Answer:
B : $6.85
Explanation:
Because Dora, Inc. has enough capacity to fill the special order in excess of regular sales volume, the fixed cost of its remain unchanged at $196,000.
Widget variable cost per unit of Dora is 210,000/70,000 = $3
To break even on the special order, the respective total sales amount has to cover all related cost, including allocated fixed cost, variable cost as well as additional shipping charges. Putting all the numbers together, we have:
3,000 x P - 196,000 x (3,000/73,000) - 3 x 3,000 - 3,150 = 0 with P is the selling price.
Solve the equation we get P = 6.73. Option answer A,C or D will result in loss for this special order. So, the suitable answer is B.
Answer:
$4.05
Explanation:
Answer:
True
Explanation:
Therefore following statement is TRUE.
For all other assets and liabilities, book value and fair value were equal. Any excess of costover fair value was attributed to goodwill, which has not been impaired. For all other assets and liabilities, book value and fair value were equal. Any excess of costover fair value was attributed to goodwill, which has not been impaired.
What is the amount of goodwill associated with the investment?
Answer:
Amount of goodwill associated with the investment is $500,000
Explanation:
The first step is to calculate the total value of GainsvilleCo:
Total Value of GainsvilleCo = 2,500,000 / 25% = $10,000,000
Book value of GainsvilleCo's underlying assets = $8,000,000
Goodwill = 10,000,000 - 8,000,000 = 2,000,000
Austin Corp Investor share = 25% of 2,000,000 = $500,000
Answer:
The correct answer is letter "A" and "C": Position the bad news strategically between other sentences.; Accentuate the positive.
Explanation:
The objective of the message must be to provide the benefits over the disadvantages of the company being acquired by a large firm. The disadvantages can be provided in between sentences to rest importance but the advantages must be highlighted at every moment to give a positive impression of the acquisition to the employees.
Cost of goods sold................... 2,300,000
Operating expenses................. 1,000,000
Income tax expense................. 280,000
Other comprehensive income.. 450,000
a. Prepare an income statement, including comprehensive income, for Anson Industries.
b. Prepare an income statement and a separate statement of comprehensive income for Anson Industries.
Answer:
a.
Anson Industries, Inc..
Income Statement Including Comprehensive Income
for the year ended MM DD, 20Y1
$
Sales 4,000,000
- Cost of Goods Sold 2,300,000
= Gross Income 1,700,000
- Operating Expenses 1,000,000
= Operating Income 700,000
- Income Tax Expense 280,000
= Net Income 420,000
+ Other Comprehensive Income 450,000
Total Comprehensive Income 870,000
b.
Anson Industries, Inc..
Income Statement for the year ended MM DD, 20Y1
$
Sales 4,000,000
- Cost of Goods Sold 2,300,000
= Gross Income 1,700,000
- Operating Expenses 1,000,000
= Operating Income 700,000
- Income Tax Expense 280,000
= Net Income 420,000
Anson Industries, Inc..
Statement of Comprehensive Income
for the year ended MM DD, 20Y1
$
Net Income 420,000
+ Other Comprehensive Income 450,000
Total Comprehensive Income 870,000
Variable costs per unit $ 17
Fixed costs per unit (based on capacity) $ 8
Capacity in units 56,000
Sako Company has a Hi-Fi Division that could use this speaker in one of its products. The Hi-Fi Division will need 9,000 speakers per year. It has received a quote of $35 per speaker from another manufacturer. Sako Company evaluates division managers on the basis of divisional profits.Assume that the Audio Division is now selling only 49,000 speakers per year to outside customers. From the standpoint of the Audio Division, what is the lowest acceptable transfer price for speakers sold to the Hi-Fi Division?
Answer:
The lower acceptable transfer price by Audio Division is variable cost of producing the extra unit which is $17. Producing to capacity will have no effect on the fixed cost because it will not change regardless on increase in production.
Explanation:
Answer:
.
Explanation:
The lowest acceptable movement price by Audio Division is shifting cost of making the more parts which are 17 dollars. making to capacity will have no effect on the fixed cost because it will not change regardless on increase in production.
Answer:
Store A = 3.4521
Store B = 2.9589
Store C = 4.4384
Explanation:
Store A charges ADB method
purchase made on 5th first payment on 15th of 100
so from 5th to 15th Average daily balance =300 for 10 days
then from 15th to 4th for remaining 20 days average daily balance = 200
Average Daily Balance = (300*10+200*20)/30
Total finance charge = ADB*(APR*(Days/365))
=300*((0.18)*(10/365))+200*((0.18)*(20/365))
= 1.4795+1.9726=3.4521
Store B
Adjusted Balance Method uses adjusted balance to calculate the charges
Adjusted balance=Starting balance adjusted for credit and debit
Adjusted balance =300-100=200
Financial Charges = 200*(.18*(30/365))=2.9589
Store C
Previous Balance Method the interest is calculated on amount of balance carried from previous billing cycle
Balance Carried = 300
Charges =300*(.18*(30/365))= 4.4384
Answer:
Store A finance charge = $140.625
Store B finance charge = $90
Store C finance charge = $202.5
Explanation:
Store A
Average daily balance Finance Charge
(300*200)/2 = $250 3.75(250*0.15) = $140.625
Store B
Adjusted balance method
(300-100) = $200 3.00*(200*0.15) = $90
Store C
Previous balance method
300 - 0 = $300 4.50(300*0.15) = $202.5