Medical School manufactures the COVID19 Vaccines that are sold through contract distributors. Those distributors are paid a commission of 18% of revenues. USEK Medical School is considering replacing the contracted distributors with its own gro of students, who would be paid a commission of 12% of revenues and total salaries $7,950,000. The income statement for the year ending December 31, 2020, under the two scenarios shown here. USEK Medical School
Q: Kevian ltd Kenya soft drink manufacturer. The following information has been provided by the cost…
A: Break even point (in units) = Fixed costs/contribution per unit
Q: In an effort to increase sales, Relay Company inaugurated a sales promotional campaign on June 30,…
A: The liabilities are the amount that company owes to its creditors and due to be paid.
Q: DSSS Corporation is considering a new project to manufacture widgets. The cost of the manufacturing…
A: Capitalize cost of equipment = Equipment cost + Shipping and installation cost
Q: Benoit Manufacturing Company manufactures and sells parts for various musical gadgets. The following…
A: Hi student Since there are multiple subparts, we will answer only first three subparts. If you want…
Q: MidCoast Airlines provides charter airplane services. In October, when the company is operating at…
A: Introduction: The contribution margin is the difference between a product's price and any associated…
Q: DSSS Corporation DSSS Corporation is considering a new project to manufacture widgets. The cost of…
A: Cashflow means inflow (increase) or outflow (decrease) of cash. It effects the cash position and…
Q: You are considering starting a walk-in clinic. Your financial projections for the first year of…
A:
Q: The Nature and Wildlife Corporation has manufacturing facilities in country A and an assembly plant…
A: Transfer price is the price at which one department of a company transfers its final product to…
Q: Background It is the 1st April 2021. Jang is the Management Accountant for the business Chinese…
A: The targeted sales are the estimated or expected amount of sales. The targeted sales units are also…
Q: The San Lowsingso Hospital near Sacramento, California, charges a group of patients a total of $1…
A: The most likely amount method is the single most likely amount that is in a range of possible…
Q: Division Y has asked Division X of the same company to supply it with 9,000 units of part L763 this…
A: Transfer price: It is the price charged to a product when the products are transferred from one…
Q: SSS Corporation DSSS Corporation is considering a new project to manufacture widgets. The cost of…
A: Given, Cost of manufacture widgets = 135000
Q: Benoit Manufacturing Company manufactures and sells parts for various musical gadgets. The following…
A: Total Variable Cost per Unit = Direct Material + Direct Labor + Variable manufacturing Overheads…
Q: On January 1, Revis Consulting entered into a contract to complete a cost reduction program for…
A: Answer:- Journal entry meaning:- The act of maintaining or creating records of any transactions,…
Q: Ivanhoe Company sells goods on credit that cost $309,500 to Michael Company for $415,500 on January…
A: The revenue recognition principle under the accrual basis of accounting dictates that revenues…
Q: Megatron Barber provides a standardised hair design and care service to customers. The price for…
A: The comparison Factors between Feb, 2020 (Promotional Plan) and Feb, 2021 (Non-Promotional Plan)…
Q: Clemson University Urgently needed $30 million to properly execute a student testing plan during…
A: Face value=$30 millionDiscount rate=8.5%Fees to broker=1.5%Number of days=270 days
Q: Eagle Tiles is a small distributor of marble til and storage, and shipping, and it reports the…
A:
Q: Range of transfer prices:
A: The cost of transferring products, services, or intellectual property between divisions,…
Q: Please step by step process. Professor von Nordenflycht presents Dean Kayande with two new…
A: Answer:- a Computation of expected value of program 1:- X P(x) X * P(x) $150,000 0.50 $75,000…
Q: machines during January elected to pay at the end of the 12-month period. Required: 1. Determine the…
A: Since you have posted a question with multiple sub parts, we will provide the solution only to the…
Q: Aria Perfume, Incorporated, sold 2,430 boxes of white musk soap during January of 2024 at the price…
A: Right to return is not considered as the performance obligation because it is the potential failure…
Q: For years. Worley belleved profit. However, in the face of declining profits, Worley decided to…
A: Activity-based costing: Activity-based costing is the method that uses activity rates for assigning…
