Chairry's is a direct marketer of popular music. The following information about its revenue and cost structure is available: Selling Price: $13.00 per CD Variable Costs: Production: $3.00 per CD Selling and Administration: $ 1.00 per CD Fixed Costs: Production: $1,000,000 per year Selling and Administration: $3,000,000 per year Assume that 500,000 CDs are produced, and 450,000 are sold in 2008. What is income under Full Costing? A $50,000 B $500,000 C $150,000 D $1,850,000
Q: Need help with this question solution general accounting
A: Understanding Key ConceptsPartnership BasisA partner's basis in a partnership interest starts with…
Q: I want to correct answer general accounting
A: Step 1: Define Variance AnalysisVariance analysis is crucial in cost accounting since it identifies…
Q: I need answer
A: Step 1:Missing units can be calculated by subtracting the ending units in physical count from the…
Q: Need solution this question general accounting
A: Step 1:a. As per accounting equation,Total assets = Total liabilities + Total stockholders'…
Q: Christmas Express makes wreaths in batch sizes of 30. The cutting and assembly process takes 2…
A: a)Step 1: Value-Added Time Value-added time includes both the cutting/assembly process and the…
Q: Hello tutor please provide this question solution general accounting
A: Step 1: Define EquityFollowing the accounting equation, equity is computed as the difference of…
Q: Please given answer general account
A: Hello student! To calculate the cash received from customers, we can use the formula:Cash received…
Q: The level of inventory of a manufacturered product solution this question
A: Step 1:Concept: Under absorption costing, the fixed manufacturing overhead is considered as product…
Q: Hello expert help me with this question
A: The cost per equivalent unit is computed by dividing the total cost available by the total units as…
Q: Rayco uses the straight line method.assets purchased between
A: Step 1: Define FurnitureFurniture, defined as goods purchased to furnish the office, like bookcases,…
Q: ?? Commission
A: Explanation of Commission: This is a fee or percentage of sales paid to a person or business for…
Q: The unadjusted trial balance as of December 31, 2024, for the Bags Consulting Company appears below.…
A: Adjusting entries are made at the end of an accounting period to record all revenues and expenses…
Q: Please provide this question solution general accounting
A: Weighted Average Cost of Capital (WACC) = 11% or 0.11Cost of Equity (Re) = 13% or 0.13Pretax Cost of…
Q: Please I need correct answer accounting
A: Step 1: Define Unit Product CostThe unit product cost is the manufacturing cost per item assigned to…
Q: Hello tutor please provide this question solution general accounting
A: Step 1: Define Indirect MethodUnder the indirect method, net income is adjusted for non-cash…
Q: On January 1, 2020, Floss Company purchased a copyright for $1,000,000, having an estimated useful…
A: The first step is to calculate the annual amortization expense for the copyright. This is done by…
Q: New visions inc is looking to achieve a net income please solve this question
A: Hello student! To calculate the required level of sales in units to achieve a net income of 15%, let…
Q: Determined the value of materials
A: Explanation of Opening Stock:Opening Stock refers to the value of raw materials or inventory that a…
Q: Olam International Limited sources and processes agricultural products including edible nuts and…
A: To address the question, we need to calculate the annual gross profit for the Peanut Division under…
Q: Theory of financial accounting
A: When accounting policies are too complex, they can actually make financial reports harder to…
Q: If sales are.....accounting question
A: Step 1: Define Operating LeverageOperating leverage determines the percentage change in the…
Q: Why do specialized industry accounting practices develop?
A: Explanation of Specialized Industry Accounting Practices: These are specific accounting methods and…
Q: Don't use ai or chat gtp
A: To calculate the total interest due, we use the formula for interest:Interest=Principal×Rate×(Time…
Q: Step by step answer
A: Explanation: In the given case, we are required to calculate sales price variance from the data…
Q: Give true solution for this accounting question
A: Step 1: Define Product CostOne of the critical decisions the owner of a firm has to make is deciding…
Q: What was the Liabilities?
A: Explanation of Assets:Assets are resources owned by a company that are expected to bring future…
Q: The following information is given for Gator Company, who uses the FIFO method. Net Realizable NRV…
A: Step 1:The lower of cost or net realizable for each inventory is calculated as follows:Formula…
Q: Need help with this question solution general accounting
A: Step 1: Define Cost ClassificationThe basic input for cost and management accounting reports comes…
Q: Hii expert answer this
A: Explanation of Assets:Assets are resources owned or controlled by a business that are expected to…
Q: Hi expert please give me answer general accounting
A: Step 1: Introduction to depreciationDepreciation is referred to a method of expensing the cost of a…
Q: On nov.1 carter company signed a 120- day this question solution general accounting
A: Step 1: Define LiabilitiesIncluded on the balance sheet is current and long-term liabilities such as…
Q: Please see attachment for details
A: Step 1:Capitalized Improvements are such expenses that increase the assets' useful life or…
Q: Don't want wrong answer
A: Explanation of Responsibility Accounting: Responsibility accounting is a system in which managers…
Q: Mate corporation standerd wage rate solve this question?
