Answers
Answer: D. Income would increase by about 51%
Explanation:
Income before sales increase:
= Sales - Variable costs - Fixed costs
= (8 * 14,000 units) - ( (1.20 + 0.40) * 14,000 units) - (40,000 + 32,000)
= 112,000 - 22,400 - 72,000
= $17,600
Income after sales increase:
New sales = 14,000 * (1 + 10%) = 15,400 units
= (8 * 15,400) - ( (1.20 + 0.40) * 15,400) - (40,000 + 32,000)
= $26,560
Percentage increase:
= (26,560 - 17,600) / 17,600
= 50.9%
= 51%
Related Questions
During the year, Hamlet Inc. paid $22,000 to have bond certificates printed and engraved, paid $120,000 in legal fees, paid $18,000 to a CPA for registration information, and paid $280,000 to an underwriter as a commission. What is the amount of bond issue costs
Answers
Answer:
the issuance cost of the amount of the bond is $440,000
Explanation:
The computation of the issuance cost of the amount of the bond is given below:
Bond Certificate printing cost $22,000
Legal fees paid $120,000
CPA registration $18,000
Underwriting Commission $280,000
Total Bond issue costs $440,000
Hence, the issuance cost of the amount of the bond is $440,000
Match each example to the appropriate term.
a. Trees used to make paper
1. Human capital
2. Technological knowledge
3. Physical capital
b. A printing press used to make books.
1. Human capital
2. Technological knowledge
3. Physical capital
c. A method of organizing workers to increase production per hour.
1. Human capital
2. Technological knowledge
3. Physical capital
d. The skills workers learn during a training session.
1. Human capital
2. Technological knowledge
3. Physical capital
Answers
Answer:
a equals 3
b equals 3
c equals 1
d equals 2
Describe how an unrelated tenant in common or joint tenant should protect him- or herself from potential liability (for negligence, injury to guests, or casualty loss) if his or her fellow tenants are not willing to buy insurance to do so?
Answers
Answer:
Tenancy in common
Explanation:
This tenant could use a legal agreement known as Tenancy in common. This agreement is established between two people who are co-tenants of a residence, but while one person is interested in purchasing insurance to protect themselves from potential liability, the other tenant is not willing to purchase insurance. In this case, Tenancy in common, allows only one of the tenants to have support with the right of survivorship and in case that tenant dies, the right will not pass to the other tenant.
A local moving company has collected data on the number of moves they have been asked to perform over the past three years.Moving is highly seasonal,so the owner/operator,who is both burly and highly educated,decides to apply the multiplicative seasonal method (based on a linear regression for total demand)to forecast the number of customers for the coming year.What is his forecast for each quarter?
Year 1 Year 2 Year 3
Quarter Demand Quarter Demand Quarter Demand
1 20 1 27 1 33
2 40 2 45 2 45
3 45 3 55 3 55
4 30 4 40 4 40
Answers
Answer:
NO SE
Explanation:
Copy equipment was acquired at the beginning of the year at a cost of $50,320 that has an estimated residual value of $4,600 and an estimated useful life of 5 years. It is estimated that the machine will output an estimated 1,143,000 copies. This year, 288,000 copies were made. a. Determine the depreciable cost. $fill in the blank 1 b. Determine the depreciation rate. Round your answer to two decimal places. $fill in the blank 2 per copy c. Determine the units-of-output depreciation for the year
Answers
Answer:
Annual depreciation= $11,520
Explanation:
Giving the following information:
Purchase price= $50,320
Salvage value= $4,600
Estimated copies= 1,143,000
First, we need to calculate the depreciable value:
Depreciable value= purchase price - salvage value
Depreciable value= 50,320 - 4,600
Depreciable value= $45,720
Now, the depreciable rate:
Depreciable rate= depreciable value / /useful life of production in copies
Depreciable rate= 45,720/1,143,000
Depreciable rate= $0.04 per copie
Finally, the annual depreciation:
Number of copies= 288,000
Annual depreciation= 0.04*288,000
Annual depreciation= $11,520
Waterway Industries started the year with total assets of $314000 and total liabilities of $254000. During the year the business recorded $626000 in revenues, $327000 in expenses, and dividends of $61000. The net income reported by Waterway Industries for the year was
Answers
Answer:
the net income reported by Waterway Industries for the year was $299,000
Explanation:
The computation of the net income reported is as follows:
As we know that
Net income = Revenue - expenses
= $626,000 - $327,000
= $299,000
hence, the net income reported by Waterway Industries for the year was $299,000
The same should be considered
A company's flexible budget for 12,000 units of production showed total contribution margin of $24,000 and fixed costs, $16,000. The operating income expected if the company produces and sells 15,000 units is:________
a) $34,000.
b) $10,000.
c) $18,667.
d) $8,000.
e) $14,000.
