Answer:
$227,270
Explanation:
The computation of the cost of goods completed and transferred out is shown below
Particulars Direct materials Conversion costs
Beginning inventories 0 340
(850 × 40%)
Units started
and completed 13400 13400
(15,000 - 1,600)
Ending inventories 1600 640
(1,600 × 40%)
Equivalent units 15000 14380
Current costs $155000 $83520
Cost per Equivalent unit $10.3333 $5.8081
Cost of goods completed and transferred out is
= ($5000 + $4000) + (340 × 5.8081) + 13400 × (10.3333 + 5.8081)
= $227,270
Answer:
Cost of goods sold will be too low by $5000.
Explanation:
Since, As per the given situation the current year the ending inventory is overstated by $5,000. By mistaken company reported the net income is $100,000.
Therefore, the ending inventory is high so, the error on the income statement of the current period is the too low of cost of goods sold will be by $5000.
Answer with Explanation:
The introducing of newest technology would definitely have financial and operational implications. These implications are given as under:
Financial implications
- Cost Reduction: The operational costs would be reduced by investing in the newest technology which will make the cash flow position better with time.
- Benefits Lost Risk: It is possible that the investment might not bring value to the company because of any emergent problems, whose mitigation requires incurring of additional costs.
- Cost Advantage: The lower operational cost can drive higher sales because the company will be charging lower fare prices to its customer thus giving Cost Advantage.
- Investing in newest technology might not bring value to the company because it is not attracting potential customers but it might pay off later in the form of developed customer loyalty.
Operational implications
- Implementing a newest technology might improve the operational processes through which the customer go through, which would increase the customer satisfaction.
- Implementation problems of newest technology.
- Long term Customer retention will easy for the airline company due increased customer satisfaction.
- Operational efficiencies related to services will process the customer fastly saving the companies precious time wasted in these process thus reducing the future human resource cost.
- Using robots might bring adverse marketing because the people might think that the human resource are no more required and risks associated with the acceptance of technology due to cultural differences.
- Better Security systems would increase the security level and safety levels for the customers.
Answer: Sarah failed to evaluate a potential ethical issue.
Explanation:
From the question, we are informed that Sarah who is the controller of a large beverage supplier, supervises two employees and that her boss, Vladimir, told her to increase the company's inventory balance for an amount that is material to the financial statements by crediting several small "miscellaneous" expense accounts.
We are further told that Sarah does not know the reason behind this but told one of her staff to make them because she has been instructed to do so.
We can see that Sarah failed to evaluate a potential ethical issue. She didn't evaluate the effect of what she is doing. In this case, what her boss told her to do could be a case of fraud and she just obliged without asking questions which will put her conscience at ease in case anything happens but the fact that she just did it without asking questions or thinking if what she has done is morally right or wrong, it shows that Sarah failed to evaluate a potential ethical issue.
Here is the answer that completes the statement above.
Regarding the situation of Toby who runs a small deli downtown, if he is already maximizing his profits, therefore, we can say that the number or amount of delis will soon increase or rise. Hope this answers your question.