Answer:
A resposta correta é A. reconheça a raiva deles e deixe-os compartilhar um pouco com você.
Gabby works for an online birthday-celebration company. The company’s key business is to receive orders to send birthday cakes, cards, and flowers to people who have their birthdays on particular days. Therefore, the company obviously maintains a huge database of customers and most of their personal details. Gabby’s colleague Marcos uses some of this information to date a few female single customers. Is the behavior of Marcos appropriate per any standards? A. Yes, he was only innocuously dating the female customers. B. Yes, he is not making any business out of the information. C. No, because per the FTC regulations, all personal details of customers should be protected. D. No, because using personal information of the same gender is permissible, but not of the opposite gender.
C. No, because as per the FTC regulations, all personal details of customers should be protected.
True or False: The shape of the production function reflects the law of increasing marginal returns. True False
Answer: False
Explanation:
The statement that "The shape of the production function reflects the law of increasing marginal returns" is false. Rather, the shape of the production function simply reflects the law of diminishing marginal returns.
The slope of the production function is used in the measurement of the change in output for every unit of labor input that's added.
In the Month of March, Digby received orders of 123 units at a price of $15.00 for their product Deal. Digby uses the accrual method of accounting and offers 30 day credit terms. Digby delivers 123 units in April. They received payment for 62 units in March, and 62 units in April. In the March income statement, how much revenue is recognized on the March income statement from this order
Answer:
The amount of revenue is recognized on the March income statement from this order is $1,845.00.
Explanation:
Accrual accounting can be described as a method of accounting in which revenue or expenses are recorded at the time of the transaction rather than when payment is received or made.
Since this transaction occurred in March, the total revenue of orders of 123 units received in the month of March will be recognized on the March income statement from this order. That is:
Amount of revenue to recognized in March = 123 * $15.00 = $1,845.00
Therefore, the amount of revenue is recognized on the March income statement from this order is $1,845.00.
Russell Retail Group begins the year with inventory of $62,000 and ends the year with inventory of $52,000. During the year, the company has four purchases for the following amounts.
Purchase on February 17 $217,000
Purchase on May 6 137,000
Purchase on September 8 167,000
Purchase on December 4 417,000
Required:
Calculate cost of goods sold for the year.
Answer:
Cost of goods sold = 948000
Explanation:
Inventory at the beginning of the year = $62000
Inventory at the end of the year = $52000
Cost of goods sold = Beginning inventory + purchases during the year - ending inventory
Cost of goods sold = $62000 + 217000 + 137000 + 167000 + 417000 - $52000
Cost of goods sold = 948000
Minden Company introduced a new product last year for which it is trying to find an optimal selling price. Marketing studies suggest that the company can increase sales by 5,000 units for each $2 reduction in the selling price. The company’s present selling price is $93 per unit, and variable expenses are $63 per unit. Fixed expenses are $830,700 per year. The present annual sales volume (at the $93 selling price) is 25,500 units.
Required:
1. What is the present yearly net operating income or loss?
2. What is the present break-even point in unit sales and in dollar sales?
3. Assuming that the marketing studies are correct, what is the maximum annual profit that the company can earn? At how many units and at what selling price per unit would the company generate this profit?
Answer:
1. The present yearly net operating loss is $65,700
2. Break even point in unit sales is 27,690 units, in dollars sales $2,575,170.00
3. The maximum annual profit that the company can earn is $23,300, at 30,500 units with a selling price per unit of $91
Explanation:
At breakeven point, the cost and revenue of the company are same such that the company neither a profit nor a loss. Operating profit or loss is the difference between the revenue and the cost of the company.
The cost of the company usually consist of the fixed and variable elements.
Given that the company’s present selling price is $93 per unit, and variable expenses are $63 per unit. Fixed expenses are $830,700 per year with present annual sales volume (at the $93 selling price) is 25,500 units
Hence the operating profit or (loss)
= $93 * 25,500 - ($63 * 25,500 + $830,700)
= $765,000 - $830,700
= ($65,700)
A loss of $65,700
Break even point in unit sales = Fixed costs / (Selling price per unit – Variable cost per unit)
= $830,700 / ($93 - $63)
= $830,700 / $30
= 27,690 units
In dollar sales
= $93 * 27,690
= $2,575,170.00
if the marketing studies are correct then the new selling price per unit will be
= $93 - $2
= $91
The units sold will be
= 5000 + 25,500
= 30,500 units
The maximum profit to be made
= $91 * 30,500 - ($63 * 30,500 + $830,700)
= $854,000 - $830,700
= $23,300
Which of the following statements concerning the cash disbursements amount in the cash budget is true in a manufacturing setting, but not true a merchandise setting?