Answers
Answer:
e. $14,000
Explanation:
Operating income for 15,000 units = Proportionate contribution - Fixed cost
Operating income for 15,000 units = [($24,000/12,000)*15,000] - $16,000
Operating income for 15,000 units = $30,000 - $16,000
Operating income for 15,000 units = $14,000
So, the operating income expected if the company produces and sells 15,000 units is $14,000.
Pop owns 87% of the common stock of Sugar. On December 31, 2017, Pop's Receivables include $296,880 that Pop advanced to Sugar. What portion (stated in dollars) of the intercompany receivable should be eliminated in preparing Pop's consolidated financial statements
Answers
Answer: $296,880
Explanation:
Pop owns more than 50% of Sugar which means that Sugar is a subsidiary of Pop's. When this happens, trade between the two are not shown in the consolidated financial statement unless the goods traded have been sold off to a third party.
As these goods have not, and are still considered accounts receivable to Sugar, the entire amount will be removed from the consolidated financial statements.
Preparing an Accounts Payable Schedule Wight Inc. purchases raw materials on account for use in production. The direct materials purchases budget shows the following expected purchases on account: April $374,000 May 412,000 June 415,900 Wight typically pays 25% on account in the month of billing and 75% the next month.
Required:
1. How much cash is required for payments on account in May?
2. How much cash is expected for payments on account in June?
Answers
Answer:
Wight Inc.
1. The cash required for payments on accounts in May
= $383,500
2. The cash required for payments on accounts is:
= $412,975
Explanation:
a) Data and Calculations:
April May June
Expected purchases on account $374,000 $412,000 $415,900
Cash Payments:
Month of billing (25%) $93,500 $103,000 $103,975
Next month (75%) 280,500 309,000
Cash required for payments on accounts $383,500 $412,975
A producer of fixed proportion goods X and Y (Q = Qx = Qy) has marginal costs and revenues of MC = 10 Q, MRX = 150 - 6 QX, MRy = 30 - 4 Qy. The producer should produce how many units?
a. Qx =9, Qy=9
b. Qx = 9, Qy = 7.5
c. Qx = 10, Qy = 10
d. Qx = 9, Qy=0
Answers
Answer:
a. Qx =9, Qy=9
Explanation:
As per the given data
Q = QX = QY
MRX = 150 - 6QX = 150 - 6Q
MRY = 30 - 4QY = 30 - 4Q
MC = 10Q
Now calculate the Marginal revenue as follow
MR = MRX + MRY
MR = 150 - 6Q + 30 - 4Q
MR = 150 + 30 - 6Q - 4Q
MR = 180 - 10Q
The Equilibrium of the producer will be
MR = MC
180 - 10Q = 10Q
180 = 10Q + 10Q
180 = 20Q
Q = 180 / 20
Q = 9
As we know
Q = Qx = QY
Hence, the value of Qx and QY is 9
Question 8
Critics of advertising argue that in some markets advertising may
A attract products of lower quality into the market.
B attract less informed buyers into the market.
C decrease elasticity of demand allowing firms to charge a larger markup over marginal cost.
D enhance competition in markets to an unnecessary degree.
Question 9
Answers
Answer:
C decrease elasticity of demand allowing firms to charge a larger markup over marginal cost.
