In the production of a wooden chair within the circular flow model, what would the resource market include?

Icy Mocha Company estimates its factory overhead costs to be $35,000 and machine hours to be 5,000 for the year. If the actual h

Vedmedyk [2.9K]

Answer:

$160 overapplied

Explanation:

Icy Mocha company estimates it's factory overhead costs to be $35,000 and machine hours to be 5,000 for a period of one year.

The actual number of hours worked on job 333 and 334 equals a total of 4,980

The actual factory overhead costs are $34,700

The first step is to calculate the predetermined overhead rate

= Overhead costs/machine hours

= $35,000/5,000

= $7

The amount of either over or underapplied factory costs can be calculated as follows

= predetermined overhead rate×actual number of hours worked

= $7×4,980

= $34,860

The amount is then subtracted from the actual overhead costs

= $34,700-$34860

= -$160

= $160 overapplied

Hence the amount of overapplied factory overhead is $160

4 0

3 years ago

Turner Corporation acquired two inventory items at a lump-sum cost of $100,000. The acquisition included 3,000 units of product

inessss [21]

Answer:

The amount of gross profit Turner Corporation should recognize is $20,000.

Explanation:

The following are given in the question:

Lump-sum cost = $100,000

Units of LF acquired = 3,000

Units of 1B acquired = 7,000

LF price per unit = $30

1B price per unit = $10

Unit of LF sold = 1,000

Therefore, we have:

Share of LF in the Lump-sum cost = (Units of LF acquired / (Units of LF acquired + Units of 1B acquired)) * Lump-sum cost = (3,000 / (3,000 + 7,000)) * $100,000 = $30,000

LF cost per unit = Share of LF in the Lump-sum cost / Units of LF acquired = $30,000 / 3,000 = $10

LF total revenue = Unit of LF sold * LF price per unit = 1,000 * $30 = $30,000

LF cost of goods sold = Unit of LF sold * LF cost per unit = 1,000 * $10 = $10,000

LF gross profit = LF total revenue - LF cost of goods sold = $30,000 - $10,000 = $20,000

Therefore, the amount of gross profit Turner Corporation should recognize is $20,000.

3 0

2 years ago

General Snacks is a typical firm in a market characterized by the model of monopolistic competition. Initially, the market is in

Harrizon [31]

Answer:

Firms will leave the market in the long run.

Explanation:

Firms will leave the market in the long run.

Generally, the new firms enters in the market because the incumbent firms makes super normal profit. So in the long run, the continuous entry of firms will make the profit zero. Thus, when there is zero profit in the long run then the firms will start leaving the market and the demand for remaining firms will start rising because when firms start leaving the market then supply falls.

7 0

2 years ago

What is the present value of the following cash-flow stream if the interest rate is 5%? (Do not round intermediate calculations.

kodGreya [7K]

Answer:

Total PV= $948.6

Explanation:

Giving the following information:

Year Cash Flow

1 $250

2 450

3 350

Interest rate= 5%

<u>To calculate the present value, we need to use the following formula on each cash flow:</u>

PV = Cf/(1+i)^n

PV1= 250/1.05= 238.1

PV2= 450/1.05^2= 408.16

PV3= 350/1.05^3= 302.34

Total PV= $948.6

6 0

3 years ago

A power line cut has isolated 50 sowbugs from its original population of 15,000. after only five generations, the new population

jasenka [17]

<span>The reason why the new population exhibits dramatic genetic difference from the original one probably by chance, the allele frequencies of the isolated sow bugs differed from those in the original population, and subsequent genetic drift caused further divergence from the original gene pool.</span>

4 0

3 years ago