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2 years ago

A(n _____ contract carries the least risk for suppliers.

1 answer:

3 0

The contract that carries the least risk for suppliers is CPPC. In this type of contract the buyer pays the supplier for allowable performance cost and pre-determined percentage based on total cost. The full meaning of CPPC is Cost Plus Percentage of Cost.

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Exercise 4-2A Allocating costs between divisions Beasley Services Company (BSC) has 50 employees, 28 of whom are assigned to Div

Rasek [7]

Answer:

(a) $9,000 per employee

(b) $252,000; $198,000

Explanation:

Given that,

Fringe benefits cost during 2018 = $450,000

Employees assigned to division A = 28

Employees assigned to division B = 22

(a) Allocation rate:

= Total cost to be allocated ÷ Cost driver

= $450,000 ÷ 50

= $9,000 per employee

(b) Cost assigned to A:

= Division Allocation Rate × Weight of base (No. of employees)

= $9,000 × 28

= $252,000

Cost assigned to B:

= Division Allocation Rate × Weight of base (No. of employees)

= $9,000 × 22

= $198,000

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2 years ago

Bayest Manufacturing Corporation uses a predetermined overhead rate based on direct labor-hours to apply manufacturing overhead

Makovka662 [10]

Answer:

The Corporation's manufacturing overhead cost for the year was $543,840

Explanation:

Giving the following information:

Last year, the Corporation worked 60,500 actual direct labor-hours and incurred $532,000 of actual manufacturing overhead cost.

The Corporation had estimated that it would work 61,800 direct labor-hours.

First, we need to calculate the estimated manufacturing overhead rate we need to use the following formula:

Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Estimated manufacturing overhead rate= 532,000/60,500= $8.80 per direct labor hour.

Now, we can allocate overhead based on actual direct labor hours:

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

Allocated MOH= 8.8*61,800= $543,840

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2 years ago

"________ products are less frequently purchased consumer products and services that customers compare carefully on suitability,

REY [17]

Answer: The correct answer is Shopping Products

Explanation: Shopping products are products that are not frequently requested and purchased. In purchasing these products, a consumer consciously weighs his options by comparing the suitability of the goods in meeting his needs.

The price and quality of the products are also determining factors for shopping products.

4 0

2 years ago

Standlar Company makes and sells wireless speakers. The price of the standard model is $360 and its variable expenses are $210.

Vladimir79 [104]

Total contribution margin = $3,000, standard models sold at break even=800, deluxe models sold at break even=400, superior models sold at break even=100

<u>Explanation:</u>

1.Using sales mix stated in the fact from Figure to form a package what is the total contribution margin?

total contribution margin =($150 multiply 8) plus ($200 multiply 4) plus ($1,000 multiply 1) = $3,000

2.Refer to Figure, What is the number of standard models sold at break even.

break even units =Fixed cost divide contribution margin per package

= $300,000 divide $3000 =100 package standard models sold at break even=100 package multiply 8 = 800

2.Refer to Figure, What is the number of deluxe models sold at break even.

break even units

=Fixed cost divide contribution margin per package = $300,000 divide $3000

=100 package deluxe models sold at break even = 100 package multiply 4

6 0

2 years ago

On January 1, 2021, Tropical Paradise borrows $46,000 by agreeing to a 6%, five-year note with the bank. The funds will be used

creativ13 [48]

Answer:

Journal entry

Explanation:

The Journal entry is shown below:-

1. Cash Dr, $46,000

To Notes payable $46,000

(Being issuance of notes is recorded)

2. Interest expense Dr, $230

Notes payable Dr, $659.31

To Cash $889.31

(Being payment of first installment is recorded)

3. Interest expense Dr, $226.70

Notes payable Dr, $662.61

To Cash $889.31

Working note :-

First installment interest expenses

= $46,000 × 6% × 1 month ÷ 12 month

= $230

Second installment interest expenses

= ($46,000 - $659.31) × 6% × 1 month ÷ 12 month

= $45,340.68 × 6% × 1 ÷ 12

= $226.70

8 0

2 years ago