Answer:
3,825.2 labor hours
Explanation:
Learning rate (Unit 1 and unit 2):
= Labor hour required for 2nd unit ÷ Labor hour required for 1st unit
= 1,200 ÷ 2,000
= 0.60
Learning rate (Unit 2 and unit 3):
= Labor hour required for 3rd unit ÷ Labor hour required for 2nd unit
= 1,130 ÷ 1,200
= 0.94
Average of learning rates = (0.60 + 0.94 ) ÷ 2
= 0.77
As per learning curve calculator the value of 77% for 6 units = 4.0776
Cumulative time = Factor × Time of first unit
= 4.0776 × 2,000
= 8,155.2
Hence,
Time for next three units:
= Cumulative time - Sum of the time of first, second and third unit
= 8,155.2 - (2,000 + 1,200 + 1,130)
= 3,825.2 labor hours should Simpson plan for.
Answer:
Explanation:
Journalize the transactions. Refer to the Chart of Accounts for exact wording of account titles. Assume a 360-day year.
The solution to the above has been attached.
b. Journalize the adjusting entry for each of the following accrued expenses at the end of the current year (refer to the Chart of Accounts for exact wording of account titles):
The solution to the question has been attached.
It should be noted that:
March 11: Interest Expense was calculated as:
= ($240,000 × 30/360 × 4%)
= $240,000 × 0.0833 × 0.04
= 800
Check the attached file
Available Options are:
Fax machines
Printers
Smartphones
Video or audio conferencing machines
Answer:
All of the above except Printers
Explanation:
The reason is that printers are very important part of administration work so its more likely that we already have one. However it is possible that we don't have any fax machine, smartphones and video or audio conferencing machines as these are rarely used by the administration. So Printers will not be bought oor rented.
Answer:
Operating cash flow = $21,554
Explanation:
Operating cash flow, will include all operating expenses and revenues which have a cash effect.
Annual revenue = $87,200
Less: Cost of goods sold = $54,700
Gross Profit = $32,500
Less: Administrative Expense = $8,300
Less: Income Tax = $2,646
Operating cash flow = $21,554
Note: Since depreciation is a non cash expense it will not b considered.
Answer:
= $132,000.
Explanation:
There are two types of fixed costs, general fixed cost and specific fixed cost.
<u><em>General fixed costs </em></u><em>are those that cannot be traced to a specific product rather they are incurred for the benefit of all of the product being produced. For example,the rent of the factory where three products are being produced</em>
So they are unavoidable should a product be ceased for production that is they would still be incurred either way.
<u>S</u><u><em>pecific fixed costs </em></u><em>are those incurred specifically for a particular product and as such they would be saved should the product be discontinued. For example , if a special machine that cost $4000 a month to rent is used to produce a product. The $4000 would be saved should the production of the product ceases</em>
The net operating cost of the company would increase by the amount of the avoidable specific fixed cost:
=$90,000 + $42,000
= $132,000.
