Use your knowledge of what drives employee performance to complete the sentence.

Problem 7-17 Comparing Traditional and Activity-Based Product Margins [LO7-1, LO7-3, LO7-4, LO7-5] Smoky Mountain Corporation ma

Gelneren [198K]

Answer:

product margins for the Xtreme and the Pathfinder is 7.9% and 17.7% respectively.

Explanation:

Estimated total manufacturing overhead $1,980,000 Estimated total direct labor-hours 120,000 DLHs, then manufacturing overhead per hour is $33 = 1,980,000/120,000 = $16.5

Please see the detailed calculation in excel attached.

Download xlsx

4 0

4 years ago

The following information is for employee Ella Dodd for the week ended March 15.

Brut [27]

Answer:

a. The total earnings is $840

The total deductions is $313

The cash paid is $527

b. The Social security and medicare taxes is $63

The State unemployment tax is $28.56

The Federal unemployment tax is $6.72

Explanation:

a. To calculate the (1) total earnings, (2) total deductions, and (3) cash paid we would have to calculate the following formula:

1. Total earnings=(15*40)+((48-40)*15*2)

Total earnings=$840

2. Total deductions=(Federal Tax+United fund deduction+Social security tax+Medicare tax)

Total deductions=$200+$50+($840*6%)+($840*1.5%)

Total deductions=$313

3. Cash paid=Total earnings-Total deductions

Cash paid=$840-$313

Cash paid=$527

b. The calculation of each of the employer's payroll taxes related to the earnings of Ella Dodd for the week ended March 15 would be the following:

Social security and medicare taxes=$840*(6%+1.5%)

Social security and medicare taxes=$63

State unemployment tax=$840*3.4%

State unemployment tax=$28.56

Federal unemployment tax=$840*0.8%

Federal unemployment tax=$6.72

7 0

4 years ago

For an investment in a stock, the probability of the return being –10.0% is 0.3, 10.0% is 0.4, and 30.0% is 0.3. given the proba

Nataliya [291]

The expected return will be given by:
E(R)=Total sum of the expected return
E(R)=-0.1*0.3+0.1*0.4+0.3*0.3
E(R)=-0.03+0.04+0.09
E(R)=0.1=10%

We therefore conclude that the expected return is 10%

4 0

4 years ago

Uncle Fred recently died and left $280,000 to his 45-year-old favorite niece. She immediately spent $80,000 on a town home but d

Marrrta [24]

Answer:

6.06%

Explanation:

The computation of the rate of return is shown below:

Given that

NPER = 20 years

PV = ($280,000 - $80,000) = $200,000

PMT = $0

FV = $75,000 × PVIFA factor at 10% for 21 years

= $75,000 × 8.6487

= $648,652.50

The following formula should be applied

= RATE(NPER;PMT;-PV;FV;TYPE)

The present value comes in negative

After applying the above formula, the rate of return is 6.06%

7 0

3 years ago

In which of the following cases should the United States produce more noodles than it wants for its own use and trade some of th

balandron [24]

Answer:

A. Italy has a comparative advantage over the United States in producing wine.

Explanation:

A country has comparative advantage in production if it produces at a lower opportunity cost when compared with other countries. A country should specialise in the production of the good for whuch it has comparative advantage in and import goods for which it doesn't have comparative advantage in its production.

If Italy has comparative advantage in the production of wine and the US doesn't, Italy should produce wine and export to the US. While, US should produce pasta and export to Italy, if has a comparative advantage in the production of pasta.

A country has absolute advantage in the production of a good or service if it produces more quantity of the good when compared with other countries.

I hope my answer helps you

6 0

3 years ago