Answer:
Variable costs are 55% of sales, depreciation on the equipment to produce the new board will be $2,150,000 per year, and fixed costs are $3,200,000 per year.
Explanation:
Variable costs are 55% of sales, depreciation on the equipment to produce the new board will be $2,150,000 per year, and fixed costs are $3,200,000 per year.
Suppose that American firms claim that protectionism in Canada is on the rise as the Canadian government attempts to protect its infant industries. This protectionism will cause the greatest harm to Group of answer choices
Answer:
manufacturers who export to Canada.
Explanation:
From the question we are informed about an American firms claim that uses protectionism in Canada is on the rise as the Canadian government attempts to protect its infant industries. This protectionism will cause the greatest harm to manufacturers who export to Canada.
Protectionism can be regarded as economic policy that is used in restriction of imports from other countries using some methods and measures, these measures could be tariffs on imported goods as well as import quotas and some government regulations. This is usually create economic crises such as Great Depression.
A pure monopoly without competitors: Group of answer choices Faces a perfectly elastic demand curve for its product. Cannot influence the price of its
Answer:
d
Explanation:
Here is the complete question
A pure monopoly firm
Select one:
a. faces a perfectly elastic demand curve for its product.
b. will always be able to earn more profit when it raises price.
c. will always earn economic profit, no matter what the level of demand for its product.
d. can influence the price of its product by controlling output
A monopoly is when there is only one firm operating in an industry. there are usually high barriers to entry of firms. the demand curve is downward sloping. it sets the price for its goods and services.
An example of a monopoly is a utility company
A natural monopoly occurs due to the high start-up costs or a large economies of scale.
Natural monopolies are usually the only company providing a service in a particular region
Characteristics of natural monopolies
1. they have a large fixed cost
2. The firms have a low marginal cost
3. They occur naturally through the free market. It does not occur by government regulation or any other force
The demand curve for a pure monopoly is usually inelastic.
Demand is inelastic if a small change in price has little or no effect on quantity demanded. The absolute value of elasticity would be less than one
A monopoly can can influence the price of its product by controlling output
A monopoly will not always earn economic profit no matter the level of output
Mrs. Dill is planning on baking cakes for a summer festival. In order to do this, she needs to spend $15 on new equipment to bake the cakes, plus she estimates that it will cost her 5 cents for every cake that she bakes. If x is the number of cakes that she makes, what is the cost function C(x)?a. C(x) = 15 + 0.5x.b. C(x) =15 + 5x.c. C(x) = 5 + 15x.d. C(x) = 15 +0.05x.
Answer: d. C(x) = 15 +0.05x.
Explanation:
The Cost function for the cake will be the sum of the fixed and variable costs that Mrs. Dill will incur per cake baked.
Fixed cost = $15
Total Variable cost = Number of cakes baked * variable cost per cake
= x * 5 cents
= x * 5 cents / 100 cents in a dollar
= 0.05x
Cost function is therefore:
= 15 + 0.05x
Potatoes and wheat output (tons per day)
Country Potatoes Wheat
United States 4 2
Ireland 3 1
The United States has a comparative advantage in producing: __________
a. wheat
b. neither
c. potatoes
d. both
Answer:
c. potatoes
Explanation:
The computation is shown below:
Opportunity cost of producing 1 tons of wheat is
for US = 4 ÷ 3 = 1.33 tons of potatoes
for Ireland = 2 ÷ 1 = 2 tons of potatoes
As the opportunity cost is higher in united states of potatoes so here the united stated should be comparative advantage in generating potatoes
Knowledge Check 01 On December 31, after making a concerted effort, management determines that it will not be able to collect the $1,200 owed to it by its customer Acme, Inc. The company uses the direct write-off method to account for uncollectible accounts. Prepare the necessary journal entry by selecting the account names from the drop-down menus and entering the dollar amounts in the debit or credit columns.
Answer and Explanation:
The journal entry is given below:
Bad debt expense $1,200
To Accounts Receivable- Acme Inc. $1,200
(Being the bad debt expense is recorded)
Here the bad debt expense is debited as it increased the expense and credited the account receivable as it decreased the assets
The same is relevant
A company is offering perpetual preferred stock (its dividend payments last forever) with a fixed annual dividend of $100. If your required rate of return on this investment is 12 percent, what is the value of each share
Answer:
833.33
Explanation:
The fixed annual dividend is $100
The required rate of return on this investment is 12%
Therefore the value for each share can be calculated as follows
= 100/(12/100)
= 100/0.12
= 833.33
Hence the value for each share is 833.33
Please tell whether inventory is beneficial or not for businesses with a large number of customers? Why?
