Answer:
11,600 units
Explanation:
Equivalent units for conversion costs :
Equivalent units = 10,000 x 100 % + 4,000 x 40 % = 11,600
The equivalent units for February for conversion costs were: 11,600 units
Answer:
$84.00
Explanation:
The cost of machining per phone will be calculated as;
Machine time required x cost per machine hour
Here Given is:
6 hours of machine time
$14.00 per machine hour rate
6 hours × $14.00 = $84.00
Answer:
B: $1,500 is recognized this year, $ 9,000 next year and $ 7,500 in last year of contract.
Explanation:
Steven has adopted the accrual method in recording its revenue.
Accrual is an accounting concept which means expenses and revenues are recorded by a business when they are incurred not when cash is received or paid.
Accrual basis of accounting gives more accurate and true results as compare to cash basis accounting.
The payment received in September of $ 18,000 was the income for 24 months so it was wrong to record the whole amount as an income in September.
In the first year 2 months of income is recorded for November and December ($ 18,000÷24 = $750 per month) $750 × 2 = $1500.
In the second year 12 months revenue will be recognized ($750 per month × 12 = $ 9,000)
In the last year 10 month remained out of 24 months so the income recognized was ( $750 × 10 = $ 7,500)
Answer:
$14,160 F
Explanation:
The computation of the labor efficiency variance is shown below:
As we know that
Labor Efficiency Variance = (Standard Hours - Actual Hours) × Standard Rate
where,
Standard hours is
= 3,400 units × 0.5 hours
= 1,700 hours
And, the actual hours is 520 hours
And, the standard rate is $12
So, the labor efficiency variance is
= (1,700 hours - 520 hours) × $12
= $14,160 favorable
Since standard hours is more than the actual hours so it would lead to favorable variance
Answer: b) import cotton.
Explanation:
If the international price is cotton is less than the price that a country produces it at, it is best that the country imports the cotton than produce it because they do not have a competitive advantage in producing the cotton.
Should they then import, the resources that were being used to produce the cotton can be used on other things that they do have competitive advantage in.