Explanation:
The following information relates to last year's operations at the Legumes Division of Gervani Corporation: Minimum required rate of return 12% Return on investment (ROI) 15% Sales $ 900,000 Turnover (on operating assets) 3 times What was the Legume Division's net operating income last year
Answers
Answer: $45000
Explanation:
Firstly, the operating asset will be calculated which will be:
Operating asset = Sales / Turnover
= 900,000/3
Operating assets = $300,000
Then, the net operating income will be: Return on investment × Operating assets
Net operating income = 300,000 × 15%
= 300,000*0.15
= $45,000
Therefore, Legume Division's net operating income last year is $45000
giải hộ em câu THUẾ này nói về đúng hay sai và giải thích , đưa ra lời giải giúp em ạ , em cám ơn mọi người ạ
DN nhập một lô hàng với số lượng là 10.000sp A; theo giá FOB cảng nước XK 1usd/sp. chi phí vận tải F và BHQT I phải trả bằng 20% giá nhập của lô hàng. tỷ giá hối đoái tính thuế 20.000 vnđ/usd. Thuế suất TNK 20% (TNK được giảm 20% số thuế phải nộp) , TTTDB 15%, TGTGT 10%. TNK, TGTGT, TTTĐB phải nộp của lô hàng A này lần lược là : 38.400.000 đ; 27.840.000đ; 45.936.000đ.
Answers
Explanation:
giải hộ em câu THUẾ này nói về đúng hay sai và giải thích , đưa ra lời giải giúp em ạ , em cám ơn mọi người ạ
DN nhập một lô hàng với số lượng là 10.000sp A; theo giá FOB cảng nước XK 1usd/sp. chi phí vận tải F và BHQT I phải trả bằng 20% giá nhập của lô hàng. tỷ giá hối đoái tính thuế 20.000 vnđ/usd. Thuế suất TNK 20% (TNK được giảm 20% số thuế phải nộp) , TTTDB 15%, TGTGT 10%. TNK, TGTGT, TTTĐB phải nộp của lô hàng A này lần lược là : 38.400.000 đ; 27.840.000đ; 45.936.000đ.
Magazine sells subscriptions for for issues. The company collects cash in advance and then mails out the magazines to subscribers each month. Apply the revenue recognition principle to determine a. when Magazine should record revenue for this situation. b. the amount of revenue Magazine should record for issues. a. Seacoast Magazine should record revenue whe
Answers
Answer:
a. It should record revenue on a monthly basis
The Revenue Recognition principle in accounting posits that revenue should only be recognized after the goods and services that the revenue was paid for, have been delivered.
Seacoast Magazine has not delivered the magazine and will do so monthly for 18 months. It should therefore apportion profits to those months and only recognize the profit after the magazines are delivered.
b. Amount of revenue for 8 issues:
= 36/ 18 issues * 8 issues
= 2 * 8
= $16
Identify the situation below that will result in a favorable variance.
a. Actual costs are higher than budgeted costs.
b. Actual income is lower than expected income.
c. Actual expenses are higher than budgeted expenses.
d. Actual revenue is higher than budgeted revenue.
e. Actual revenue is lower than budgeted revenue.
Answers
Answer:
d. Actual revenue is higher than budgeted revenue.
Explanation:
When the Actual income/revenue/benefit is higher than the budgeted/estimated income/revenue/benefit, the variance will be favorable.
When the Actual income/revenue/benefit is lower than the budgeted/estimated income/revenue/benefit, the variance will be unfavorable.
When the Actual expense/cost/loss is higher than the budgeted/estimated expense/cost/loss, the variance will be unfavorable.
When the Actual expense/cost/loss is lower than the budgeted/estimated expense/cost/loss, the variance will be favorable.
a.
As the actual cost incurred is higher than the cost estimated, then the variance in both costs is unfavorable.
b.
As the actual Income earned is lower than the income estimated, then the variance in both incomes is unfavorable.
c.
As the actual expense incurred is higher than the expense estimated, then the variance in both expenses is unfavorable.
d.
As the actual revenue incurred is higher than the revenue estimated, then the variance in both revenues is favorable.
e.
As the actual revenue earned is lower than the revenue estimated, then the variance in both revenues is unfavorable.
Ms. Colonial has just taken out a $150,000 mortgage at an interest rate of 6 percent per year. If the mortgage calls for equal monthly payments for 20 years, what is the amount of each payment? (Assume monthly compounding or discounting.)
How do you solve this w/o a financial calculator?
Answers
Answer:
1. The monthly payment is:
= $1,074.65
2. To solve this without a financial calculator, you will calculate the future value of the $150,000 at a discount rate of 0.5% (6%/12) for 240 months. Then the calculated Future Value is divided by 240 to obtain the monthly payment.