Answer:
I don't know how it is possible
calculator solutionvChang is investing $2,500 today and will do so at the beginning of each of the next six years for a total of seven payments. If her investment can earn 12 percent annually, how much will she have at the end of seven years
Answer: $28,249.25
Explanation:
As the payments are constant, this represents an annuity. Also, as the payment is made at the beginning of every period, it is an Annuity Due.
The value of the end of the 7 years is the future value of the annuity due which is found by:
= Annuity * Future value factor of an annuity, 7 years, 12%
= 2,500 * 11.2997
= $28,249.25
Botox Facial Care had earnings after taxes of $282,000 in 20X1 with 200,000 shares of stock outstanding. The stock price was $81.80. In 20X2, earnings after taxes increased to $418,000 with the same 200,000 shares outstanding. The stock price was $94.00.
Required:
a. Compute earnings per share and the P/E ratio for 20X1.
b. Compute earnings per share and the P/E ratio for 20X2.
c. Why did the P/E ratio change? (
Answer:The earnings per share and The P/E ratio for 20X1 is $1.41 and $58.01 respectively.
The earnings per share and The P/E ratio for 20X2 is $2.09 and $44.976 respectively.
Explanation:
a. Earning per shares = Earning after Taxes / total Shares outstanding
= $282,000/200,000
= $1.41
Therefore, The earnings per share for 20X1 is $1.41
P/E RATIO = Price Per shares/Earning per shares
= $81.80/$1.41
= $58.01
Therefore, The P/E ratio for 20X1 is $58.01
b. Earning per shares = Earning after Taxes / total Shares outstanding
= $418,000/200,000
= $2.09
Therefore, The earnings per share for 20X2 is $2.09
P/E RATIO = Price Per shares/Earning per shares
= $94.00/$2,09
= $44.976
Therefore, The P/E ratio for 20X2 is $44.976
c.The P/E ratio changed from $58.01 to $44.976 because of the change in earnings per share and the stock price per share.
Cavy Company estimates that the factory overhead for the following year will be $1,470,000. The company has decided that the basis for applying factory overhead should be machine hours, which is estimated to be 40,000 hours. The machine hours for the month of April for all of the jobs were 4,780.
Required:
Prepare the journal entry to apply factory overhead.
Answer and Explanation:
The journal entry to record the factory overhead is given below:
Predetermined Overhead rate is
= Estimated overhead ÷ Estimated machine hours
= $1,470,000 ÷ 40,000
= $36.75 per mh
Now journal entry is
Work in Process $175,665
To Factory Overhead $175,665 (4780 × 36.75)
(Being the factory overhead applied is recorded)
Here work in process is debited as it increased the assets and credited the factory overhead as it decreased the expense
A partial list of a corporation's accounts shows the following account balances: Retained earnings, $375,000 Treasury stock—common, $20,000 Paid-in capital in excess of par value—common, $60,000 Treasury stock—preferred, $20,000 Common stock, $200,000 Preferred stock, $175,000 Paid-in capital in excess of par value—preferred, $60,000 How much is total stockholders' equity?
Answer:
Stockholders' Equity
Common stock $200,000
Preferred stock $175,000
Paid-in capital in excess of par value
Common stock $60,000
Preferred stock $60,000
Retained earnings $375,000
Treasury Stock
Common stock -$20,000
Preferred stock -$20,000
Total stockholders' equity $830,000
A very accurate estimate that is formed only after most design work is complete:_________
Definitive estimate
Parametric estimate
Feasibility estimate
Ballpark estimate
Answer:
Definitive estimate
Explanation:
The definitive estimate shows the most accurate or correct estimation for the amount of work and the resources required for finishing the project. It is the estimate in which the organization commits to an order to the baseline
So as per the given situation, the accurate estimated i.e. should be created only after most design work is finished is known as the definitive estimate
In a process operation, each process has a separate department which will accumulate costs for each of the following: Multiple select question. administrative direct labor overhead sales direct materials
Answer:
overhead
direct labor
direct materials
Explanation:
Process operations can be regarded as process manufacturing it can be explained as mass production method that is been followed when producing products following a continuous flow.