A. The cash disbursements amount includes planned disbursements for ending inventory.
B. The cash disbursements does not need to equal changes in finished goods inventory.
C. The cash disbursements amount is no longer based off of the purchasing budget.
D. The cash disbursements amount includes planned disbursements for conversion costs.
Answer: D. The cash disbursements amount includes planned disbursements for conversion costs.
Explanation:
Manufacturing companies have to set aside money for the conversion of raw materials into manufactured goods so there is a cash disbursement for conversion costs.
Merchandising companies on the other hand buy already made goods so they do not have to convert those. There will therefore be no conversion cost in a merchandising company and so no cash disbursement for same.
Use the following information and the indirect method to calculate the net cash provided or used by operating activities:
Net income $85,800
Depreciation expense 12,500
Gain on sale of land 8,000
Increase in merchandise inventory 2,550
Increase in accounts payable 6,650
a. $37,400.
b. $13,150.
c. $94,400.
d. $14,150.
e. $29,400.
Answer:
c. $94,400
Explanation:
Net cash provided or used by operating activities is computed as see below;
Net cash provided or used by operating activities = Net income + Depreciation expense - Gain on sale of land - Increase in merchandise inventory + Increase in accounts payable
Net cash provided or used by operating activities = $85,800 + $12,500 - $8,000 - $2,550 + $6,650
Net cash provided or used by operating activities = $94,400
In June 2007 General Motors (GM) posted a price-earnings ratio of 9.84. If
the price of the stock at that time was $36 per share, which of the following
must have been true?
a. GMâs earnings per share was 3.66.
b. GMâs coupon payment was $35 per year.
c. GMâs dividend yield for the year was 26%.
d. GMâs revenues that month were $366 million.
Answer:
General Motors (GM)
If the price of the stock at that time was $36 per share, the true statement is:
a. GM's earnings per share was 3.66.
Explanation:
a) Data and Calculations:
Price-earnings ratio = 9.84
Market price of stock at that time = $36 per share
Earnings per share = Market price per share/Price-earnings ratio
= $36/9.84 = 3.659
= $3.66
Check:
Price-earnings ratio = Market price per share/Earnings per share
= 9.84 ($36/$3.66)
John is working on his department's annual plan. Employee performance has been okay and commitment to his department's goals moderate. In the past John
has asked his employees to do their best. This year he is asking each employee to work with him in determining exactly what that employee is going to
accomplish this year. John wants his people to feel the goals are theirs, to invest in their accomplishment. He wants them to believe that they can accomplish
these goals. He thinks he can help this whole process by meeting with each employee quarterly and talking about where the department is and where the
employee is in regards to goal accomplishment. In the past what principle of goal setting did John violate?
O A) Goal commitment
OB) Assigning specific goals
O Setting difficult but acceptable goals
OD) Providing feedback on goal attainment
Answer:B
Explanation:
Lightfoot Inc., a software development firm, has stock outstanding as follows: 20,000 shares of cumulative preferred 4% stock, $20 par, and 25,000 shares of $50 par common. During its first four years of operations, the following amounts were distributed as dividends: first year, $6,000; second year, $10,000; third year, $50,250; fourth year, $78,000.Calculate the dividends per share on each class of stock for each of the four years.
Answer:
For first year, we have:
Cumulative preferred dividend per share = $0.30 per share
Common dividend per share = $0
For second year, we have:
Cumulative preferred dividend per share = $0.50 per share
Common dividend per share = $0
For third year, we have:
Cumulative preferred dividend per share = $1.60 per share
Common dividend per share = $0.73 per share
For fourth year, we have:
Cumulative preferred dividend per share = $0.80 per share
Common dividend per share = $2.48 per share
Explanation:
Cumulative preferred stock has a clause that mandates the corporation to pay all dividends, including those that were previously missed, before common shareholders can get their dividend payments.
