Answer:
Given:
Demand = 15,000
Initial investment = $256,000
Variable cost = $15
Selling price = $30
Here, we'll first compute break-even quantity :
i.e. 


From above we can state that the demand is less than break-even quantity i.e. in this case the organization will not be able to recover the investment made.
<u><em>Therefore, the company's total margin will be less than its investment. </em></u>
<u><em>The correct option is (b)</em></u>
Answer:
The correct answer is option (A) $42.00
Explanation:
Solution
Given that:
The established rate is given as = 100,000/40,000
= $2.5 per hour
Thus
The cost of the job is shown is shown below:
The direct material = $5,000
The direct labor = $2400
Then
The manufacturing overheard is = 400 * 2.5 = $1,000
So,
The total cost is = $5,000 + $2400 + $1000 = $8,400
To get our unit cost,
Unit cost = $8400/200 = $42.00
It is important to know that, the number of labor hours used in jobs = Total labor cost/Rate per hour
=2,400/6 = 400 hours
Answer:
The correct answer is A.
Explanation:
Giving the following information:
Activity Cost Pool Activity Measure Total Cost Total Activity
Machining Machine-hours $330,000 15,000 MHs
To calculate the predetermined manufacturing overhead rate we need to use the following formula:
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
<u>Machinning:</u>
Predetermined manufacturing overhead rate= 330,000 / 15,000
Predetermined manufacturing overhead rate= $22 per machine-hour
<u>Machine setups:</u>
Number of setups $50,000 100 setups
Predetermined manufacturing overhead rate= 50,000/100
Predetermined manufacturing overhead rate= $500 per set-up
Answer:
Answer is $10,500.
Refer below.
Explanation:
Camille's Café is considering a project that will not produce any sales but will decrease cash expenses by $12,000. If the project is implemented, taxes will increase from $23,000 to $24,500 and depreciation will increase from $4,000 to $5,500. The amount of the operating cash flow using the top-down approach is:
$10,500
Hey there!
Beginning: $4,200
Deposit in transit: not counted for ACB
Check printing charge: -$20
Note collected by bank of whiz: -$1,600
4,200 - 20 - 1,600 = 2,580
Adjusted cash balance = $2,580
Hope this helps!