A: Step 1: Define Direct Labor VarianceIn cost accounting, the direct labor variance is the difference…
Q: Need help with this question solution general accounting
A: Step 1: Define Overhead expenseOverhead is the expense of keeping the organization solvent. Overhead…
Q: Please provide correct answer general accounting
A: Step 1: Introduction to bonds payableBonds payable refers to a type of long-term debt that a company…
Q: Accounting question
A: Step 1: Define Cost-Volume-Profit AnalysisThe cost volume profit (CVP) analysis is a management…
Q: Required: Gleason Guitars produces acoustic guitars. The table below contains budget and actual…
A: Step 1:Flexible budget for actual units: First, compute the budgeted variable cost per unit: Then,…
Q: Assignment
A: Explanation of Commission: Commission is a fee paid to a salesperson or agent for facilitating a…
Q: Select one of the four data approaches: Descriptive Analytics, Diagnostic Analytics, Predictive…
A: I have selected Predictive Analytics as the data approach. This approach is chosen because it allows…
Q: Need help with this question solution general accounting
A: Step 1: Define Profitability Index MethodThe profitability index (PI) method of capital budgeting is…
Q: Answer for 2007 and 2006
A: Explanation of Pay-out Ratio: Pay-out ratio is a financial metric that shows the proportion of…
Q: Hello tutor please provide this question solution general accounting
A: Step 1: Define Predetermined Overhead RateIt is mainly useful to ascertain the company's…
Q: When should accountants adopt inflation-adjusted accounting methods?
A: Explanation of Inflation-Adjusted Accounting: This is a method of financial reporting that modifies…
Q: 1. This is the first accounting period for Lo Lo Lawrence Landscaping. The Temporary Equity accounts…
A: Hello student! Closing Entries are made to transfer the balance of temporary accounts to permanent…
Q: Consider the following data collected for Albo's Rentals:…
A: 1. Labor Price VarianceFormula: LPV = (Actual Rate − Standard Rate) × Actual Hours…
Q: I want to correct answer general accounting
A: Step 1: Breakdown of Franchise FeeStep 2: Calculate Present Value of Future PaymentsStep 3:…
Q: Answer this
A: Explanation of Virtual Transactions: These are financial exchanges that occur entirely in digital…
Q: follow this questions and give proper answer with short details
A: To calculate gross profit using the FIFO (First-In, First-Out) method, we need to follow these…
Q: Answer the Question below Under which basis should companies record donated assets in their books?…
A: Explanation of Fair Market Value: Fair market value represents the price an asset would sell for in…
General account
Step by step
Solved in 2 steps
- ACME company's financial account detailsAdiwele Ltd has a financial year end of 31 March. The entity manufactures Compact Discs for resale. The manufacturing cost per compact disc is R2 per unit. Finished units of the compact disc are sold at R2.5 per unit. On 31 March 2021, Adiwele Ltd had 100 500 units of compact discs in stock. To sell this products Adiwele Ltd will incur the following costs: Sales commission of 20 cents per unit, Additional designing costs of 25 cents per unit, Advertising and packaging costs of 23 cents per unit, Salaries for administrative staff of R6 000 per month. Adiwele Ltd measures inventory at lower of cost and net realisable value as per IAS 2, Inventories according to IFRS at year end. What is the value of the closing inventory on 31 March 2021 as per IAS 2? 1.251 250 2. 201 000 3. 208 035 4. 136 035 5. 244 215North East printing produces posters of popular music groups for sale at concerts and festivals. The company has fixed expenses of $319,500 per month pla sells each poster for $9.50. North East has a target monthly income of $213,000. What is North East's operating leverage if it achieves its operating income OA. 4.0 OB. 2.5 OC. 0.4 O D. 1.0
- Sako Company’s Audio Division produces a speaker that is used by manufacturers of various audio products. Sales and cost data on the speaker follow:Selling price per unit on the intermediate market $ 80Variable costs per unit $ 62Fixed costs per unit (based on capacity) $ 8Capacity in units 25,000 Sako Company has a Hi-Fi Division that could use this speaker in one of its products. The Hi-Fi Division will need 5,000 speakers per year. It has received a quote of $77 per speaker from another manufacturer. Sako Company evaluates division managers on the basis of divisional profits.Required: 1. Assume the Audio Division is selling 22,500 speakers per year to outside customers. A. From the standpoint of the Audio Division, what is the lowest acceptable transfer price for speakers sold to the Hi-Fi Division? B. From the standpoint of the Hi-Fi Division, what is the highest acceptable transfer price for speakers acquired from the Audio Division? C. What is the…Talladega Tire and Rubber Company has capacity to produce 500,000 tires. Talladega presently produces and sells 400,000 tires for the North American market at a price of $200 per tire. Talladega is evaluating a special order from a European automobile company, Autobahn Motors. Autobahn is offering to buy 100,000 tires for $150 per tire. Talladega's accounting system indicates that the total cost per tire is as follows: Line Item Description Amount Direct materials $75 Direct labor 20 Factory overhead (70% variable) 30 Selling and administrative expenses (60% variable) 18 Total $143 Talladega pays a selling commission equal to 3% of the selling price on North American orders, which is included in the variable portion of the selling and administrative expenses. However, this special order would not have a sales commission. If the order was accepted, the tires would be shipped overseas for an additional shipping cost of $3 per tire. In addition, Autobahn has made the…Ottis, Inc., uses 640,000 plastic housing units each year in its production of paper shredders. The cost of placing an order is 30. The cost of holding one unit of inventory for one year is 15.00. Currently, Ottis places 160 orders of 4,000 plastic housing units per year. Required: 1. Compute the economic order quantity. 2. Compute the ordering, carrying, and total costs for the EOQ. 3. How much money does using the EOQ policy save the company over the policy of purchasing 4,000 plastic housing units per order?
