Answered: Fixed cost allocation rates should be…

Fixed cost allocation rates should be determined using Select one: a. Past production capacity b. Short-term average usage c. Short-term expected usage d. Long-term expected usage

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter2: Building Blocks Of Managerial Accounting

Section: Chapter Questions

Problem 7Q: Explain the concept of relevant range and how it affects total fixed costs.

See similar textbooks

Related questions

Q: Target inc. has 30 milion shares solve this accounting questions

A: What is Goodwill?Goodwill is an intangible asset recorded on the acquirer's balance sheet during a…

Q: Subject:- General Account Kay Mart Company is preparing financial statements and provides the…

A: Understanding the Lower of Cost or Market RuleThe LCM rule requires that inventory be valued at the…

Q: Hello teacher please help me with this accounting questions

A: Equivalent units represent the number of fully completed units that could have been produced given…

Q: Current Attempt in Progress An inexperienced accountant for Larkspur Corporation made the following…

A: Correct entries: July 1. When shares with a stated value are sold, the proceeds will be debited to…

Q: Do fast answer of this accounting questions

A: To prepare a correct statement of comprehensive income, we will include both the income before taxes…

Q: Pharoah Company purchased a delivery truck. The total cash payment was $36,086, including the…

A: Step 1: Identify the Direct CostsThese are costs directly related to acquiring and preparing the…

Q: Wildhorse Restaurant Supply Company had the following transactions: 1. Issued 5,100 shares of $100…

A: Transaction 1. When shares with a par value are sold, the proceeds will be debited to the cash…

Q: Financial accounting

A: Step 1:a. The margin is calculated as follows: Margin = Selling price - Purchase cost =…

Q: Please given answer general account question

A: Step 1: Define Gross ProfitGross Profit is computed by deducting the cost to produced the units sold…

Q: Provide correct answer general accounting

A: Detailed explanation:Question : Days to collect outstanding accounts receivable during year 2Given :…

Q: Need help me give you answer general accounting

A: Detailed Explanation : Formula: Average Number of Days' Sales in Accounts Receivable = (average…

Q: If you give me correct answer I will give you helpful rate on these general accounting question

A: Step 1: Define Gross ProfitThe amount of gross profit could be computed by obtaining the difference…

Q: Fill blank space with correct answer. General Account Subject Questions

A: To calculate the ending inventory value using the Lower-of-Cost-or-Market (LCM) method, applied to…

Q: General accounting

A: Step 1: Define Direct Materials BudgetThe direct materials budget will serve as input in the…

Q: Financial Account

A: Step 1: Lower-of-Cost-or-Market RuleFor each item, compute the Net Realizable Value (NRV):…

Q: I want to correct answer accounting questions

A: Step 1: Define Gross Profit MarginGross Profit Margin is the ratio of the amount of gross profit…

Q: Solve this accounting questions

A: Step 1: Definition of Installment Sale MethodThe Installment Sale Method is a tax reporting approach…

Q: I need answer of this question solution general accounting

A: Step 1: Define Net PurchasesNet purchases refer to the amount of merchandise purchased, which is net…

Q: 3) 12% - The following data is provided for the ABC Company • Budgeted overhead for the year is…

A: a. Overhead RateThe overhead rate is the amount of overhead applied to production for each machine…

Q: Need help with this question solution general accounting

A: Step 1:Equivalent units of production is a method which is used to calculate the value of partially…

Q: Do fast answer accounting questions

A: As per CAPM, Expected return on stock = Risk-free rate + Beta*(Market Rate-Risk-free rate) Expected…

Q: SUBJECT = COST ACCOUNT Elgin Battery Manufacturers had sales of $870,000 in 2009 and their cost of…

A: Step 1: Determine Gross ProfitThe cost of goods sold (COGS) is 63% of sales, so the gross profit is…

Q: I don't need ai answer accounting questions

A: 1% for 45 days needs to be converted to annual rate (365 days)Formula = (Discount % × 365) / (Days…

Q: Need help with this question solution general accounting

A: Step 1: Computation of adjusted book valueBook value = $620,000The value of equipment needs to be…

Q: Hello tutor please provide answer general accounting question

A: Step 1: Define Cost of Gods SoldThe "direct cost" incurred in the production of any goods or…

Q: Need answer the general accounting question not use ai and chatgpt

A: Follow this formula of cost of goods sold.Cost of goods sold = Beginning inventory + Purchases -…

Q: Please given correct answer

A: Step 1: Define Depreciation ExpenseThe depreciation expense on an asset represents the expense…

Q: None

A: Given:- Average Daily Demand (D) = 50 units/day - Lead Time (L) = 10 days Calculation:R = 50 \,…

Q: When should dynamic allocation models replace static methods? a) Changes create confusion b) Fixed…

A: Approach to solving the question:Freeform Detailed explanation: The reason c) Changing business…