Q: Worley Company buys surgical supplies from a varlety of manufacturers and then resells and dellvers…
A: 1. University 31000 x 107% = 33170 Memory 31000 x 107% = 33170
Q: Please use data table to calculate Gliss’s oper
A: Eagle Tiles Operating Income Calculation for 2019Given Data for 2019:Marble tiles bought: 220,000…
Q: Blossom Company sells goods on credit that cost $315,000 to Daniel Company for $415.500 on January…
A: Income statement is a financial statement that shows profitability, total revenue and total…
Q: DSSS Corporation DSSS Corporation is considering a new project to manufacture widgets. The cost of…
A: Operating Cash Flow (OCF) is a financial metric that represents the amount of cash generated or used…
Q: DSSS Corporation DSSS Corporation is considering a new project to manufacture widgets. The cost of…
A: Before investing in new assets or projects, profitability is evaluated by using various methods like…
Q: Crane Inc. sells prepaid telephone cards to customers in its convenience stores. When Crane sells…
A: Income earned by Crane inc. is the amount of commission received on sale of prepaid telephone cards…
Q: uppose you are the human resource manager for a cellular phone company with 700 employees. Top…
A: Step 1 Fringe benefits are the additional benefits offered to an employee, above the stated salary…
Q: Nantucket Industries manufactures and sells two models of watches, Prime and Luxuria. It expects to…
A: Prime Cost:It is the total direct cost of production, including raw materials and labor. Indirect…
Q: Sharman Athletic Gear Incorporated (SAG) is considering a special order for 15,000 baseball caps…
A: a special order is a one-time order that is outside of a company's normal operations. It is…
Q: 60,000 in cash. For similar arrangements, Home usually charged $40,000. A correct journal entry to…
A: When a business receives an amount for revenues to be earned in the future, then that amount is,…
Q: Requirements of the Offer. Technical ConsumerProducts, Inc. (TCP), makes and distributes…
A: Introduction: TP Inc. announced a bonus plan for its sales managers in which a manager would earn…
Q: Worley Company buys surgical supplies from a variety of manufacturers and then resells and delivers…
A: 1. ParticularsUniversityMemorialCost of goods Sold33,00033,000Markup in dollars (9%)2,970…
Q: are considering starting a walk-in clinic. Your financial projections for the first year of…
A: Income statement: Revenue 405,041 Less:- Variable expense Medical supplies 46,208…
Q: The Nature and Wildlife Corporation has manufacturing facilities in country A and an assembly plant…
A: Net profit means the difference between the income and expenses. Financial statement means the…
Q: The NYU hospital has an arrangement with Queens College to provide hospital care to the QC’s members…
A: Step 1 As per US GAAP, the revenue is to be recognized p the basis of work d certified by a…
Q: DSSS Corporation DSSS Corporation is considering a new project to manufacture widgets. The cost of…
A: Operating Cash Flows refers to cash generated by an entity from its regular business activities…
Q: Please calculate the operating income then calculate the per unit amounts in the chart.
A: Total Per Unit Revenues $ 2,750,000 $ 11.00 Costs: Purchase cost of pencil packs $…
Q: USEK Medical School manufactures the COVID19 Vaccines that are sold through contracted distributors.…
A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for…
Q: Leo Consulting enters into a contract with Highgate University to restructure Highgate's processes…
A: The transaction price is the total amount of consideration or payment that a company expects to…
Q: Worley Company buys surgical supplies from a variety of manufacturers and then resells and delivers…
A: Activity-based costing (ABC) is a method of costing that assigns costs to specific activities, based…
Q: Refer to DSSS Corporation. What is the book value of the machine at the end of year 4? Group of…
A: MACRS: MACRS stands for modified accelerated cost recovery system which is type of depreciation…
Q: ellevie college cost $7612.00 a year, the graduation rate is 25%, salary after attending is $42,400.…
A: Explanatory are statements or notes or calculations which simplify the understanding of complex…
Q: 1. If the company want to achieve target net income $800,000 and the tax rate is 30%, calculate how…
A: We know that under marginal costing Profit = Sales Revenue - Total Variable cost - Total Fixed…
Q: Olympus, Inc., manufactures three models of mattresses: the Sleepeze, the Plushette, and the Ultima.…
A: It is given that the Olympus Inc manufactures.