It can be regarded conveyer belt system which brings about production of identical as well as standardized item with fast rate as regards the speed. It should be noted that In a process operation, each process has a separate department which will accumulate costs for ;
✓overhead ( ongoing costs that is gotten in operation of a business)
✓direct labor
✓direct materials
A company has total revenue of $50,000,000, cost of sales of $40,000,000, operating expenses of $5,000,000, and financing costs of $2,000,000. What are earnings per share if the company has 100,000 shares outstanding and no preferred stockholders
Answer:
$30
Explanation:
Earnings per share = earnings / total outstanding shares
Earnings = total revenue - total cost
total cost = $40,000,000 + $5,000,000 + $2,000,000 = $47,000,000
Earnings = $50,000,000 - $47,000,000 = $3,000,000
Earnings per share = $3,000,000 / 100,000 = $30
Express net income as a common-size percentage using the following data.
Sales $45,000
Cost of goods sold $29,340
Gross profit from sales $15,660
Operating expenses $10,800
Net income $4,860.
a. 100 percent
b. 31 percent
c. 12 percent
d. 10.8 percent
Answer:
i think the answers D 10.8 percent
Allowance for Doubtful Accounts has a credit balance of $500 at the end of the year (before adjustment), and uncollectible accounts expense is estimated at 2% of sales. If sales are $600,000, the amount of the adjusting entry to record the provision for doubtful accounts is:______.a. $12,500.b. $11,500.c. $12,000.d. None of these answers are correct.
Answer:
$12,000
Explanation:
Calculation to determine what the amount of the adjusting entry to record the provision for doubtful accounts is
Using this formula
Provision for doubtful accounts =Sales *Uncollectible accounts expense estimated percentage of sales
Let plug in the formula
Provision for doubtful accounts = 2% × $600,000
Provision for doubtful accounts=$12,000
Therefore the amount of the adjusting entry to record the provision for doubtful accounts is $12,000
According to your reading material, one cause of excessive pressure is a/an __________.
a. overestimation of the severity of one’s own problems
b. lack of sleep
c. lack of self-confidence
d. lack of self-esteem
Answer: D
Explanation: A lack of self-esteem can lead to reliance others advice which can also lead to excessive pressure by the people your getting advice from.
Cosmo has just made his dream come true of buying the property that his restaurant occupies. His excitement is short lived, however. He now realizes that he needs to come up with the extra money for the mortgage. Cosmo decides to rent out the storefront next to the restaurant for added income. After acquiring the property, Cosmo shifted his focus onto which aspect of goal-setting theory
Answer:
Realistic aspect
Explanation:
Considering the scenario described in the question it can be concluded that Cosmo shifted his focus onto which REALISTIC aspect of goal-setting theory.
This is because following Cosmo making his dream come true of buying the property that his restaurant occupies, the idea that he could rent out the storefront next to the restaurant for added income is a REALISTIC Aspect of Goal Getting.
This implies that Cosmo is more realistic in terms of his financial abilities and willingness to work toward the goal of paying off the mortgage loan
ABC Bank requires a 20% down payment on all of its home loans. If a house
is priced at $145,000, what is the amount of the down payment required by
the bank?
A. $29,000
B. $290,000
C. $14,500
D. $18,000
May 31, Novac Corp. Has net sales of $415,000 in cost of goods available for sale of $286,000 compute the estimated cost of the ending inventory assuming the gross profit rate is 37%
Answer:
$24,550
Explanation:
Computation for the estimated cost of the ending inventory
Net Sales = $415,000
Gross Profit rate= 37%
Cost of goods Sold = 100%- 37% = 63%
Cost of Goods Sold =$415,000*63% = $261,450
Cost of Goods Available for sale = $286,000
Using this formula
Estimated Cost of Ending Inventory= Cost of goods available for sale - Cost of Goods Sold
Let plug in the formula
Estimated Cost of Ending Inventory = $286,000-$261,450
Estimated Cost of Ending Inventory = $24,550
Therefore the estimated cost of the ending inventory is $24,550
How does a parent perform the functions of organizing in management?
Answer:
I'll assume that the term "parent" here means parent in the conventional term as in father, mother, and children.
With this in mind, parents have the responsibility of organising the family which include their children and the affairs of the house.
Therefore, a parent performs the functions of organizing in management by:
1. Guiding their wards in management principles
2. Educating them in what they should and shouldn't do.
As a business owner, you find that your resource prices are increasing often. Because these costs are rising, you find it necessary to change your prices frequently. This best describes:
a. future price uncertainty.
b. menu costs.
c. money illusion.
d. hyperinflation.
e. a price confusion problem.
Answer:
The right answer is Option b (menu costs).