Annual cumulative preferred dividend = 20,000 * $20 * 4% = $16,000
Therefore, we have:
For First Year
Distributed dividends = $6,000
Cumulative preferred dividend paid = Distributed dividends = $6,000
Common dividend paid = $0
Cumulative preferred dividend per share = Cumulative preferred dividend paid / Number of cumulative preferred shares outstanding = $6,000 / 20,000 = $0.30 per share
Common dividend per share = $0
Cumulative preferred dividend carried forward = Annual cumulative preferred dividend - Cumulative preferred dividend paid = $16,000 - $6,000 = $10,000
For Second Year
Distributed dividends = $10,000
Cumulative preferred dividend payable = Annual cumulative preferred dividend + Cumulative preferred dividend brought forward = $16,000 + $10,000 = $26,000
Cumulative preferred dividend paid = Distributed dividends = $10,000
Common dividend paid = $0
Cumulative preferred dividend per share = Cumulative preferred dividend paid / Number of cumulative preferred shares outstanding = $10,000 / 20,000 = $0.50 per share
Common dividend per share = $0
Cumulative preferred dividend carried forward = Cumulative preferred dividend payable - Cumulative preferred dividend paid = $26,000 - $10,000 = $16,000
For Third Year
Distributed dividends = $50,250
Cumulative preferred dividend paid = Annual cumulative preferred dividend + Cumulative preferred dividend brought forward = $16,000 + $16,000 = $32,000
Common dividend paid = Distributed dividends - Cumulative preferred dividend paid = $50,250 - $32,000 = $18,250
Cumulative preferred dividend per share = Cumulative preferred dividend paid / Number of cumulative preferred shares outstanding = $32,000 / 20,000 = $1.60 per share
Common dividend per share = Common dividend paid / Number of common shares outstanding = $18,250 / 25,000 = $0.73 per share
For Fourth Year
Distributed dividends = $78,000
Cumulative preferred dividend paid = Annual cumulative preferred dividend = $16,000
Common dividend paid = Distributed dividends - Cumulative preferred dividend paid = $78,000 - $16,000 = $62,000
Cumulative preferred dividend per share = Cumulative preferred dividend paid / Number of cumulative preferred shares outstanding = $16,000 / 20,000 = $0.80 per share
Common dividend per share = Common dividend paid / Number of common shares outstanding = $62,000 / 25,000 = $2.48 per share
MC Qu. 98 Peterson Company estimates that overhead... Peterson Company estimates that overhead costs for the next year will be $6,920,000 for indirect labor and $840,000 for factory utilities. The company uses machine hours as its overhead allocation base. If 80,000 machine hours are planned for this next year, what is the company's plantwide overhead rate
Answer:
Predetermined manufacturing overhead rate= $97 per machine hour
Explanation:
To calculate the predetermined manufacturing overhead rate we need to use the following formula:
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Predetermined manufacturing overhead rate= (6,920,000 + 840,000) / 80,000
Predetermined manufacturing overhead rate= $97 per machine hour
A firm uses a continuous review (Q) inventory system. Weekly demand for a product is normally distributed with a mean of 120 units and a standard deviation of 10 units. Lead time is constant at 4 weeks. The company reordered when 506 units of the product remained. About what cycle-service level (i.e., service level over the lead time) were they trying to maintain?
Answer: 90.32%
Explanation:
Weekly demand (d) = 120
Standard deviation = 10
Lead time (l) = 4
Reorder point = 506
The reorder point is calculated as:
506 = 120 × 4 + Z × 10 × ✓4
Solving for Z will give us 1.3
Then, we check this in the z table which will give us p = 0.9032
Therefore, the service level is 90.32%.
Beginning work in process are 40,000 units and units started this period are 20,000 units. The total units to account for are:______.
Answer: 60,000
Explanation:
Since we are given the information that the beginning work in process are 40,000 units and units started this period are 20,000 units, then the total units to account for will be the addition of the beginning work in process and the units started this period. This will be:
= 40000 + 20000
= 60000
Therefore, the total units to account for is 60000.
