Answer:The product margin for product M5 is $7,385
Explanation:
To calculate the product margin for product M5,
Processing 3,870 ÷ 9,000
= 0.43 per MH
Supervising 25,000 ÷ 1,000
= $25 per batch
To calculate the overhead cost for product M5
Processing 0.43 per MH × 500
= $215
Supervising $25 per batch × 500 batches
= $12,500
Total = $12,500 + $215
= $12,715
To calculate the product margin for product M5 under activity based costing
$
Sales. 95,400
Less:
Direct materials 32,500
Direct Labour 42,800
----------------
Prime Cost. 75,300
Add: Overhead 12,715
----------------
Total Cost of production. 88,015
-----------------
Product Margin. 7,385
------------------
Answer:
(a) rr: 1/3, cr: 0.5, m:1.8 M: 1800
(b) 1500
(c) 200
Answer:
Option e. is correct
Explanation:
The Terms of Trade is equal to the average price of exports / by the average price of imports. The terms-of-trade refers to the relative price of exports in terms of imports.
Protective effect refers to the wasted resources due to production of good at a higher cost. Consumption effect refers to the loss to consumer due to higher price that leads to less consumption.
Should the home country be "large" relative to the world, its imposition of a tariff on imports would lead to an increase in domestic welfare if the terms-of-trade effect exceeds the sum of the <u>protective effect plus consumption effect</u>
Answer:
$28,700
Explanation:
We know that
Ending work in process inventory = Opening work in process inventory + total manufacturing cost - cost of finished goods manufactured
where,
Total manufacturing cost = cost of direct materials used + direct labor cost + overhead cost
= $408,000 + $56,000 + $72,000
= $536,000
So, the ending work in process inventory would be
= $16,200 + $536,000 - $523,500
= $28,700
Answer:
A. Received cash by issuing common stock
Debit: Cash
Credit: common stock
B. Received cash for services to be performed in the future.
Debit: Cash
Credit: unearned revenue.
C. Paid salaries payable
Debit: salaries payable
Credit: cash
D. Provided services on account.
Debit: accounts receivable
Credit: service revenue
E. Paid cash for operating expenses
Debit: operating expenses
Credit: cash
Explanation:
A. Received cash by issuing common stock
Debit: Cash
Credit: common stock
B. Received cash for services to be performed in the future.
Debit: Cash
Credit: unearned revenue.
C. Paid salaries payable
Debit: salaries payable
Credit: cash
D. Provided services on account.
Debit: accounts receivable
Credit: service revenue
E. Paid cash for operating expenses
Debit: operating expenses
Credit: cash