- Roadside Inc. manufactures the Megalite, and is reviewing the product's cost structure. Accounting records show these costs:factory space: $250,000 per yearinsurance: $47,000 per yearsupervisor salaries: $125,000 per yearmaterials: $5.00 per lampdirect labor: $2.69 per lamprecycling charge: $0.37 per lampRoadside Inc sells the Megalite to wholesalers for $13.69 each. Calculate Roadside's contribution margin as percent of selling price on the Megalite. (Rounding: tenth of a percent. Report 25.3%, for example, as "25.3".)The following cost and revenue information pertains to the new CD: CD package and disc (direct material and labor): $2.50/CD Songwriters’ royalties: $0.70/CD Recording Artists’ royalties: $2.00/CD Advertising & promotion: $380,000 Sony Records Inc.’s Overhead: $300,000 Selling price of CD: $10.00 Question 1: What is the per unit gross marketing contribution? Group of answer choices a 48% b 52% c None of these d 35%Bison Creek Company is preparing its annual profit plan. As part of its analysis of the cost of its purchasing activity, management estimates that the $250,000 for purchasing support should be assigned to the individual vendors from the information given as follows: Vendor A Vendor B Vendor C Units purchased 100,000 100,000 500,000 Purchase orders (annual) 12 24 50 Number of shipments received 12 52 100 Required: a. Allocate the purchasing costs to the three vendors, assuming Bison Creek uses units purchased to compute activity-based costs. b. Allocate the purchasing costs to the three vendors, assuming Bison Creek uses purchases orders to compute activity-based costs. c. Allocate the purchasing costs to the three vendors, assuming Bison Creek uses number of shipments to compute activity-based costs.
- The Titan Company provides you with the following information for the current year: Revenues = $2,000,000Cost of goods sold = $750,000 (2/3 of this amount varies with the number of units produced)S&A costs = $200,000 (1/2 of this amount is fixed)Selling price = $40 per unit The company sold 50,000 units of their product in the current year. The company expects unit sales of their product to increase 20% in the next year. Based on the information above, what would be the expected increase to profit before taxes in the coming year?Vandenberg Inc., produces and sells two products; a celling fan and a table fan.Vandenberg plans to sell 30,000 ceiling fans and 70,000 table fans in the coming year.Product price and cost information includes; Common fixed selling and ad,inistrative expenses total $85,000. Required: 1. What is the sales mix estimated for the next year (calculated to the lowest whole number for each product)? 2. Using the sales mix from Requirement 1, form a package of ceiling fans and table fans.How many ceiling fans and table fans are sold at break-even? 3. Prepare a contribution-margin based income statement for Vandenberg,Inc.,based on the unit sales calculated in Requirement 2. 4. What if Vandenberg,Inc.,wanted to earn operating income equal to $14,000? calculate the number of ceiling fans and table fans that must be sold to earn this level of operating income.(hint;Remeber to form a package of ceiling fans and table fans based on the sales mix and to first calculate the number of packages to…The Dodson Company manufactures and distríbutes three types of electronic products, Zymol, Zybat and Zycot. The following details the unit sales, selling prices and manufacturing costs of the three electronic devices: Zymol $100 Zybat $120 Zycot $180 Sales Price Manufacturing Cost $60 $80 $110 Number ofunits sold 15,000 13,000 12,000 Selling, general and administrative(SG&A) expenses are $1,170,000. SG&Aexpenses are currently being allocated based upon sales revenue for the three products. The Dodson Companyis considering allocating SG&A expenses underan activity based costing methodology as follows: Upon further investigation of the SG&A expenses, (50 percent) are shown to be for marketing and advertising. Each product has its own advertising and marketing budget, administered by one of the three marketing managers. Zycot, the premier product, is advertisedheavily. Sixty percent of the marketing and advertising budget goes toward Zycot, twenty percent to Zymol and twenty percent to…