Explanation:
Menu expenses or costs would be the expenses a company entails if it modifies its pricing often, the most important approach to pay for the menu would be to keep particular pricing persistent.And that if an organization employee regularly changes significantly pricing owing to an improvement throughout commodity price marketing expenses are involved.The other four choices are not connected to the given query. So the above is the right approach.
Fitness Fanatics is a regional chain of health clubs. The managers of the clubs, who have authority to make investments as needed, are evaluated based largely on return on investment (ROI). The company's Springfield Club reported the following results for the past year:
Sales $780,000
Net operating income $17,940
Average operating assets $100,000
The following questions are to be considered independently.
Required:
Compute the Springfield club's return on investment (ROI).
Answer:Springfield club's return on investment (ROI) is 17.94%
Explanation:
Return on investment (ROI) is given as the ratio of the net operating income to average operating assets and expressed in percentage .
ROI = Net operating income / Average operating assets
Given that
Net operating income =$17,940
Average operating assets = $100,000
ROI = $17,940/ $100,000 = 0.1794, 17.94%
Therefore, the the Springfield club's return on investment (ROI) is 17.94%
MC Qu. 157 McCoy Brothers manufactures and sells... McCoy Brothers manufactures and sells two products, A and Z in the ratio of 5:2. Product A sells for $84; Z sells for $105. Variable costs for product A are $41; for Z $45. Fixed costs are $482,400. Compute the number of units of Product A McCoy must sell to break even.
Answer:
7,200 units
Explanation:
The computation of the no of units for break even for product A is given below:
But before that the contribution margin for the sales mix is
Particulars product A product Z
Selling price $84 $105
Less:
variable cost -$41 -$45
Contribution margin $43 $60
Sales mix 5 2
CM sales mix $215 $120
Total $335
Now the break even sales in total is
= $482,400 ÷ 335
= 1,440 units
Now for product A, it is
= 1,440 × 5
= 7,200 units
Sylvia mused to herself, "It has taken over 30 years, but I've finally been named CEO of a major firm. Now, I can concentrate on what I really want to do as a(n) ____________ manager, to focus on the survival, growth, and overall effectiveness of our firm."
Answer:
Strategic.
Explanation:
In Business management, a strategy can be defined as a set of guiding principles, actions and decisions that an organization combines so as to achieve its business goals, attract customers and possess a competitive advantage over its rivals in the industry.
Business strategy sets the overall direction for the business because it focuses on defining how a business would achieve its goals, objectives, and mission; as well as the funds and material resources required to implement or execute the business plan.
A manager can be defined as an individual who is saddled with the responsibility of providing guidance, support, supervision, administrative control, as well as acting as a role model or an example to the employees working in an organization by being morally upright.
A strategic manager is also referred to as a top-level manager and he or she is mainly focused on setting goals, objectives, and procedures in order to enhance the survival, growth, and overall effectiveness of a business firm.
Hence, Sylvia can concentrate on what she really want to do as a strategic manager, by focusing on the survival, growth, and overall effectiveness of our firm.
BusCorp wants to introduce a new procedure to improve how customer requests are handled. This change will require employees to break old routines and adopt new role patterns. They decide to adopt two new programs, one in which employees learn how to work as teams as the company changes. The other involves forming task forces within the company to help determine ne customer service practices.
The formation of task forces to minimize resistance to change is known as:_______.
A. communication.
B. learning.
C. stress management.
D. negotiation.
E. employee involvement.
Answer:
E)Employee involvement
Explanation:
Employee involvement can be regarded as taking part of employees in decision-making process that are crucial to the organization, so that the goals of the organization are met. When employees there is involvement of employees in making decisions, there will be some professional as well as personal stake gained by the employee in the organization as well as the organization overall success. As a result of this there would be increased productivity in part of employees because they will take part actively in various aspects that will bring about success of the firm.
Many experts believe that marketing is the most important function in a company. Discuss the reasons this is a true statement. Discuss the reasons this is not a true statement.
Solution :
Marketing is considered as an important function in a company.
Marketing is an important function in any organization as it allows the business to maintain a long-lasting and an ever-present relationships with the audience. It increase the brand value and generates revenue for the organization.
Marketing is not considered as an important function in a company.
Besides marketing there are other function as well which are important for an organization. The human resource department is an important function which maintains the relationship between the employees and the management. It works for the welfare of its employees which is considered as asset to the organization.
Also attention should be given to manufacture a good product seeing the demand in the market that can be easily available and usable by the customer. More research should be done to develop a product that is best for its consumers.
