A manufacturing plant wishes to buy a new equipment so the purchasing department did some research on different types of this equipment. In the monthly meeting, the purchasing department presented a report about the two types of equipment that they have found. Pertinent data are as follows: Type A Туре В First cost P250,000 P350,000 Annual operating cost 30,000 22,000 Annual labor cost 52,000 34,000 Insurance and property taxes 3% 3% Labor/Payroll taxes 4% 4% Estimated life 10 10 If the minimum required rate of return is 18%,
Q: popular compact disc (CD) label at a price of eith 5/3/2021 2:31 PM
A: Payoff Matrix is used in the game theory, where the strategies of a player is listed in a row and…
Q: rdinary shares with P50 par value for a combined cash amount of P11,000,000. The market value of the…
A: Shareholders also invest money in the company and in return they become the owners in proportion to…
Q: The GMA corporation shows the following data related to an item of Inventory Inventory, January 1…
A: FIFO: FIFO stands for First-In, First-Out. In this method inventory purchased first will be sell…
Q: What is meant by "an individual dies intestate?" Select one: a.That person did create a will before…
A: There are certain unwanted situations in the life and there are sudden death of person and many time…
Q: Roscoe Company has a contract with its CEO to pay him a bonus during each of the years 2018 – 2021.…
A: GIVEN Roscoe Company has a contract with its CEO to pay him a bonus during each of the years 2018…
Q: Presented below is selected information related to Blue Co. for the month of January 2022. Ending…
A: Ending inventory are overstated by $800 ($23,710 - $22,910)
Q: Mastery Problem: Corporations: Organization, Stock Transactions, and Dividends Pranks, Inc. Pranks,…
A: Hi student Since there are multiple subparts, we will answer only first three subparts.
Q: A small coffee shop currently offers a cup of cafe latte for P107. The variable costs are P62 per…
A: Break Even sales is the point of sales where the firm neither incurs any losses or earns any gains…
Q: The Sisters Corporation has 1000 shares of its $50 par, 6% cumulative preferred stock, 1,000 shares…
A: Cumulative preference shares: These are the preference shares those have an option to receive the…
Q: Please read the following scenario carefully for the next question: If, (a) the Retail Selling…
A: Markup refers to the amount by which the price of a product is increased either by the manufacturer,…
Q: If the depreciation rates are 12% in Year 1 and 18% in Year 2, what is the depreciation tax shield…
A: Correct answer is Option D $ 19,404 What is DEPRICIATION? A reduction in the value of an asset…
Q: condominium unit is being amortized with a quarterly payment of P56,000 for 5 years at % compounded…
A: Quarterly Payment 56000 Rate of Interest 3% No of years 5 years
Q: Managerial accounting is often reffered as accounting for internal users of information. true or…
A: Accounting refers to an art of recording transaction in the books of a company and using these…
Q: Greiner Company makes and sells high-quality glare filters for microcomputer monitors. John Craven,…
A: The question is based on the concept of Cost Accounting. As per the Bartleby guidelines we are…
Q: How much is the Output VAT? RTT opt to register to VAT on its 3rd year of operation Beginning…
A: Output VAT is the value added tax you calculate and charge on your own sales of goods and services…
Q: Pls help me find: 1. the net cash flow from operating activities 2. the net cash flow from…
A: Following statement is prepared to identify required information: Cash flows from operating…
Q: The following data was taken from EOQ Swab Company in July: Beginning inventory - 0 Units…
A: Solution 1: Equivalent production for labor during the month = units completed and transferred out +…
Q: Carla Vista provides shuttle service between 4 hotels near a medical center and an international…
A: Contribution margin ratio = $32,184 / $40,240 = 80% Contribution margin per unit = $32,184 / 1490 =…
Q: Bizarre Company acquired 6,000 shares with P1 par value at P36 per share. During 2012, the entity…
A: When cost method is used to measure treasury shares. Then treasury shares are to be measured…
Q: Marian Company uses the allowance method of accounting for bad debts. The following summary schedule…
A: Doubtful accounts expense for the current year = Estimated uncollectible accounts - Allowance for…
Q: Entries for Issuing No-Par Stock On May 15, Helena Carpet Inc., a carpet wholesaler, issued for cash…
A: Preferred stock means the amount raised against which dividend is given to stock holder but after…
Q: How much is the VAT Payable in April?
