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2 years ago

Rath Company provided the following information:

Business

1 answer:

Anit [1.1K]2 years ago

7 0

Answer:

The correct answer is $8,316( Unfavorable) and $10,500 ( Favorable).

Explanation:

According to the scenario, the computation of the given data are as follows:

Actual Variable OH AH × SVOR SH × SVOR

$222,816 $57,200×$3.75 = $214,500 $60,000×$3.75 = $225,000

Variable OH spending variance Variable OH efficiency variance

$214,500 - $22,816) $225,000 - $214,500

= $8,316( Unfavorable) = $10,500 ( Favorable)

Hence, Variable OH spending variance = $8,316( Unfavorable)

And Variable OH efficiency variance = $10,500 ( Favorable)

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Cox Engineering performs cement core tests in its laboratory. The following standards have been set for each core test performed

MA_775_DIABLO [31]

Answer:

1200 U

Explanation:

Standard of material usage:

Material required 3 pounds per test

2000 core tests performed

Standard usage : 2,000 test * 3 pound per test = 6000 pounds

Actual usage of material = 7,200

Variance = 1,200 unfavorable.

5 0

2 years ago

Petra is paying her ten employees for 40 hours a week 52 weeks each year. In 2007 Petra spent___ on wages for her employees each

Alex

Complete question:

Petra owns a coffee shop. She has ten employees.In 2007, she paid her employees minimum wage ($5.85 an hour).In 2008, the minimum wage increased to $6.55 an hour.In 2009, the minimum wage increased to $7.25 an hour. Petra is paying her ten employees for 40 hours a week 52 weeks each year. In 2007 Petra spent___ on wages for her employees each week. When the minimum wage rose in 2009, Petra had to increase her annual budget for wage from 2008 by___

Answer: $2340 ; $14,560

Explanation:

Given the following :

2007 minimum wage = $5.85/ hour

2008 minimum wage = $6.55/ hour

2009 minimum wage = $7.25/ hour

Number of Employees = 10

Number of hours = 40 hours per week for 52 weeks

Amount spent on wages per week in 2007:

Minimum wage × number of employees × number of hours per week

= $5.85 × 10 × 40 = $2340

B.)

wage increase between 2008 - 2009:

$7.25/hour - 6.55/hour = $0.7/hour

Therefore, increase in annual budget equals:

Wage increase × number of employees × number of hours per week × number of weeks

= $0.7 × 10 × 40 × 52 = $14,560

8 0

2 years ago

Read 2 more answers

Dan Bumblauskas is the owner of a small Iowa company that produces electric knives used to cut fabric. The annual demand is for

Lena [83]

Answer:

1,012.36 knives produced in each month

Explanation:

Data provided in the question

Annual demand = 10,500

Ordering cost = $85

Holding cost = $1.10

Daily demand = 70 knives per day

Production knives per day = 190 knives

Based on the given information, we need to apply the formula which is shown below: $Economic\ order\ quantity = \sqrt{\frac{2\times annual\ demand \times ordering\ cost}{holding\ cost} \times 1 - \frac{daily\ demand}{production}$

$Economic\ order\ quantity = \sqrt{\frac{2\times 10,500 \times\$85}{\$1.10} \times 1 - \frac{70}{190}$

= 1,012.36 knives produced in each month

We simply applied the above formula to find out the knives produced in each batch

3 0

2 years ago

Information from the operating budgets of Roswell Fabricators follows: Selling and administrative expenses $ 140,000 Factory ove

elena55 [62]

Answer:

Budgeted net income=$77,000

Explanation:

Budgeted net income=Total income/Earnings-Deductions/expenditure-income tax

where;

Expenditures;

Selling and administrative expenses=140,000

Factory overheads=200,000

Cost of goods sold=450,000

Capital expenditures=100,000

Total expenditure=Selling and administrative expenses+factory overheads+cost of goods sold+capital expenditures

replacing;

Total expenditure=(140,000+200,000+450,000+100,000)=$ 890,000

Earnings;

Total income/earnings=1,000,000

Income tax=30%of net income

net income=Total income-expenditure=(1,000,000-890,000)=110,000

Income tax=(30/100)×110,000=33,000

Replacing in the expression;

Budgeted net income=Total income/Earnings-Deductions/expenditure-income tax

Budgeted net income=1,000,000-890,000-33,000=77,000

Budgeted net income=$77,000

6 0

2 years ago

Ferris Company reported the following on its balance sheet: total contributed capital of $186,000, treasury stock of $19,500 and

Ugo [173]

Answer:

The total stockholder's equity reported on the balance sheet at the end of that year was $512,000

Explanation:

According to the given data we have the following:

Beginning Stockholders’ Equity = $237,500

Net Income = $75,000

Dividends declared = $20,500

In order to calculate the total stockholders' equity at the end of the year we would have to calculate first the Proceed from Issuance of Common Stock as follows:

Proceed from Issuance of Common Stock = Number of shares issued * Market Price per share

Proceed from Issuance of Common Stock = 5,000 * $44

Proceed from Issuance of Common Stock = $220,000

Therefore, to calculate the total stockholders' equity at the end of the year we would have to use the following formula:

Ending Stockholders’ Equity = Beginning Stockholders’ Equity + Proceed from Issuance of Common Stock + Net Income - Dividends declared

Ending Stockholders’ Equity = $237,500 + $220,000 + $75,000 - $20,500

Ending Stockholders’ Equity = $512,000

The total stockholder's equity reported on the balance sheet at the end of that year was $512,000

3 0

2 years ago