Explanation:
a) Data and Calculations:
Mortgage = $150,000
Interest rate = 6% per year
Monthly payments = 240 (20 * 12)
Period of mortgage = 20 years
N (# of periods) 240
I/Y (Interest per year) 6
PV (Present Value) 150000
FV (Future Value) 0
Results
PMT = $1,074.65
Sum of all periodic payments = $257,915.18
Total Interest = $107,915.18
Without a financial calculator (using future value table):
Future value factor of 0.5% for 240 = 1.7194345
Future value of $150,000 = $257,915.18 ($150,000 * 1.7194345)
Monthly payment = $1,074.65 ($257,915/18/240)
Air Destinations issues bonds due in 10 years with a stated interest rate of 11% and a face value of $500,000. Interest payments are made semi-annually. The market rate for this type of bond is 12%. Using present value tables, calculate the issue price of the bonds
Answers
Answer: $471,324.61
Explanation:
Price of a bond = Present value of coupon payments + Present value of face value at maturity
Coupon payments = 500,000 * 11% * 1/2 years = $27,500
Periodic yield = 12%/ 2 = 6% per semi annual period
Periods = 10 * 2 = 20 semi annual periods
Coupon payment is constant so it is an annuity.
Price of bond = Present value of annuity + Present value of face value at maturity
= (Annuity * Present value interest factor of Annuity, 6%, 20 years) + Face value / (1 + rate) ^ number of periods
= (27,500 * 11.4699) + 500,000 / (1 + 6%)²⁰
= $471,324.61
Multitasking refers to :_____________
a. the skill of coordinating the completion of multiple health projects at the same time.
b. a specific committee structure that allows for various committee members to function in different capacities to conduct committee work.
c. a type of professional preparation that prepares health education students to work in various settings such as schools, public health departments, and corporations.
d. the skill to utilize multiple computer programs at the same time
Answers
Answer:
the answer would be d
Explanation:
Multitasking involves overlapping and interleaving the execution of several programs
Bob has saved $30 per week to buy a new Blu-ray player. He compares two different models: a Panaview that is priced at $130 and a Zony model that is priced at $140. Bob decides to purchase the Zony Blu-ray player for $140. Identify what role money plays in each of the following parts of the story.
a. Sean can easily determine that the Panaview model has a lower price than the Zony model.
b. Sean saved $30 per week.
c. Sean pays $140 for the Blu-ray player.
Answers
Answer and Explanation:
The categorization is as follows:
a. It is a unit of account as it determined the panaview model along with the zony model plus the comparison is also there
b. It is the store of value because the saving should be the similar value over the time
c. It is the medium of exchange as he has purchased the player where the money is exchanged with the product
In this way it should be categorized
Selling price $220 per unit
Variable production costs $90 per unit produced
Variable selling and admin. expenses $25 per unit sold
Fixed production costs $600,000
Fixed selling and admin. expenses $400,000
Units produced 12,000 units
Units sold 11,500 units
There were no beginning inventories.
Required:
Compute Arrow's operating income for the month of May using the variable-costing method.
Answers
Answer:
Net operating income= $207,500
Explanation:
The variable costing method incorporates all variable production costs (direct material, direct labor, and variable overhead).
First, we will determine the total unitary variable overhead:
total unitary variable overhead= 90 + 25= $115
Now, we can calculate the total contribution margin:
Total CM= 11,500*(220 - 115)
Total CM= $1,207,500
Finally, the net operating income:
Net operating income= 1,207,500 - 600,000 - 400,000
Net operating income= $207,500
On January 1, 2021, G Corp. granted stock options to key employees for the purchase of 87,000 shares of the company's common stock at $26 per share. The options are intended to compensate employees for the next two years. The options are exercisable within a four-year period beginning January 1, 2023, by the grantees still in the employ of the company. No options were terminated during 2021, but the company does have an experience of 6% forfeitures over the life of the stock options. The market price of the common stock was $32 per share at the date of the grant. G Corp. used the Binomial pricing model and estimated the fair value of each of the options at $8. What amount should G charge to compensation expense for the year ended December 31, 2021
Answers
Answer:
the compensation expense for the year is $327,120
Explanation:
The computation of the compensation expense for the year is given below:
= (Number of stock options to be purchased × (1 - forefeiture percentage) × fair value per option)) ÷ 2
= (87,000 shares × (1 - 0.06) × $8)) ÷ 2
= $327,120
Hence, the compensation expense for the year is $327,120
The same should be considered and relevant too
The purpose of rough cut capacity planning is to: Select one: a. place a time fence around the MPS. b. determine a production schedule that offers a rough order of magnitude. c. cut excess capacity from the MPS. d. assess the feasibility of the MPS. e. govern the length of the execution cycle.