Q: Worley Company buys surgical supplies from a variety of manufacturers and then resells and delivers…
A: Worley marks up its cost of goods sold by 6%. Therefore, if the cost of goods sold is $39,000, the…
Step by step
Solved in 5 steps
- Allegience Insurance Company's management is considering an advertising program that would require an initial expenditure of $196,945 and bring in additional sales over the next five years. The projected additional sales revenue in year 1 is $94,000, with associated expenses of $34,500. The additional sales revenue and expenses from the advertising program are projected to increase by 10 percent each year. Allegience's tax rate is 30 percent. (Hint: The $196,945 advertising cost is an expense.) Use Appendix A for your reference. (Use appropriate factor(s) from the tables provided.) Required: 1. Compute the payback period for the advertising program. 2. Calculate the advertising program's net present value, assuming an after-tax hurdle rate of 10 percent. (Round your intermediate calculations and final answer to the nearest whole dollar.) 1. Payback period 2. Net present value yearsDivision G has asked Division F of the same company to supply it with 5,000 units of part WD26 this year to use in one of its products. Division G has received a bid from an outside supplier for the parts at a price of $19.00 per unit. Division F has the capacity to produce 25,000 units of part WD26 per year. Division F expects to sell 21,000 units of part WD26 to outside customers this year at a price of $18.00 per unit. To fill the order from Division G, Division F would have to cut back its sales to outside customers. Division F produces part WD26 at a variable cost of $12.00 per unit. The cost of packing and shipping the parts for outside customers is $2.00 per unit. These packing and shipping costs would not have to be incurred on sales of the parts to Division G. 1.What is the lowest price the F Division should charge for the internal transfers of its goods? 2.What is the highest price the G Division should charge for the internal transfers of its goods?USEK Medical School manufactures the COVID19 Vaccines that are sold through contracted distributors. Those distributors are paid a commission of 18% of revenues. USEK Medical School is considering replacing the contracted distributors with its own group of students, who would be paid a commission of 12% of revenues and total salaries of $7,950,000. The income statement for the year ending December 31, 2020, under the two scenarios is shown here. USEK Medical School Income Statement For the Year Ended December 31, 2020 Using contracted Distributors Using Own Group of students Revenues $45,000,000 $45,000,000 Cost of Goods Sold Variable $15,750,000 $15,750,000 $5,425,000 Fixed $5,425,000 $21,175,000 $21,175,000 Gross Margin Marketing Costs $23,825,000 $23,825,000 Commissions $8,100,000 $5,400,000 Fixed Costs Operating Income $5,250,000 $13,350,000 S7,950,000 $13,350,000 $10,475,000 $10,475,000 Required: 1. Calculate USEK Medical School's 2020 contribution margin percentage, breakeven…
- Bridgeport Company sells goods that cost $258,000 to record company for $352,600 on January 2, 2025. The sales price includes an installation fee, which has a standalone selling price of $34,400. The standalone selling price of the goods is $318,200. The installation is considered a separate performance application and is expected to take six months to complete (installation was completed on June 18, 2025). How much income should Bridgeport report related to its sale to Ricard in its income statement prepared for the quarter ended March 31, 2025? Gross profit:Division Y has asked Division X of the same company to supply it with 9,000 units of part L763 this year to use in one of its products. Division Y has received a bid from an outside supplier for the parts at a price of $53 per unit. Division X has the capacity to produce 36,000 units of part L763 per year. Division X expects to sell 32,400 units of part L763 to outside customers this year at a price of $58.00 per unit. To fill the order from Division Y, Division X would have to cut back its sales to outside customers. Division X produces part L763 at a varlable cost of $45 per unit. The cost of packing and shipping the parts for outside customers is $2 per unit. These packing and shipping costs would not have to be incurred on sales of the parts to Division Y. Required: a. What is the range of transfer prices within which both the Divisions' profits would increase as a result of agreeing to the transfer of 9,000 parts this year from Division X to Division Y? (Round your final answers…Chilton Day School allocates marketing and administrative costs to its three schools on the basis of each school's annual tuition revenue (as a percentage of the total). Last year the allocations (000s omitted) were as follows: Tuition revenue. Marketing and administration Preschool $ 1,630 340 Cost allocation Middle School $ 1,930 390 High School $ 2,330 465 In the current year, the middle and high schools experienced no change in revenues, but the preschool's tuition revenue increased to $2.03 million. Marketing and administrative costs rose to $1,380,000. Preschool Middle School Total $ 5,890 1,195 Required: 1. Using revenue as an allocation base, how much current year cost will be allocated to the: (Do not round intermediate calculations. Round your final answers to the nearest whole dollar amounts. Similar to the given information, omit 000s from your answer.) High School Total 0