A: Vat is a Value added tax, it is a consumption tax on goods and services, Vat is levied at each stage…
Q: The GMA corporation shows the folowing data related to an item of Inventory Inventory, January 1 100…
A: Cost of goods available = (100 x P50) + (300 x P54) + (90 x P60) = P26,600
Q: Perry's Carpentry Comparative Income Statement For the years ended December 31, 2016, 2015 Increase…
A: Comparative statement means where first increase or decrease is calculated between two year and then…
Q: Discuss the best reason(s) for using the allowance method and give some examples of companies that…
A: The reasons for using the Allowance method are discussed hereunder : There are two methods to…
Q: In its first year (2021), Camco Incorporated generated a $92,000 net operating loss, and it made a…
A: The donation to local charity of $5000 in year 2021 will not be allowed as deduction in year 2021…
Q: On January 1, 2022, Ivanhoe Company issued $425,000, 12%, 10-year bonds at face value. Interest is…
A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…
Q: Question 6 of 30. Which of the following items increases the basis of property received in a…
A: A nontaxable exchange is one in which neither profit or loss is taxed and no loss may be deducted.…
Q: -) Monthly payment: S_] (Round to tal interest paid: S (Round to two
A: Compound interest is used in case of lump-sum money accumulates in the future if interest is charged…
Q: MCO Manufacturer uses a standard costing system and the following information belongs to the…
A: Standard direct labor cost per unit = Standard hours per unit x Standard labor rate per hour where,…
Q: Explain the difference between: a) Cash Flows versus Accounting Estimates b) Static Payback Period…
A: When a company prepares financial statements or budgets it has to estimate various amounts. The…
Q: Which of the following is not an essential characteristic of a liability? a. Legal enforceability b.…
A: Liabilities shall always form part of balance sheet. Liabilities are the debts company has taken…
Q: company received the following profitability analysis of its services: Auto Insurance $10.000.000…
A: Profitability: It implies to the ability of a business to utilize it's resources in such a manner so…
Q: Sunland Hardware's chart of accounts includes the following: No. 101 Cash, No. 112 Accounts…
A: The question is based on the concept of Financial Accounting.
Q: Question 1. Which of the following reprosents tho fundamental accounting oquation used in a business…
A: Solution: As per Fundamental accounting equation which is the basis of double entry book keeping…
Q: ABC Company operates a number of branches. On December 31, 2022, its Mindanao branch showed a Home…
A:
Q: 1. How much is the consolidated sales for 2022? 2. How much is the net income attributable to…
A: In 2022, ABC Company sold inventory costing P150,000 to its 80%-owned subsidiary for P210,000. A…
Q: Following is the year-end adjusted trial balance for MGM, Inc. for the December 31, 2020. MGM, Inc.…
A: Closing entries are prepared in order to close accounts like income and expenses which is normally…
Q: Required: 1. Determine the following for the years 20Y4 through 20Y8 for each of the graphs below.…
A: Financial ratios are those which provide a summary of the accounts of a company and helps an…
Q: a Traders is a registered VAT vendor and uses the periodic inventory system. Africa Traders buys and…
A: Since Mrs. South has settled her account.
Q: GHI Company compensates its employees for certain absences for vacation and sickness. Employees are…
A: Hi student Since there are multiple subparts, we will answer only first three subparts.