In order to successfully carry out an acquisition, the managers at Pink Inc. prepared a list of potential target companies that it could purchase. In the next step, the managers evaluated each prospective company in depth to understand their methods of operations, processes, procedures, strengths, and limitations in order to choose the best target company. This process of evaluating the companies is best known as:___________.
A- Due diligence
B- Market intelligence
C- Consultation
D- Market evaluation
Answer:
A- Due diligence
Explanation:
Due diligence is an investigation, audit or the review that to be performed in order to confrim the facts within the consideration. It needs the examination of the financial records prior entered into the upcoming transaction with the other party
So as per the given situation, the first option is correct
Investment Center Sales Income Average Invested Assets Electronics $ 40,500,000 $ 2,916,000 $ 16,200,000 Sporting goods 20,740,000 2,074,000 12,200,000 1. Compute return on investment for each department. Using return on investment, which department is most efficient at using assets to generate returns for the company
Answer and Explanation:
The computation of the return on investment is shown below;
We know that
Return on Investment is
= (Net Income ÷ Average Operating Assets] × 100
For Electronics
= [$29,16,000 ÷ 162,00,000] × 100
= 18%
And,
For Sporting goods
= [$20,74,000 ÷ 122,00,000] × 100
= 17%
So here the electronics department should be selected as it has high return on investment
A company's bank statement shows a cash balance of $4,340. Comparing the company's cash records with the monthly bank statement reveals several additional cash transactions such as checks outstanding of $3,900, deposits outstanding of $1,210, NSF check of $320, and service fee of $54. Calculate the correct balance of cash?
Answer:
the correct balance of cash is $1,650
Explanation:
The computation of the correct balance of cash is shown below:
= Cash balance + deposits outstanding - check outstanding
= $4,340 + $1,210 - $3,900
= $1,650
Hence, the correct balance of cash is $1,650
WE basically applied the above formula so that the correct value could arrive
On October 1, Robertson Company sold merchandise in the amount of $5,800 to Alberts, with credit terms of 2/10, n/30. The cost of the items sold is $4,000. Robertson uses the periodic inventory system. On October 4, Alberts returns some of the merchandise. The selling price of the merchandise is $500 and the cost of the merchandise returned is $350. The entry or entries that Robertson must make on October 4 is:_____.
a. Sales returns and allowances...500
Accounts receivable...500
Merchandise Inventory...350
Cost of goods sold...350
b. Sales return and allowances...500
Accounts receivable...500
c. Accounts receivable...500
Sales returns and allowances...500
d. Accounts receivable...500
Sales returns and allowances...500
Cost of goods sold...350
Merchandise inventory...350
e. Sales returns and allowances...350
Accounts receivable...350
Answer:
b. Sales return and allowances...500, Accounts receivable...500
Explanation:
Date Accounts & Explanation Debit Credit
Oct 4 Sales return and allowance $500
Account receivable $500
(To record sales return and allowance)
Assume that you purchase a 6-year, 8% certificate of deposit for $1,000. If interest is compounded annually, what will be the value of the certificate when it matures
Answer:
$ 1,586.8743
Explanation:
Calculation to determine what will be the value of the certificate when it matures
Compounded annually
Principal P= 1000
Rate r=0.08
Period n = 6
Using this formula
A = P (1+r)^n
Let plug in the formula
1000 (1.08)^6
= 1586.8743
Therefore what will be the value of the certificate when it matures is $1586.8743
Liz has been screened for potential group membership. She fits all criteria; however, she seems to lack the desire to participate. In the eyes of the leader Jacque, she just doesn’t seem to "want" it enough. What should be considered?
Answer:
this should be a factor; the desire to make positive change is deemed highly important
Explanation:
Since in the situation it is mentioned that liz has been screened concering for the membership of the group. She have the lack of participation
So here it could be considered as the factor also the desire that makes the positive changed would be considered as very much significant
So, the above statement should be relevant
Hence, the same should be considered
WoodCore Inc. produces an entire line of office furniture at its manufacturing facility in the United States and then ships its products for sale to various companies in Europe. WoodCore Inc. is involved in A. outsourcing. B. licensing. C. franchising. D. exporting. E. diversifying.
Answer: D. exporting
Explanation:
Exporting is the sale of goods to other countries apart from your own even though the goods being sold were produced in your own country.
