1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Oliga [24]
3 years ago
5

Brush Industries reports the following information for May: Sales $ 900,000 Fixed cost of goods sold 100,000 Variable cost of go

ods sold 250,000 Fixed selling and administrative costs 100,000 Variable selling and administrative costs 125,000 Calculate the operating income for May under absorption costing.
Business
1 answer:
Eddi Din [679]3 years ago
3 0

Answer:

The operating income for May under absorption costing is $325,000

Explanation:

For computing the operating income under absorption costing, the calculation is shown below

Sales - Cost of good sold = Gross Profit

Gross Profit - Selling & Admin Expenses = Net income

By following these two equations we can easily compute net income

First we compute the gross profit

where,

Sales is $900,000

And cost of good sold = Fixed cost of goods sold + Variable cost of goods sold  

So, cost of good sold = $100,000 + $250,000 = $350,000

Thus, the Gross profit is $900,000 - $350,000  = $550,000

Now, after computing the gross profit, the selling and admin expenses of variable and fixed should be deducted from gross profit

So,

= $550,000 - $100,000 - $125,000

= $325,000

Hence, the operating income for May under absorption costing is $325,000

You might be interested in
What was ireland's greatest export during the 1840s?
Viefleur [7K]
People was the greatest export
8 0
3 years ago
Read 2 more answers
Corporation began with retained earnings of million. Revenues during the year were ​million, and expenses totaled million. decla
lakkis [162]

Complete Question:

Cell One Corporation began 2018 with retained earnings of $ 260 million. Revenues during the year were $ 520 ​million, and expenses totaled $ 340 million. Cell One declared dividends of $ 61 million. What was the​ company's ending balance of retained​ earnings? To answer this​ question, prepare Cell One​'s statement of retained earnings for the year ended December​ 31, 2018​, complete with its proper heading.

Answer:

Cell Corporation

Statement of Retained Earnings for the year ended December 31, 2018:

                                                      $'million

Retained Earnings, Dec. 31, 2017   260

Net Income                                       180

Dividends                                          (61)

Retained Earnings, Dec. 31, 2018   379

Explanation:

a) Data and Calculations:

Beginning Retained Earnings = $260 million

Revenues during the year were $ 520 ​million

Expenses totaled                          $ 340 million

Net Income (Revenue - Expenses) $180 million

Cell One declared dividends of $ 61 million

b) Cell Corporation's Retained Earnings for the year ended December 31, 2018 is the difference between the beginning retained earnings, net income, and the amount of dividend declared during the current year.  This figure gives the amount of equity that has been retained for growing the business, which is an important internal source of corporate funding.

8 0
3 years ago
Rapid-Built Homes specializes in low-cost prefabricated, modular homes that can be erected in a mat-ter of days anywhere in the
SOVA2 [1]

Answer:

D, are probably not engaged in intense competitive rivalry

Explanation:

A competitive analysis framework or framework of competitive analysis can be said to be an analysis model that is used to examine a competitor market structure. This in turn helps you to properly prepare or structure your market analysis.

There are about 5 competitive analysis frameworks. They include SWOT(strength Weakness Opportunity Threats), Porter's five forces, Strategic group analysis, growth share matrix, perceptual mapping.

In the case of Rapid-Built Homes and ModMod, they are not exactly involved in intense competitive rivalry because while Rapid-Built homes is a developed by real estate speculators, ModMod is a side business for two architecture professors. This means that selling of housing units by Rapid-Builts is the source of main income for the company while for ModMod, is it not the main source of income for the professors.

Cheers

7 0
3 years ago
Mary beth is a high school senior. She made $2000 this summer working at a part time job. She opened up a Roth IRA to begin savi
Rasek [7]

R: Aggressive

<u>Explanation:</u>

Aggressive development is a common store speculation target that looks for high capital increase potential among development stocks, which are loads of organizations that are required to develop at a rate quicker compared to the general financial exchange. Forceful putting implies putting more in high hazard resources than okay resources.  

<u>Development resources: </u>Growth resources are intended to develop your speculation. They incorporate speculations, for example, shares, elective ventures, and property. They will, in general, convey more elevated levels of hazard yet can possibly convey better yields over longer venture time allotments.

8 0
3 years ago
The type of distribution error that involves giving average ratings to all employees is called _____. select one:
Nina [5.8K]
The answer is letter a which is central tendency. It is because this is where managers give ratings to their employees or evaluate their employees base on their performances. And usually, they provide a rating to their employees as average because of the given factors that will fall in this decision. It could be because they fall within the rage, which they had provided, having them to have average ratings.
5 0
3 years ago
Other questions:
  • Jackson Company had a net increase in cash from operating activities of $9,800 and a net decrease in cash from financing activit
    7·1 answer
  • An investment has the following characteristics:ATIRRP: After-tax IRR on total investment in the property: 9.0%BTIRRE: Before-ta
    14·1 answer
  • Congress would like to increase tax revenues by 11.5 percent. assume that the average taxpayer in the united states earns $62,00
    15·1 answer
  • Which property classification would include tools?
    14·2 answers
  • Select two skills from the list in the article that you feel you have to offer in the workplace . Discuss the importance of thes
    5·1 answer
  • Ron, a businessman who invests heavily in the stock market, has suffered a serious loss with his latest venture. The very though
    7·1 answer
  • What do you think are three benefits for businesses using IT?
    6·1 answer
  • Assume Peanut Butter and Jelly are two complement products. For both markets explain what happens for an increase in the Supply
    5·1 answer
  • What is accountancy​
    11·2 answers
  • The unemployment rate is the percentage of the: Group of answer choices population that is unemployed. adult population that is
    6·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!