Answer:
Annual depreciation= $8,760
Explanation:
Giving the following information:
Avalon Industries buys equipment for $50,000, expects to use it for Five years, and then sell it for $6,200.
We need to use the following formula:
Annual depreciation= (original cost - salvage value)/estimated life (years)
Annual depreciation= (50,000 - 6,200)/5= $8,760
Answer:
Option (d) is correct.
Explanation:
Given that,
June 1 Beginning inventory 20 units at $19 = $ 380
June 7 Purchases 70 units at $20 = 1,400
June 22 Purchases 10 units at $23 = $230
Cost of goods available for sale = $2,010
On June 30, units on hand = 30 units
Cost of Ending inventory:
= (20 units × $20) + (10 units × $23)
= $400 + $230
= $630
Total cost of goods sold:
= Cost of goods available for sale - Cost of Ending inventory
= $2,010 - $630
= $1,380
Answer:
See below
Explanation:
With regards to the above, Green's variable overhead spending variance is computed as
= Flexible budget - Actual variable overhead.
Given that
Flexible budget in variable overhead = $176,000
Actual variable overhead = $100,000
Therefore,
Variable overhead spending variance
= $176,000 - $100,000
= $76,000 F
Answer:
$1,532,700.
Explanation:
We know that the total budgeted overhead equals to
= Variable overhead + fixed overhead
where,
Variable overhead = (June sales units + July sales units × given percentage - beginning inventory units) × variable overhead per unit
= (299,000 units + 309,000 × 20% - 59,800 units) × $3.70
= (299,000 units + 61,800 units - 59,800 units) × $3.70
= $1,113,700
And, the fixed overhead is $419,000
Now put these values to the above formula
So, the value would be equal to
= $1,113,700 + $419,000
= $1,532,700.
The July sales units × given percentage is ending inventory units