Exporting works best when the country doing the exporting is capable of producing the goods being exported at a lower price than the country that it is sending to, that way the people in that country have an incentive to buy it over locally made products. WoodCore is producing in the U.S. and selling elsewhere. This is exporting.
The Costa Rica Tourism Board proposed a 6 percent tax on airplane travel to pay for a public hospital. A New York University economist estimates that the tax would result in a 6 percent increase in the price of an airline ticket. If the elasticity of demand is 1.33, what is the expected change in quantity demanded
Answer: 7.98% or 8%
Explanation:
The price elasticity of demand shows how much quantity demanded changes in response to a change in price.
Formula is:
Price elasticity of demand = Percentage change in quantity demanded / Percentage change in price
1.33 = Percentage change in quantity demanded / 6%
Percentage change in quantity demanded = 1.33 * 6%
= 7.98% or 8%
Over the past four years, Hashwari Corporation reported sales revenue and warranty expense as follows.
2016 2017 2018 2019
Sales revenue $5,000,000 $5,200,000 $5,382,000 $5,704,920
Warranty expense 105,200 104,100 118,500 108,400
We wish to reformulate the income statement to reflect a constant proportion of warranty expense to sales over the four-year period. What is our warranty expense adjustment for each year?
Answer:
Missing word "Average warranty to sales rate is 2.05%"
Adjusted expense and Adjustment required
2014 2015 2016 2017
Sales revenue $5,000,000 $5,200,000 $5,382,000 $5,704,920
Average warranty to sales rate 2.05% 2.05% 2.05% 2.05%
Adjusted warranty expense $102,500 $106,600 $110,331 $116,951
Actual warranty expense $105,200 $104,100 $118,500 $108,400
Adjustment required -$2,700 $2,500 -$8,169 $8,551
When should a company consider issuing debt instead of equity?
Answer:
Many fast-growing companies would prefer to use debt to support their growth, rather than equity, because it is, arguably, a less expensive form of financing (i.e., the rate of growth of the business's equity value is greater than the debt's borrowing cost).
Explanation:
Answer:
There could be many reasons, but probably the company reached its debt ceiling and is not able to borrow anymore (at acceptable conditions), due to low net cash flow relative to debt service, or low available collateral, or both.
Larger expansions or risky undertakings would also be more likely financed by equity - the expansion might require taking on more debt than the company is currently able to service, and the creditors are not sure if it will also bring sufficient additional EBITDA to service large debt. Similar thing with risky business proposals - it is more logical to finance them through equity, where investors share the hard-to-predict benefits as well as potential losses. If they were to be financed by debt, the loan should in theory carry very high interest to make up for the risk profile of the endeavor. Better to make it an equity investment.
Also, issuing equity improves your balance sheet and enables you to take on more debt. Having more equity could also mean cheaper debt (better interest rates). Debt is considered “senior” to equity, in theory losses should hit investors first and creditors later, so having a larger equity cushion means lower credit risk.
If the company suffered some hard times, they are already starved for cash and on top of that creditors would likely want to reduce their exposure - a perfect storm that could put the company out of business due to lack of liquidity, even when the business model is good in the long term (but who has a crystal ball, eh?). Raising more equity may be their only option.
Ziegler Inc. has decided to use the high-low method to estimate the total cost and the fixed and variable cost components of the total cost. The data for various levels of production are as follows:
Units Produced Total Costs 101,500 $28,022,500 118,500 30,997,500 131,500 33,272,500
a. Determine the variable cost per unit and the total fixed cost.
Variable cost (Round to two decimal places.) $ per unit
Total fixed cost $
b. Based on part (a), estimate the total cost for 115,000 units of production.
Total cost for 115,000 units $
Answer:
Results are below.
