Answer: Manufacturing overhead for the month was underapplied by $19,000.
Explanation:
From the question, we are informed that before the closing of the overapplied or underapplied balance to cost of goods sold, the total of the debits to the manufacturing overhead account was $75,000 and the total of the credits to the account was $56,000.
This implies that the manufacturing overhead for the month was underapplied by ($75000 - $56000)= $19000. The manufacturing overhead debit balance shows that manufacturing overhead was simply underapplied in this case.
Answer:
The most you can pay for the pitcher is $17.32
Explanation:
A mark up is a percentage that is always applied on the cost to come up at a required gain over cost. The cost is always taken to be 100% when apply a mark up on cost.
If the mark up is of 27% and cost is 100% then a selling price of 22 will be equal to cost + markup.
Let cost be x.
Selling price = Cost + Mark up
22 = 100% * x + 27% * x
22 = 1x + 0.27x
22 = 1.27 x
22/1.27 = x
x = $17.3228 rounded off to $17.32
Answer:
a. True
Explanation:
The sunk cost is the cost that is already incurred and not recovered in the future. Plus, it is also known as past cost.
This cost is not useless at the time of decision-taking so it would be ignored.
In the given question, the market value of the equipment is a sunk cost which determines that it will have no impact on the decision making so at the time of replacing the equipment, it would not be considered
Answer:
Following are the journal entries recorded;
November 12
Debt: Cash Dividend = $45,000
Credit: Dividend Payable = $45,000
Declaration of Cash Dividend is recorded
November 20
No Entry is recorded
December 01
Debt: Dividend Payable = $45,000
Credit: Cash = $45,000
Cash Dividend Payment recorded
The significance of date November 20 is to record the dividend date, the organization regulates the eligibility of the shareholder to collect the dividend