Q: If a company has total liabilities accounting questions

A: Step 1: Definition of the Accounting EquationThe accounting equation…

Q: I need this question financial accounting

A: Step 1: Define Company ValuationThere are various methods used by analysts to value companies and…

Q: Please given correct answer general accounting

A: To calculate the average collection period (ACP), we use the formula: Average Collection…

Q: general account questions. please answer me soon

A: Step 1: Understanding the ProblemWe are tasked with calculating:Taxable income for the company.The…

Q: Hi expert please give me answer general accounting

A: Step 1: Definition of Net IncomeNet income is the company's total earnings after deducting all…

Q: Need Answer

A: Under variable costing, product costs include only the following manufacturing costs:Direct…

Q: Hy expert give me correct answer

A: Step 1: Define Gross IncomeThe gross income of an individual taxpayer refers to the total amount of…

Q: Stockinger Corporation has provided the following information concerning a capital budgeting…

A: To calculate the total cash flow net of income taxes in Year 3, we need to consider the following…

Q: Hello tutor please provide this question solution general accounting

A: Step 1: Define Net IncomeNet income refers to the income that remains after paying expenses like…

Q: Hi expert please give me answer general accounting

A: Step 1: Understand the ScenarioThe car's sticker price and rebates are provided:Sticker Price:…

Q: The Johnson Manufacturing Company manufactures a single product. The managers, Ron and Ken Johnson…

A: Given InformationBase Year (2005) Inventory = $500,000Price Indexes:2006: 1.102007: 1.142008:…

Q: None

A: Step 1: Define Average Collection PeriodThe average collection period calculates the number of days…

Q: General accounting

A: Income Before Income Taxes:This is the amount of income the company earned before accounting for…

Q: Not use ai and chatgpt only experts answer excepted on these general accounting question

A: Step 1: Define Return on InvestmentReturn on investment is a financial ratio that indicates the…

Q: Brian brewster sold the property solve this accounting questions

A: Step 1: Define Capital GainA capital gain arises when the price of a Capital Asset appreciates and…

Q: Need Solution

A: To determine the effect on the company's total net operating income of accepting the special order,…

Q: TAGGING @ Financial Account

A: Step 1: Identify the Given DataNumber of rooms: 300Average daily room rent (price per room):…

Q: What amount should axel report?

A: Partnership's Fiscal Year:GNR Partnership uses an August 31 fiscal year-end. This means that the…

Q: General Account Que.

A: To determine how much Appalachian Airlines paid in taxes in 2014, we need to calculate taxable…

Q: Subject:- General Account

A: The LCNRV rule states that inventory should be valued at the lower of either:Cost, orNet Realizable…

Q: Accounting Problem 2.5: The balance sheet of Bright Sportswear reports total equity of $500,000 and…

A: Explanation of Balance Sheet: A balance sheet is a financial statement that shows a company's…

Question

Fixed cost allocation rates should be determined using

Select one:

a. Past production capacity

b. Short-term average usage

c. Short-term expected usage

d. Long-term expected usage

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

Which of the following is called minimum point of production at which total cost is recovered: Select one: O a. Margin of safety O b. Contribution margin c. Fixed cost O d. Break-even point
Relevant costs for target pricing are ________. A. variable manufacturing costs B. variable manufacturing and variable nonmanufacturing costs C. all fixed costs D. all future costs, both variable and fixed
Which of the following is called minimum point of production at which total cost is recovered: Select one:a. Break-even pointb. Fixed costc. Margin of safetyd. Contribution margin
a predetermined application rate for conversion costs is based on actual conversion costs divided by a budgeted cost driver. True or False?
A fixed cost total rises or falls in approximate proportion to changes in activity base. Select one: O True O False
A cost which changes in proportion to changes in volume of activity is called a: * a. fixed cost b. controllable cost c. variable cost d. opportunity cost
An input whose cost is determined by the quantity of input consumed is a A. Fixed cost B. Variable cost C. Step cost D. Variable cost with fixed component
2)Which of the following is the type of cost calculated with a scientific and engineering approach and before production starts at the beginning of the period? A. Semi-variable costsB. Standard costsC. Actual costsD. Variable costsE. Production costsF. Fixed costs
Which one of the following statement best describe the unit variable cost: Select one: O a. Remains constant in the relevant range O b. Increase with the increase of activities O c. Increase with the decrease of activities O d. Decrease with the increase of activities
Standard cost is a Select one: a. Actual cost b. Historical cost c. Predetermined cost d. direct cost
Which of the following best describes a fixed cost? a.Cost representing a fixed proportion of total costs b.Cost directly related to output c.Cost that remains at the same level up to a particular level of output . d.Cost that remains at the same level when output increases.
Cost estimation is the process of a. Summarizing pwst costs into fixed variable components. b.Estimating the relationship between costs and the costs drivers that cause those costs. c. Documenting costs in terms of direct and indirect costs. d. All of the choices