Explanation:
Giving the following information:
Units Produced Total Costs
101,500 $28,022,500
118,500 30,997,500
131,500 33,272,500
To calculate the fixed and variable costs, we need to use the high-low method:
Variable cost per unit= (Highest activity cost - Lowest activity cost)/ (Highest activity units - Lowest activity units)
Variable cost per unit= (33,272,500 - 28,022,500 ) / (131,500 - 101,500)
Variable cost per unit= $175
Fixed costs= Highest activity cost - (Variable cost per unit * HAU)
Fixed costs= 33,272,500 - (175*131,500)
Fixed costs= $10,260,000
Fixed costs= LAC - (Variable cost per unit* LAU)
Fixed costs= 28,022,500 - (175*101,500)
Fixed costs= $10,260,000
Now, the total cost for 115,000 units:
Total cost= 10,260,000 + 175*115,000
Total cost= $30,385,000
Assume the money supply is $800, the velocity of money is 8, and the price level is 2. Using the quantity theory of money: a. Determine the level of real output.
Answer:
3200
Explanation:
The computation of the level of real output is given below;
We know that
Money supply × velocity of money = Price level × Real output
And,
Nominal output = Price level × real output.
Now
a) level of real output = money supply × velocity of money ÷ price level
= 800 × 8 ÷ 2
= $6400 ÷ 2
= 3200
All of the following questions are open-ended problems. You must compute an answer for every problem. For percentage answers, calculate your answer as a percent rounded to 2 decimal places. For example, you would record ROA = .1263974 as 12.64% (note that on D2L you will enter 12.64 without the percent sign). For dollar answers, round to the nearest dollar. For example, you would record $12,345.83943 as $12,346 (note that on D2L you will enter 12346 without a comma and without the dollar sign).13. Felton Farm Supplies, Inc. has an ROA (return on assets) of 12 percent, total assets of $1,000,000 and a net profit margin of 4.25 percent. What are Felton Farm Supplies annual sales?14. Krisle and Kringle's debt ratio = 72.0%. What is the company’s debt-to-equity ratio? (Enter answer as a ratio rounded to 2 decimal places – that is, do not convert to a percent; for example, enter 80/35 = 2.2857 as 2.29).15. Philips, Inc has a debt ratio of 42.5% and ROE = 15%. What is Phillips’ ROA? (Enter answer as a percent).16. A firm has an ROA of 16% and a debt/equity ratio of 1.45. The firm's ROE is _________. (Enter answer as a percent).17. Assume that XYZ, Inc. has:Debt ratio = 70% Net profit margin = 15% Return on assets (ROA) = 7.5% Find XYZ’s Total Asset Turnover ratio. (Enter answer as a ratio – that is, do not convert to a percent).
Solution :
13. Net income = total assets x ROA
= $ 1,000,000 x 12%
= $ 120,000
Net Income for company is $120,000.
Net Profit margin = 4.25%
Total sales = net income / net profit margin
= $ 120,000 / 4.25%
= $ 2,823,529
Total sales for company is $ 2,823,529
14. Debt ratio = 72%
So weight of debt = 72%
Weight of equity = 1 - 72%
= 28%
Debt equity ratio [tex]$=\frac{72 \%}{28 \%}$[/tex]
= 2.57
Debt equity ratio is 2.57
15. Debt ratio = 42.50%
So, weight of debt = 42.50%
Weight of equity = 1 - 42.50%
= 57.50%
Weight of equity is 57.50%.
Return on equity = 15%.
Return on assets = 57.50% × 15%
= 8.625%
Return on assets is 8.625%.
16.
Debt Equity ratio = 1.45
Weight of debt = 59.18%
Weight of equity = 40.82%
Return on assets = 16%
Return on equity = 16% / 40.82%
= 39.20%
Return on equity is 39.20%.
17.
Total Assets turnover = Sales / Total Assets
= (Net Income / Total Assets) / (Net Income / Sales)
= ROA / Net Profit margin
= 7.50% / 15%
= 0.50
Total Assets turnover is 0.50.
what are the characteristics of effective communication
Answer:
Clear—main ideas easily identified and understood.
Concise—gets to the point without using unneeded words or images.
Concrete—includes specific examples or explanations.
Correct—in information, word choice, and grammar.
Coherent—information presented in a logical sequence.
Completeness. Effective communications are complete, i.e. the receiver gets all the information he needs to process the message and take action. ...
Conciseness. Conciseness is about keeping your message to a point. ...
Consideration. ...
Concreteness. ...
Courtesy. ...
Clearness. ...
Correctness.
Explanation:
Hope this helps.
