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2 years ago

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Ensuring Food Establishment interior does notneed repair helps avoid Metaphysica Metaphysical contamination, physical contaminat

ion or chemical contamination

1 answer:

Nookie1986 [14]2 years ago

5 0

Answer:

hhola

Explanation:

qhaceue

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Octavia Corporation uses perpetual FIFO throughout the year to maintain internal records but at the end of the year adjusts thes

Dmitriy789 [7]

Answer:

The journal entry as at the end of the year will be

End of year Debit Cost of Goods Sold $110,000

Credit LIFO Reserve account $110,000

Explanation:

A FIFO method of inventory maintenance is when the first in first out(FIFO) method for inventory utilizations is followed. Here, the oldest inventory is used first followed by the next oldest inventory. Suppose I have in stock inventory purchased in March and May, when the demand for use of inventory arises, the March inventory purchased will be utilized first.

LIFO method works the opposite way. In the above case, when the demand for use of inventory arises, the May inventory purchased will be utilized first.

In this case, FIFO is changed to LIFO method which gives rise to and LIFO reserve account of $50,000/- at the beginning of the year. Through the year, the difference in inventory maintenance method, further increases the LIFO reserve by $60,000/-. Hence the total reserve created due to inventory method change is $50,000+$60,000 = $110,000/-. The change in inventory maintenance will have a direct impact on cost of goods sold(COGS). Hence COGS is debited.

4 0

2 years ago

Read 2 more answers

Dake Corporation's relevant range of activity is 2,000 units to 6,000 units. When it produces and sells 4,000 units, its average

Digiron [165]

Answer:

Instructions are below.

Explanation:

Giving the following information:

When it produces and sells 4,000 units, its average costs per unit are as follows:

Variable manufacturing overhead $1.40

Fixed manufacturing overhead $ 2.60

Units produced= 3,000

<u>To calculate the unitary indirect manufacturing cost, you can use two different methods</u>. The variable method only uses the variable manufacturing overhead. The absorption method uses the total unitary overhead.

Total fixed overhead= 2.6*4,000= 10,400

<u>Variable costing method</u>:

Unitary indirect manufacturing cost= $1.4

<u>Absorption costing method:</u>

Unitary fixed overhead= 10,400/3,000= $3.47

Unitary indirect manufacturing cost= 1.4 + 3.47= $4.87

5 0

2 years ago

Bassett Fruit Farm expects its EBIT to be $373,000 a year forever. Currently, the firm has no debt. The cost of equity is 13.2 p

julia-pushkina [17]

Answer:

The correct answer is $1,836,742.42.

Explanation:

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

EBIT = $373,000

Cost of equity = 13.2%

Tax rate = 35%

So, we can calculate the unlevered value of the firm by using following formula:

Unlevered value of the firm = EBIT × (1 - TAX RATE) ÷ COST OF EQUITY

By putting the value, we get

Unlevered value of the firm = $373,000 × ( 1 - 35%) ÷ 13.2%

= $373,000 × 0.65 ÷ 0.132

= $242,450 ÷ 0.132

= $1,836,742.42

6 0

2 years ago

Solar Hydro manufactures a revolutionary aeration system that combines coarse and fine bubble aeration components. This year (ye

Ierofanga [76]

Answer:

$7,986

Explanation:

To calculate the equivalent annual cost for 5 year period at an interest rate of 10% per year we need to go through some minor calculations first.

DATA

Cost in first year (A) = $10,000

Decrease in cost each year after the first year (G) = $560

Interest rate = 10%

Time period = 5 years

Solution

EAC = A - G (A/G, i, n)

EAC = $9,000 - $560(A/G, 10%, 5)

EAC = $9,000 - ($560 * 1.8101)

EAC = $9,000 - $1,013.656

EAC = $7,986

4 0

2 years ago

Roll over each item on the left to read the description. Identify whether each of the statements is an argument for or an argume

Naya [18.7K]

Answer:

<u>Floating exchange rate</u>

Here the market decides the value of the currency as it trade freely in the market based on supply and demand.

Argument For;

Market Based - It is market based therefore it reflects the true value of the currency.

Argument Against;

Uncertainty - As it trades according to the whims of supply and demand, telling which direction it will go in terms of value is a difficult undertaking therefore financial decisions based on such are riskier.

<u>Fixed exchange rate</u>

Here the value of the currency is fixed either to the value of another currency or to the price of gold.

Argument For;

No Uncertainty - As the currency is tied to another currency which is usually more stable or gold, the rate of the currency is more predictable.

Argument Against;

Unknown Elements

<u>Managed float</u>

In this exchange rate regime, the Central bank of a country intervenes in the Foreign exchange market to push or pull the currency in the direction that it prefers.

Argument For;

Government intervention - The Government Intervention ensures that the currency's value remains stable as well as allowing the Central bank to maintain a good balance of payments.

Argument Against;

Difficult - Maintaining the currency within the band preferred in a difficult undertaking that requires constant intervention in the Forex market.

<u>Pegged exchange rate</u>

The Central bank in this instance pegs the currency to a basket of currencies after setting an exchange rate it would prefer and then intervenes in forex market to keep it that way.

Argument For;

Reduces uncertainty - The movement of the currency is more predictable due to it being pegged to a basket of currencies.

Argument Against;

Continual government intervention - As this requires the currency to remain at a certain value, the government will keep intervening to ensure that it stays at that exact level.

<u>Target zone</u>

Here the Central Bank allows the currency to fluctuate on the market albeit with limits placed on how much it can do so.

Argument For;

Fluctuation with limits - By combining fixed regimes with floating regimes, the currency can maintain a semblance of true value whilst still be less uncertain.

Argument Against;

Limited options.

4 0

2 years ago