1. Prepare a general ledger having T-accounts for Accounts Receivable, Sales, and Sales Returns and Allowances. Post these entries to both the general ledger and the accounts receivable ledger. General Ledger Accounts Receivable Sales End.Bal End.Bal Accounts Receivable Subsidiary Ledger Ski Shop Sales Returns and Allowances End.Bal Welcome Enterprises Zia Natara End.Bal End.Bal Vail Company recorded the following selected transactions during November Current Year Debit Credit 5,238 Date General Journal Nov. 5 Accounts Receivable-Ski Shop Sales 5,238 10 Accounts Receivable-Welcome Enterprises 2,780 Sales 2,780 13 Accounts Receivable-Zia Natara 1,630 Sales 1,630 21 Sales Returns and Allowances 421 Accounts Receivable-Zia Natara 421 30 Accounts Receivable-Ski Shop 5,796 Sales 5,796
2 . Prepare a schedule of accounts receivable VAIL COMPANY Schedule of Accounts Receivable November 30, Current Year Total
Answer:
Vail Company
1. T-accounts:
a. General Ledger
Accounts Receivable
Date Account Titles Debit Credit
Nov. 5 Sales 5,238
Nov. 10 Sales 2,780
Nov. 13 Sales 1,630
Nov. 21 Sales Returns and Allowances 421
Nov. 30 Sales 5,796
Nov. 30 Balance 15,0232
Sales
Date Account Titles Debit Credit
Nov. 5 Accounts Receivable-Ski Shop 5,238
Nov. 10 Accounts Receivable-
Welcome Enterprises 2,780
Nov. 13 Accounts Receivable-Zia Natara 1,630
Nov. 30 Accounts Receivable-Ski Shop 5,796
Nov. 30 Balances 15,444
Sales Returns and Allowances
Date Account Titles Debit Credit
Nov. 21 Accounts Receivable-Zia Natara 421
b. Accounts Receivable Ledger:
Ski Shop
Date Account Titles Debit Credit
Nov. 5 Sales 5,238
Welcome Enterprises
Date Account Titles Debit Credit
Nov. 10 Sales 2,780
Zia Natara
Date Account Titles Debit Credit
Nov. 13 Sales 1,630
Nov. 21 Sales Returns and Allowances 421
Ski Shop
Date Account Titles Debit Credit
Nov. 30 Sales 5,796
Explanation:
a) Data and Analysis:
Nov. 5 Accounts Receivable-Ski Shop 5,238
Sales 5,238
Nov. 10 Accounts Receivable-Welcome Enterprises 2,780
Sales 2,780
Nov. 13 Accounts Receivable-Zia Natara 1,630
Sales 1,630
Nov. 21 Sales Returns and Allowances 421
Accounts Receivable-Zia Natara 421
Nov. 30 Accounts Receivable-Ski Shop 5,796
Sales 5,796
A truck acquired at a cost of $195,000 has an estimated residual value of $10,200, has an estimated useful life of 56,000 miles, and was driven 5,000 miles during the year. Determine the following:
a. The depreciable cost $___________
b. The depreciation rate $__________ per mile
c. The units-of-activity depreciation for the year $__________
Answer:
a. $184,800
b. 3.3 per miles
c. 16,500
Explanation:
(a) Calculation to determine The depreciable cost
Depreciable cost =Cost - estimated residual value
Depreciable cost=$195,000- $10,200
Depreciable cost=$184,800
(b) Calculation to determine The depreciation rate
Depreciation rate = $184,800/useful life 56,000 miles
Depreciation rate =3.3per mile
(c) Calculation to determine The units-of-activity depreciation for the year
Units-of-activity depreciation =3.3per mile*5,000 miles
Units-of-activity depreciation=16,500
Therefore The units-of-activity depreciation for the year is 16,500
Tip Top Painting Company has the following production data for March: Beginning work in process inventory, 2,000 units that are 30% complete for conversion costs Units completed and transferred out, 44,000 Units in ending work in process inventory, 9,000 that are 80% complete for conversion costs Materials are added only at the beginning of the process. What is the equivalent units of production during May for direct materials if the FIFO method is used?
Answer: 51000 units
Explanation:
The equivalent units of production during May for direct materials if the FIFO method is used will be calculated thus:
Units completed and transferred out = 44,000 Units
Less: Beginning work in process inventory = 2,000
Balance = 42000
Then, the Equivalent units of materials will be:
Balance = 42000
Add: Units in ending work in process inventory = 9,000
Equivalent units of materials = 51,000 units