- DSSS CorporationDSSS Corporation is considering a new project to manufacture widgets. The cost of the manufacturing equipment is $135,000. The cost of shipping and installation is an additional $2,600. The asset will fall into the 3-year MACRS class. The year 1- 4 MACRS percentages are 33.33%, 44.45%, 14.81%, and 7.41%, respectively. Sales are expected to be $215,000 per year. Cost of goods sold will be 64% of sales. The project will require an increase in net working capital of $2,600. At the end of three years, DSSS plans on ending the project and selling the manufacturing equipment for $30,000. The marginal tax rate is 36% and DSSS Corporation’s appropriate discount rate is 12%. The fixed expenses is $12,000.Refer to DSSS Corporation. What is the initial investment outlay for this project? Group of answer choices $140200 $150,200 $35,000 $130,200Wildhorse Enterprises is a portable hot tub manufacturer. The company produces both 2-person and 4-person hot tubs. Chris Anderson, the company's sales manager, prepared the following sales forecast for 2021. The forecasted sales prices include a 5 percent increase in the 2-person spa price and a 10 percent increase in the 4-person spa price, to cover anticipated increases in raw materials prices. 2-person spa 4-person spa (a) on spas: Your answer is partially correct. geted sales price Prepare Wildhorse's sales budget for 2021. geted sales price ✓ il revenue on spas: Sales Price geted sales price geted sales price geted sales price v frevenue V $1,400 $2,700 V 1st Quarter 650 350 LA 1A 1st Quarter 2nd Quarter 910000 490000 1400000 DE 650 Units 250 3rd Quarter 550 250 2nd Quarter 4th Quarter 910000 350000 1260000 750 350 SA 3rd Quarter 1050000 490000 1540000 SA SA SA SA FA 1You are an employee of University Consultants, Limited, and have been given the following assignment. You are to present an investment analysis of a small retail income-producing property for sale to a potential investor. The asking price for the property is $1,360,000; rents are estimated at $174,080 during the first year and are expected to grow at 2.5 percent per year thereafter. Vacancies and collection losses are expected to be 10 percent of rents. Operating expenses will be 35 percent of effective gross income. A fully amortizing 70 percent loan can be obtained at 6 percent interest for 30 years (total annual payments will be monthly payments × 12). The property is expected to appreciate in value at 3 percent per year and is expected to be owned for five years and then sold. Required: a. What is the first-year debt coverage ratio? b. What is the terminal capitalization rate? c. What is the investor’s expected before-tax internal rate of return on equity invested (BTIRR)? d.…
- DSSS CorporationDSSS Corporation is considering a new project to manufacture widgets. The cost of the manufacturing equipment is $135,000. The cost of shipping and installation is an additional $2,600. The asset will fall into the 3-year MACRS class. The year 1- 4 MACRS percentages are 33.33%, 44.45%, 14.81%, and 7.41%, respectively. Sales are expected to be $215,000 per year. Cost of goods sold will be 64% of sales. The project will require an increase in net working capital of $2,600. At the end of three years, DSSS plans on ending the project and selling the manufacturing equipment for $30,000. The marginal tax rate is 36% and DSSS Corporation’s appropriate discount rate is 12%. The fixed expenses is $12,000.Refer to DSSS Corporation. What is the after-tax cash flow from selling the machine at the end of year 3? Group of answer choices $21,935 $30,000 $8,065 $2,600SoccerHawk Merchandise Inc. enters into a 6-month contract to sell soccer balls to City Soccer. The contract contains the following price scale: Sales Volume Price per Soccer Ball First 300 soccer balls sold $22 Next 200 soccer balls sold 19 Next 250 soccer balls sold 17 Additional soccer balls sold 15 On the date the contract is signed, SoccerHawk estimates based on past experience that there is a 20% chance it will sell 450 soccer balls, a 45% chance it will sell 600 soccer balls, and a 35% chance it will sell 800 soccer balls. The company sells the following soccer balls during the 6-month contract: Number of Soccer Balls Month 1 155 Month 2 60 Month 3 125 Month 4 75 Month 5 85 Month 6 60 Total sales 560 balls Required: 1. 2. 3. Prepare the journal entries for SoccerHawk assuming that City Soccer pays the amount due at the end of each month based on the sales to date. ***** The transaction price is…Pharoah Beauty Corporation manufactures cosmetic products that are sold through a network of sales agents. The agents are paid a commission of 22% of sales. The income statement for the year ending December 31, 2025, is as follows. PHAROAH BEAUTY CORPORATION Income Statement For the Year Ended December 31, 2025 Sales | Cost of goods sold Variable Fixed Gross profit Selling and marketing expenses Commissions Fixed costs Operating income $30,760,000 8,580,000 $16,918,000 10,070,400 $76,900,000 39,340,000 $37,560,000 26,988,400 $10,571,600 (a) ✓ Your answer is correct. Under the current policy of using a network of sales agents, calculate the Pharoah Beauty Corporation's break-even point in sales dollars for the year 2025. (b) Break-even point $ eTextbook and Media Calculate the company's break-even point in sales dollars for the year 2025 if it hires its own sales force to replace the network of agents. Break-even point $ eTextbook and Media Save for Later Attempts: 1 of 2 used The…