Q: ill Corp. has the following information available about a potential capital investment:…
A: Net present value is the Difference of Present value of cash inflows and present value cash outflows…
Q: Saved Income statements and balance sheets data for Virtual Gaming Systems are provided below.…
A: Ratio Analysis - The ratio is the technique used by the prospective investor or an individual or…
Q: Do you perceive an ethical dilemma? What would be the likely impact of following the controller’s…
A: The perception of ethical dilemma and the likely impact of following the controller's suggestions…
Q: Marter Co. filed a bankruptcy petition and liquidated its noncash assets. Marter was paying forty…
A: Mortgage is a form of loan where an asset is produced as a collateral in order to receive the funds…
Q: Cane Company manufactures two products called Alpha and Beta that sell for $130 and $90,…
A: Marginal Cost - It is the amount of change in the total cost when the quantity produced are…
Q: 46 ABC Company uses a backflush costing system with three trigger points: Purchase of direct…
A: Backflush cost accounting could be a cost accounting system that omits recording some or all of the…
Q: Assume the following production data taken from the records of CONEY Manufacturing Co:…
A: Solution: Equivalent units under FIFO method = Units in beginning WIP * % completed during the…
Q: For a bus with a capacity of 30 seats, the full fare is $450 and the discounted fare is $150. On…
A: The practice of calculating the present value of a payment or a stream of payments that will be…
Q: ABC company prc
A: Gross income is the total income you earn on your paycheck, and net income is the amount you receive…
Step by step
Solved in 2 steps
- Identify cost graphs The following cost graphs illustrate various types of cost behavior: For each of the following costs, identify the cost graph that best illustrates its cost behavior as the number of units produced increases: A. Total direct materials cost B. Electricity costs of 1,000 per month plus 0.10 per kilowatt-hour C. Per-unit cost of straight-line depreciation on factory equipment D. Salary of quality control supervisor, 20,000 per month E. Per-unit direct labor costCorazon Manufacturing Company has a purchasing department staffed by five purchasing agents. Each agent is paid 28,000 per year and is able to process 4,000 purchase orders. Last year, 17,800 purchase orders were processed by the five agents. Required: 1. Calculate the activity rate per purchase order. 2. Calculate, in terms of purchase orders, the: a. total activity availability b. unused capacity 3. Calculate the dollar cost of: a. total activity availability b. unused capacity 4. Express total activity availability in terms of activity capacity used and unused capacity. 5. What if one of the purchasing agents agreed to work half time for 14,000? How many purchase orders could be processed by four and a half purchasing agents? What would unused capacity be in purchase orders?Bumblebee Mobiles manufactures a line of cell phones. The management has identified the following overhead costs and related cost drivers for the coming year. The following were incurred in manufacturing two of their cell phones, Bubble and Burst, during the first quarter. REQUIREMENT Review the worksheet called ABC that follows these requirements. You have been asked to determine the cost of each product using an activity-based cost system. Note that the problem information is already entered into the Data Section of the ABC worksheet.