Suppose a basketball player has made 294 out of 359 free throws. If the player makes the next 3 free throws, I will pay you $20. Otherwise you pay me $26. Step 1 of 2 : Find the expected value of the proposition. Round your answer to two decimal places. Losses must be expressed as negative values.
Answer: -$0.74
Explanation:
Expected value of the proposition is:
= (Probability that player makes next 3 free throws * 20) - (Probability that player does not make the next 3 free throws * 26)
Probability that player does not make the next 3 free throws = 294/359 * 294/359 * 294/359
= 0.549235557
Expected value of proposition:
= (0.549235557 * 20) - ( (1 - 0.549235557) * 26)
= 10.98471114 - 11.719875518
= -$0.74
The budget director of Feathered Friends Inc., with the assistance of the controller, treasurer, production manager, and sales manager, has gathered the following data for use in developing the budgeted income statement for December 2016:
Estimated sales for December:
Bird house 3,200 units at $50 per unit
Bird feeder 3,000 units at $70 per unit
Estimated inventories at December 1:
Direct materials:
Wood 200 ft.
Plastic 240 lbs.
Finished products:
Bird house 320 units at $27 per unit
Bird feeder 270 units at $40 per unit
Desired inventories at December 31:
Direct materials:
Wood 220 ft.
Plastic 200 lbs.
Finished products:
Bird house 290 units at $27 per unit
Bird feeder 250 units at $41 per unit
Direct materials used in production:
In manufacture of Bird House:
Wood 0.80 ft. per unit of product
Plastic 0.50 lb. per unit of product
In manufacture of Bird Feeder:
Wood 1.20 ft. per unit of product
Plastic 0.75 lb. per unit of product
Anticipated cost of purchases and beginning and ending inventory of direct materials:
Wood $7.00 per ft.
Plastic $1.00 per lb.
Direct labor requirements:
Bird House:
Fabrication Department 0.20 hr. at $16 per hr.
Assembly Department 0.30 hr. at $12 per hr.
Bird Feeder:
Fabrication Department 0.40 hr. at $16 per hr.
Assembly Department 0.35 hr. at $12 per hr.
Estimated factory overhead costs for December:
Indirect factory wages $75,000
Depreciation of plant and equipment 23,000
Power and light $6,000
Insurance and property tax 5,000
Estimated operating expenses for December:
Sales salaries expense $70,000
Advertising expense 18,000
Office salaries expense 21,000
Depreciation expense—office equipment 600
Telephone expense—selling 550
Telephone expense—administrative 250
Travel expense—selling 4,000
Office supplies expense 200
Miscellaneous administrative expense 400
Estimated other income and expense for December:
Interest revenue $200
Interest expense 122
Estimated tax rate: 30%
1. Prepare asales budget for December.
2. Prepare a production budget for December.
Answer:
1. Sales Budget:
Bird House 3,200 units * $50 per unit = $160,000
Bird feeder 3,000 units * $70 per unit = $210,000
Total Revenue = $370,000
Explanation:
2. Production Budget:
Bird House
Expected units to be sold = 3,200
Less: Desired ending finished goods = 290
Total Units to be produced = 3,490
Less: Beginning Units = 320
Units to be produced = 3,170
Bird Feeder
Expected units to be sold = 3,000
Less: Desired ending finished goods = 250
Total Units to be produced = 3,250
Less: Beginning Units = 270
Units to be produced = 2,980
1 points Time Remaining 41 minutes 43 seconds00:41:43 Item 13 Time Remaining 41 minutes 43 seconds00:41:43 Richards Corporation uses the FIFO method of process costing. The following information is available for October in its Fabricating Department: Units: Beginning Inventory: 80,000 units, 60% complete as to materials and 20% complete as to conversion. Units started and completed: 250,000. Units completed and transferred out: 330,000. Ending Inventory: 30,000 units, 40% complete as to materials and 10% complete as to conversion. Costs: Costs in beginning Work in Process - Direct Materials: $37,200. Costs in beginning Work in Process - Conversion: $79,700. Costs incurred in October - Direct Materials: $646,800. Costs incurred in October - Conversion: $919,300. Calculate the equivalent units of materials.
Answer:
1000$
Explanation:
no why sorry lol i just count in my brain lol
