Clopack Company

3. Units completed and transferred to finished goods during the period = 34,500 units

4. The equivalent units of production for materials = 42,300 units

5. The equivalent units of production for conversion = 38,400 units

8. The cost per equivalent unit for materials = $3.75

10. The cost of ending work in process inventory for materials = $29,250

Explanation:

a) Data and Calculations:

T-account:

Work in Process - Mixing Department

Account Titles Debit Credit

June 1 balance 32,000

Materials 141,245

Direct labor 90,500

Overhead 108,000

Transferred to Finished Goods ?

June 30 balance ?

Units Materials Conversion Total

Beginning WIP 4,900 $17,380 $14,620 $32,000

Degree of completion 100% 60%

Started into production 37,400 141,245 198,500 339,745

Total units available 42,300 $158,625 $213,120 $371,745

Ending WIP 7,800 100% 50%

Transferred out 34,500

Equivalent units of production Materials Conversion

Started and completed 34,500 34,500 (100%) 34,500 (100%)

Ending WIP 7,800 7,800 (100%) 3,900 (50%)

Total equivalent units 42,300 38,400

Cost per equivalent unit: Materials Conversion

Total cost of production $158,625 $213,120

Total equivalent units 42,300 38,400

Cost per equivalent unit $3.75 $5.55

Cost assigned to: Materials Conversion Total

Units started and completed $129,375 $191,475 $320,850

Ending Work in Process 29,250 21,645 50,895

Total cost assigned $158,625 $213,120 $371,745

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Answer:

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3 years ago

Nora is deciding whether to purchase brand-name sneakers or a less expensive store brand. She has purchased other shoes with the

Pani-rosa [81]

Answer:

The correct answer is C. greater perceived value.

Explanation:

Considering Nora's previous experience, it can be determined that her purchase decision is not oriented to the brand, but to the perception of value over other variables. In this scenario, it is most likely that Nora chooses to decide on the second option, since surely having no preferences she wants to experience the experience of enjoying new sneakers with different variables than the one she initially acquired.

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A grain elevator operator bought a futures contract for 5,000 kilograms of rice at $1.50 per kilogram. The initial margin is $4,

Inessa05 [86]

Answer:

Given that,

Operator bought a futures contract = 5,000 kilograms of rice at $1.50 per kilogram

Initial margin = $4,000

Maintenance margin = $2,000

(a)

(i) Balance of Margin = Initial margin - maintenance margin

= $4,000 - $2,000

= $2,000 (loss)

(ii) Change in price = $\frac{2,000}{5,000}$

= $0.40

(b) Price per kilogram = Current price - Change in Price

= $1.50 - $0.40

= $1.10

So, change price per kg is $1.10

(c) Balance of Margin = Initial margin - maintenance margin

= $4,000 + $2,000

= $6,000 (loss)

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= $0.40

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3 years ago

An investment costs $152,000 and has projected cash inflows of $71,800, $86,900, and −$11,200 for Years 1 to 3, respectively. If

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Answer:

No; The IRR is less than the required return.

Explanation:

Calculation of IRR is given by the formula: Lr x NPVL / NPVL - NPVH x (Hr - Lr)

where

Lr = Lower rate of discount

Hr = Higher rate of discount

NPVH = NPV at Higher discount rate

NPVL = NPV at Lower discount rate

Assume a low discount rate of 1% and a high rate of 20%

NPV at 1%

Particulars Year 0 Year 1 Year 2 Year 3

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DCF 1% 1 0.99 0.98 0.97

Present values (152,000) 71,082 85,162 (10,864)

NPV = $6,620

NPV at 20%

Particulars Year 0 Year 1 Year 2 Year 3

Cash flows 152,000 71,800 86,900 (11,200)

DCF 20% 1 0.83 0.69 0.58

Present values (152,000) 59,594 59,961 (6,496)

NPV = ($38,941)

Substituting values in the IRR formula we have:

1% x [($6,620 / ($6620 - (38,941))] x (20% - 1%) = 2.06%

Therefore we reject the project because it gives an IRR lower than the required rate of return of 15.5%

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3 years ago

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Answer:

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2. Weighted average method: Weighted cost is measured by considering the total revenue and total purchase

3. Last-in-first-out: Contrary to the first-in-first-out process, the first sale of new goods, then selling of old goods.

4. Base stock: The process by which the orders of the consumer are fulfilled by holding the less inventory

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