- A manufacturer uses activity-based costing to assign overhead costs to products. Budgeted cost information for selected activities for next year follows. Activity Purchasing Cleaning factory Providing utilities Activity cost pool Purchasing Factory Expected Cost $127,600 31,500 63,070 Expected Costs Compute activity rates for each of the cost pools. (Round your answers to 2 decimal places.) Expected Amount of Cost Driver Cost Driver Purchase orders Square feet Square feet 4,400 4,900 Activity Overhead Rate Expected Usage of Cost Driver 4,488 purchase orders 4,900 square feet 4,900 square feet per purchase order per square footThe company is considering using a two-stage cost allocation system and wants to assess the effects on reported product profits. The company is considering using Engineering Hours and Users as the allocation base. Additional information follows. Toot! TiX Total Engineering hours 7,650 5,650 13,300 Users 9,500 17,100 26,600 Engineering – hour related administrative cost $ 114,380 User-related administrative cost $…Required information [The following information applies to the questions displayed below.] Adria Company recently implemented an activity-based costing system. At the beginning of the year, management made the following estimates of cost and activity in the company's five activity cost pools: Expected Activity Overhead Expected Activity 6,500 DLHS 2,400 orders 700 receipts 1,400 relays 41,000 MHs Activity Cost Pool Labor-related Purchase orders Measure Cost $ 58,500 $ 12,000 $ 11, 200 $ 14,000 $369, 000 Direct labor-hours Material receipts Relay assembly General factory Number of orders Number of receipts Number of relays Machine-hours Required: 1. Compute the activity rate for each of the activity cost pools. Activity Cost Pool Activity Rate Labor-related per DLH Purchase orders per order Material receipts per receipt Relay assembly per relay General factory per MH
- University Printers has two service departments, Maintenance and Personnel, and two operating departments, Printing and Developing. Management has decided to allocate maintenance costs on the basis of machine-hours in each department and personnel costs on the basis of labor-hours worked by the employees in each. The following data appear in the company records for the current period. Maintenance Personnel Printing Developing Machine-hours 1,000 1,000 3,000 2,000 $10,000 Labor-hours. 500 500 Department direct costs. $5,000 $12,000 $15,000 Required Use the direct method to allocate these service department costs to the operating departments.Assume a company’s activity-based costing system contains an activity called Engineering Change Orders (ECOs). This activity cost pool includes a total of $151,000 in its numerator. One of the company’s products was charged $400 from this activity because it required two ECOs during the year. How many ECOs were used to calculate the ECO activity rate?As a new accountant of the company, you are provided with the following information related to KOKO: Product Annual production and sales unit Direct material cost per unit Direct labour cost per unit Machine hours per unit Selling price per unit Koko 5,500 RM50 RM35 3 hours RM150 The company is considering of changing the traditional method to the Activity Based Costing (ABC) method. In order to adopt ABC method the following information is required: Activity Cost Cost Driver Pool Expected overhead Expected use of drivers per product Other products 3,500 costs Коко (RM) No of purchase orders Machine hours Maintenance Maintenance hours Number of inspections Total Purchasing 4,000 37,500 Machining 16,500 8,000 1,500 147,000 43,000 3,500 Quality control 1900 1600 17,500 245,000 Required: a. If the company decided to use the Activity Based Costing (ABC) method, determine the cost per unit of KOKO. Based on your answer in (a), advise whether the company should change to ABC method. Support…
- University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing). Management has decided to allocate maintenance costs on the basis of machine hours in each department and personnel costs on the basis of labor-hours worked by the employees in each. The following data appear in the company records for the current period: Maintenance Pernonnel Printing Developing 1,400 Machine-hours 1,400 900 4, 200 Labor-hour Department direct costs 900 62, e00 3,100 $11, 700 $12, 800 $14, 500 Required: Use the direct method to allocate these service department costs to the operating departments. (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations.) Maintenance Personnet Printing Developing Service department costs Maintenance allocation Personnel allocation Total costs allocatedUniversity Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing and Developing). Management has decided to allocate maintenance costs on the basis of machine-hours in each department and personnel costs on the basis of labor-hours worked by the employees in each. The following data appear in the company records for the current period: Maintenance Printing 1,300 Developing 3,900 3,100 $11,600 Personnel Machine-hours 1,300 006 $15,200 Labor-hours 900 Department direct costs $3,600 $13,600 Required: Use the direct method to allocate these service department costs to the operating departments. (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations.) Maintenance Personnel Printing Developing Service department costs Maintenance allocation Personnel allocation Total costs allocated 0 $ 0 $The controller of Ferrence Company estimates the amount of materials handling overhead cost that should be allocated to the company's two products using the data that are given below: The total materials handling cost for the year is expected to be $16,486.40. If the materials handling cost is allocated on the basis of material moves, how much of the total materials handling cost should be allocated to the specialty windows? (Round off your answer to the nearest whole dollar.) Question 12 options: $3,266 $9,274 $8,243 $6,595