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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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Your uncle will sell you his bicycle shop for $170,000, with "seller financing," at a 6.0% nominal annual rate. The terms of the

olga_2 [115]

Answer:

The equal monthly payment is $3,068.20

Explanation:

The equally monthly payments can be computed using the pmt formula in excel.

=pmt(rate,nper,pv,fv)

rate is the monthly nominal rate of 6%/12=0.5%

nper is the number of monthly payments required which is 4*12=48

pv is the current value of the bicycle of $170,000

fv is the worth balance of the financing arrangement at the end of fourth year that should be paid once ,$50,000 balloon payment

=pmt(0.5%,48,-170000,50000)

=$3,068.20

Note that the interest is one month interest rate as the payment is expected monthly.

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2 years ago

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Hampton Industries had $61,000 in cash at year-end 2017 and $27,000 in cash at year-end 2018. The firm invested in property, pla

Vaselesa [24]

Answer:

Cash flow from operating activities = ($34,000)

Explanation:

Cash flow statement has three levels of activity. These are-

a) Cash flow from operating activities;

b) Cash flow from investing activities;

c) Cash flow from financing activities;

By adding up those three activities, we can get the changes in cash at the end of the period. Or, we can find the cash amount which is shown in the Balance sheet.

Since, cash flow from investing and financing activities are given, we need to calculate the cash flow from operating activities.

We know, Cash flow from operating activities

+ Cash flow from investing activities

+ Cash flow from financing activities

= Changes in cash

Again, Changes in cash = Cash at the ending period - Beginning cash

Putting the values,

Cash flow from operating activities + ($150,000) + $150,000 = $27,000 - $61,000

Cash flow from operating activities = ($34,000)

<em>Note: Brackets indicate "minus".</em>

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2 years ago

Josh wants to convey his best wishes to Jonathan for a meeting scheduled later during the day. Which business document would be

Luba_88 [7]

To convey his best wishes to Jonathan for a meeting scheduled later in the day, the business document that would be most appropriate in this scenario would be an email.

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2 years ago

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Brief Exercise 5-8 Cullumber Company has a unit selling price of $630, variable costs per unit of $300, and fixed costs of $327,

IRISSAK [1]

Answer:

(a)

Mathematical Equation for break-even

F = QP - QV

Where

F = fixed cost

Q = Break-even quantity

P = Selling price

V = Variable cost

F = Q ( P - V )

Q = F / ( P - V )

Q = $327,030 / ( $630 - $300 )

Q = $327,030 / $330

Q = 991 units

(b)

Contribution Margin = Price per unit - Variable cost per unit

Contribution Margin = $630 - $300 = $330

Break-even Point in Units = Fixed Cost / Contribution margin per unit

Break-even Point in Units = $327,030 / $330 = 991 units

Explanation:

Mathematical equation use the the break-even equation which represent the behavior of each element towards the break-even point.

Contribution per unit method use the contribution of each unit to calculate the break-even point.

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2 years ago

Angie owns numerous strip malls. A major tenant of one of the strip malls wanted to cancel its lease because it was moving to an

Vlad [161]

Answer:

1. To determine whether she is in the business of being a person who LEASE out property as well as what will be her TAX BASIS for the lease.

2. Ordinary income of $60,000

Explanation:

1. Based on the information given the factors that she should consider in order to determine the amount as well as the character of her income from these circumstances is to determine whether she is in the business of being a person who LEASE out property as well as what will be her TAX BASIS for the lease.

b. Based on the information given we were told that the tenant paid her the amount of $60,000 in order to cancel its obligations under the lease which means that the amount and character of her income from the cancelled lease will be ORDINARY INCOME of the amount of $60,000 which we were told the tenant paid her in order to cancel its obligations under the lease.

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