Answers
Answer:
The answer is "Option d".
Explanation:
To compute the estimated work on master capacity planning, the objective of basic resource allocation is utilized. It is then contrasted to a proven ability that enhances organizational MPS feasibility.
It verifies that you have enough ability at your disposal that satisfy the needs of your master's programs. It is a tool in long-term production scheduling for marketing and production to accomplish the ratio of the capacity required and accessible and to manage changes in the plan and/or looking.
Angelika is the Chief Operating Officer of One Spice Inc., a firm that grows and processes the Naga Viper pepper, one of the world's hottest peppers. Angelika wants to better understand the relationship between her firm's organizational culture and the ability to achieve competitive advantage. The relationship between these two states that:______.
a. having a strong culture leads to achieving a competitive advantage only when companies are pursuing a cost leadership strategy.
b. a firm can achieve a competitive advantage when their organizational culture follows the VRIO principles.
c. having a strong culture leads to a competitive advantage only when companies are pursuing a differentiation strategy.
d. having a strong culture always leads to achieving a competitive advantage because it leads to greater employee engagement.
Answers
The relationship between two states that having a strong culture leads to a competitive advantage only when companies are pursuing a differentiation strategy.
What is the term Competitive advantage about?
Competitive advantage refers to a manner in which rivalry between rivals can be created. The benefit for the consumer is improved by both lower prices and more advantages and services which support higher pricing.
In general, there are four possible ways for a company to differentiate–becoming the cost leader in a small or wide range of business activities (i.e., being the cheapest producer in the industry), and becoming a differentiation leader (i.e. competing in areas other than price valued by customers).
Therefore, correct option is C.
Learn more about competitive advantage , refer to the link:
https://brainly.com/question/5647002
The language of price controls
Suppose that, in a competitive market without government regulations, the equilibrium price of milk is $2.50 per gallon.
Complete the following table by indicating whether each of the statements is an example of a price ceiling or a price floor and whether it is binding or non-binding.
Statement Price Control Binding or Not
The government prohibits grocery stores from selling
milk for more than $2.30 per gallon.
The government has instituted a legal minimum price
of $2.30 per gallon for milk.
Due to new regulations, grocery stores that would like
to pay better wages in order to hire more workers are
prohibited from doing so.
Answers
Answer:
Price ceiling binding
price floor non binding
price ceiling binding
Explanation:
A price floor is when the government or an agency of the government sets the minimum price of a product. A price floor is binding if it is set above equilibrium price.
The minimum price is $2.30 which is less than the equilibrium price of $2.50. Thus, its a non binding price floor
Price ceiling is when the government or an agency of the government sets the maximum price for a product. It is binding when it is set below equilibrium price.
Effects of a binding price ceiling
1. It leads to shortages
2. it leads to the development of black markets
3. it prevents producers from raising price beyond a certain price
4. It lowers the price consumers pay for a product. This increases consumer surplus
the maximum price is 2.30 which is less than the equilibrium price of $2.50. Thus, its a binding price ceiling
Aber Inc. plans to develop a shopping center. In the first quarter, they spent the following amounts: Acquisition of land $15000 Surveys and legal fees 600 Land clearing 200 Fencing 1000 Install lighting and signage 860 What amount should be recorded as the cost of land in the books of the corporation
Answers
Answer: $15,800
Explanation:
When it comes to fixed assets like land, all costs that were necessary to acquire the land and to get it ready for use are capitalized - included in the cost of the fixed assets.
