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1 year ago

Laurasia has identified the following goods as its market basket. Here are the prices of those goods over three years.

Business

1 answer:

Zielflug [23.3K]1 year ago

6 0

Answer:

2015 = $94
2016 = $128.50
2017 = $115

Explanation:

A Market Basket is used to calculate inflation overtime by tracking the change in prices of a specific and permanent number of goods and services.

The formula for calculating the market basket is;

Cost of Market Basket $_{year}$ = ∑(Price of good * Basket Quantity of good)

2015

Cost of Market Basket = (25 * 0.4) + (2 * 18) + ( 4 * 12)

Cost of Market Basket = 10 + 36 + 48

Cost of Market Basket = $94

2016

Cost of Market Basket = (25 * 0.5) + (2 * 22) + ( 4 * 18)

Cost of Market Basket = 12.5 + 44 + 72

Cost of Market Basket = $128.50

2017

Cost of Market Basket = (25 * 0.6) + (2 * 20) + ( 4 * 15)

Cost of Market Basket = 15 + 40 + 60

Cost of Market Basket = $115

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Edgar works on a team with four other accounting professionals within a company's accounting department. Edgar doesn't particula

Temka [501]

Answer: knowledge based

Explanation:

The foundation of trust that Edgar has in this team is referred to as knowledge based.

Since the accounting professionals possess top- notch accounting skills and have never let him down while working on a project together, this is referred to as knowledge based.

Therefore, the correct option is C.

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1 year ago

Klumper Corporation is a diversified manufacturer of industrial goods. The company’s activity-based costing system contains the

yanalaym [24]

Answer:

K425= $1,874

M67= $10,540

Explanation:

Giving the following information:

Activity Cost Pool Activity Rates

Supporting direct labor $ 6 per direct labor-hour

Machine processing $ 4 per machine-hour

Machine setups $ 50 per setup

Production orders $ 90 per order

Shipments $ 14 per shipment

Product sustaining $ 840 per product

Total Expected Activity

K425 M67

Number of units produced per year 200 2,000

Direct labor-hours 80 500

Machine-hours 100 1,500

Machine setups 1 4

Production orders 1 4

Shipments 1 10

Product sustaining 1 1

To allocate overhead to each product, we need to use the following formula:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

K425= (6*80) + (4*100) + (50*1) + (90*1) + (14*1) + (840*1)

K425= $1,874

M67= (6*500) + (4*1,500) + (50*4) + (90*4) + (14*10) + (840*1)

M67= $10,540

5 0

1 year ago

One of the perils of the outsourcing phenomenon in the electronics industry is that:

Mariana [72]

Answer:

Option(a) is the correct answer to the given question.

Explanation:

The electrical goods require regular or more updating modifications in the prototypes of the manufacturing.The manufacturing process of the electrical items is versatile it means the designing is changes time to time .

The project costs also varies with there needs. The secret money comes with the evolving environment of manufacturing. Every other change comes with certain expense, called the secret cost. Consequently subcontracted consumer electronics are progressively becoming more costly.

All the other options are not correct outsourcing phenomenon in the electronics industry that's why these are incorrect option .

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1 year ago

A manager in your organization just received a special order at a price that is "below cost." The manager points to the document

Alex777 [14]

Answer:

So, from a short-run perspective, so long as the sale does not affect other output prices or normal sales volume, a "below cost" sale may result in a net increase in income so long as the revenues cover the differential costs.

However, in the long run all costs must be covered or management would not reinvest in the same type of assets.

If the company must continually sell below the full cost of production then it will most likely get out of that particular business when it comes time to replace those facilities.

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2 years ago

Steve Company purchased a tractor at a cost of $180,000. The tractor has an estimated salvage value of $20,000 and an estimated

Ghella [55]

Answer:

Steve Company

Entries to record the sale of the tractor will show:

Debit Cash Account with $70,000

Credit Sale of Tractor with $70,000

To record the sale

Debit Accumulated Depreciation with $72,000

Credit Sale of Tractor with $72,000

To record the transfer of accumulated depreciation.

Debit Sale of Tractor with $180,000

Credit Tractor Account with $180,000

To record the transfer of Tractor account.

Debit Loss on Sale of Tractor with $38,000

Credit Sale of Tractor with $38,000

To record the loss on sale of tractor.

Explanation:

1. Depreciation Expense for:

2019 = ($180,000 - 20,000)/10,000 x 2,400 = $38,400

2020 = ($180,000 - 20,000)/10,000 x 2,100 = $33,600

2. Accumulated Depreciation balance = $72,000 ($38,400 + 33,600)

3. Tractor account will be equal to $180,000 and this is transferred out to Sale of Tractor to account for the transaction.

4. Loss on Sale of Tractor = $38,000 ($180,000 - 72,000 - 70,000). The tractor was sold for less than its book value. The book value is the Tractor book value minus the accumulated depreciation.

3 0

2 years ago