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2 years ago

During 2011, Gum Co. introduced a new product carrying a two- year warranty against defects.

1 answer:

4 0

The amount that Gum should report as estimated warranty expense on its December 31, 2012 balance sheet is $14,250.

First step is to calculate the estimated cost related to dollar sales

Estimated cost related to dollar sales=2%+4%

Estimated cost related to dollar sales= 6%

Second step is to calculate the estimated warranty expense that should be reported

Estimated warranty expense =(400,000×6%)-Total of actual warranty expenditures of $9,750

Estimated warranty expense=$24,000-$9,750

Estimated warranty expense=$14,250

Inconclusion the amount that Gum should report as estimated warranty expense on its December 31, 2012 balance sheet is $14,250.

Learn more about warrantee expense here:brainly.com/question/14070965

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Bob Burgers allocates manufacturing overhead to jobs based on direct labor hours. The company has the following estimated costs

Mademuasel [1]

Answer:

The predetermined manufacturing overhead rate per direct labor hour will be $32

Explanation:

The formula to compute the predetermined manufacturing overhead rate is shown below:

= (Estimated manufacturing overhead) ÷ (Estimated direct labor hours)

where,

Estimated manufacturing overhead = Wages of factory janitors + Utilities for factory + Rent on factory building

= $39,900 + $17,000 + $13,900

= $70,800

And, the estimated direct labor hours is 2,200 machine hours

Now put these values to the above formula

So, the value would equal to

= $70,800 ÷ 2,200 machine hours

= $32.18

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3 years ago

Broad, Inc. had a beginning inventory of $50,000 and an ending inventory of $80,000. Its Cost of Goods Sold for the year was $97

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Answer:B. $1,000,000

Explanation :

Given that

beginning inventory = $50,000

Cost of Goods Sold =$970,000.

ending inventory = $80,000.

Using the formula below to find the amount of purchases , we have that

Cost of Goods Sold = Beginning Inventory + Purchases During the Period – Ending Inventory

$970,000 =$50,000+Purchases During the Period -$80,000

Purchases During the Period =$970,000 -$50,000 +$80,000

Amount of Purchases During the Period for Broad, Inc. = $ 1,000,000

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3 years ago

In a condominium, who is responsible for maintaining the internal systems of an individual unit?A. The condominium associationB.

lions [1.4K]

Answer:

C. The individual unit owner

Explanation:

Based on what you actually own, your maintenance responsibilities for the property – and therefore your repair costs, and so on – will vary.

Normally, a unit owner is made responsible for managing all that is a part of his unit system.

For instance, if you identify a "unit" in your condominium complex to include the outside shutters on your windows, it will be your responsibility to maintain that.

If they collapse off from each other a few years after you move in, you probably won't be able to get help from the home owners association (excluding proof that they were defective at first).

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3 years ago

Cite two types of costs necessary for a real estate development. How does a construction loan differ from a permanent loan?

evablogger [386]

Two types of costs necessary for a real estate development is hard costs and soft costs.

Answer: Hard costs and Soft costs

Explanation:

For real estate development there are two types of costs - hard costs and soft costs. Hard costs is the expenses incurred directly for physical construction of the building. Soft costs is for the indirect expenses for the construction of the building.

Permanent loans have fixed rate of interests. Construction loan has got fluctuating rate of interests till the time of construction. When the prime rate changes the interest fluctuates which is termed as float.

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3 years ago

Ruff Wear expects sales of $560, $650, $670, and $610 for the months of May through August, respectively. The firm collects 20 p

Orlov [11]

Answer:

$643

Explanation:

Collection in the month of August is made up of

20 percent of sales for August
70 percent of sales for the month for July
8 percent of sales for the month of June

Considering all the elements stated above,Collection in the month of August

= (20% × 610) + (70% × 670) + (8% × 650)

= 122 + 469 + 52

= $643

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3 years ago