Cost of land = Acquisition cost + Surveys and legal fees + Land clearing to get it ready for use
= 15,000 + 600 + 200
= $15,800
Using the reciprocal services method, which of the following equations represents the algebraic expressions for the two equations needed to capture the total costs of a Janitorial Department (J) that includes not only $500,000 of direct costs but also 20% of the Maintenance Department (M) cost and a Maintenance Department that includes not only $250,000 of direct costs but also 40% of the Janitorial Department? (Hint: This equation is derived from the two separate equations representing each department's costs.)
Answers
a. J = ($500,000 × 0.20) + [($250,000 × 0.20) + J]
b. J = $500,000 – (0.20 × $250,000) – (0.20 × J)
c. J = $500,000 + [(0.20 ÷ $250,000) + (0.40 ÷ J)]
d. J = $500,000 + {0.20 × [$250,000 + (0.40 × J)]}
Answer:
The equation that represents the algebraic expressions for the two equations needed to capture the total costs of the Janitorial Department is:
d. J = $500,000 + {0.20 × [$250,000 + (0.40 × J)]}
Explanation:
a) Data and Calculations:
Direct costs Percent of Service Dept.
Janitorial Department (J) $500,000 20% of M
Maintenance Department (M) $250,000 40% of J
b) The reciprocal services method reapportions the costs of the service departments to other service departments using a system of simultaneous equations. With its complications, the reciprocal method is the most accurate and equitable method for apportioning service departments' costs to production departments.
The descriptive term used to explain how people, businesses, and countries around the world are more interdependent because of the changes in forces like transportation, media, technology, and global finance is ________.
Answers
Answer:
Globalization
Explanation:
Globalization can be regarded as process which involves integration as well as interaction of people across the globe as well as companies and governments across the world. Globalization has improved as result of advances in transportation as well as communication technology which makes the to come together.
It should be noted that Globalization explained how people, businesses, and countries around the world are more interdependent because of the changes in forces like transportation, media, technology, and global finance.
Terry estimates that the costs of insurance, license, and depreciation to operate his car total $460 per month and that the gas, oil, and maintenance costs are 34 cents per mile. Terry also estimates that, on average, he drives his car 2,000 miles per month. Required: a. How much cost would Terry expect to incur during July if he drove the car 1,534 miles
Answers
Answer:
Total cost= $984.62
Explanation:
Giving the following information:
Fixed cost= $460
Unitary variable cost= $0.34 per mile
Miles driven= 1,534
First, we need to establish the total cost formula:
Total cost= fixed cost + unitary variable cost*number of units
Total cost= 460 + 0.34*x
x= number of miles
Now, the total cost for the month:
Total cost= 460 + 0.34*1,543
Total cost= $984.62
Pick the correct statement related to net working capital from below. Multiple Choice Net working capital can be ignored in project analysis because any expenditure is normally recouped at the end of the project. Net working capital requirements, such as an increase in accounts receivable, create a cash inflow at the beginning of a project. Net working capital is rarely affected when a new product is introduced. Net working capital can create either an initial cash inflow or outflow. Net working capital is the only expenditure where at least a partial recovery can be made at the end of a project.
Answers
Answer:
Net working capital is the only expenditure where at least a partial recovery can be made at the end of a project.
Explanation:
Net working capital is the difference between current assets and current liabilities. Net working capital measures a company's liquidity.
In project analysis, net working capital is part of the cost. It is usually subtracted from cash inflows.
Net working capital is a cash outflow.
Net working capital is the only expenditure where at least a partial recovery can be made at the end of a project.
1. Costs that do not change with the change in the level of production for some time is classified as ________.
a. variable costs.
b. fixed costs.
c. mixed costs.
d. none of these choices are correct.
2. Under variable costing, the cost of goods manufactured consists of all except:_____.
a. direct materials.
b. direct labor.
c. variable factory overhead.
d. fixed factory overhead.
3. Costs that have characteristics of both a variable cost and a fixed cost are classified as ________.
a. variable costs.
b. fixed costs.
c. mixed costs.
d. none of these choices are correct.
Answers
Answer:
1. b. fixed costs.
2. d. fixed factory overhead.
3. c. mixed costs.
Explanation:
Costs are usually classified as fixed and variable cost. Fixed cost are cost that don not vary with the level of activities (usually expressed as units of production or sales) of an organization.
Variable cost on the other hand are cost that varies with the level of activity. A combination of these cost is called mixed cost.
Under variable costing, all cost are dependent on activity level hence are not fixed.
