Answer: 125%
Explanation:
Manufacturing overhead = Predetermined overhead rate * Direct labor
Manufacturing Overhead
= Work in process balance - Direct labor - Direct materials
= 3,960 - 640 - 440 - 540 - 740
= $1,600
The rationale behind the above is that that the Work in process account is made up of Direct labor, material and overhead. The Overhead would therefore be the balance less the Direct material and labor.
Direct Labor = 540 + 740
= $1,280
Manufacturing overhead = Predetermined overhead rate * Direct labor
1,600 = Predetermined overhead rate * 1,280
Predetermined overhead rate = 1,600/1,280
= 1.25
= 125%
Answer:
$280
Explanation:
SUTA is a synonym for State Unemployment Tax paid by employers and employees , and used by the government to provide the insurance expenditures for the unemployed citizens
The reciprocal arrangement exempts the tax payer from his former country of work. H e will be taxed in the new country of work at the applicable rate
SUTA ceiling earning = $7000
SUTA rate = 4.0%
SUTA = $280
Answer:
a. The statement is false because a policy motivated by good intentions may have unintended negative consequences.
d. The statement is false because sound economic reasoning is required to anticipate unintended consequences of policies that are motivated by good intentions.
Explanation:
It is important to have good intentions when creating policies but a sound policy requires more than just good intentions.
To create a sound policy, sound economic principles and reasoning must be employed. This is important to predict and tackle unintended negative consequences that may arise, irrespective of how good the intentions were in creating the policies.
Merely having good intentions does not guarantee sound policy, particularly in economics. Sound economic reasoning is needed to anticipate possible consequences. Thus, the claim that good intentions lead to sound policy in economics is not entirely accurate.
The statement 'The economic way of thinking stresses that good intentions lead to sound policy' is not entirely valid. Merely having good intentions is not enough to ensure a sound policy, especially in an economic context. Economic reasoning is needed to ascertain the possible implications, both positive and negative, of a policy. As such, the elements a. and d. of the given options are correct:
#SPJ6
Units in beginning inventory 300
Units produced 15,000
Units sold ($300 per unit) 12,700
Variable costs per unit:
Direct materials $20
Direct labor $60
Variable overhead $12
Fixed costs:
Fixed overhead per unit produced $30
Fixed selling and administrative $140,000
Required:
1. How many units are in ending inventory?
$ _______ units
2. Using variable costing, calculate the per-unit product cost.
$_____________
3. What is the value of ending inventory under variable costing?
$___________
Answer:
1. Ending inventory = Beginning inventory + Production - Sales
= 300 units + 15,000 units - 12,700 units
= 2,600 units
2. Per unit Product Cost Using Variable Costing
$
Direct material 20
Direct labor 60
Variable overhead 12
Product cost 92
3. Value of ending inventory under variable costing
= 2,600 units x $92
= $239,200
Explanation:
The units of ending inventory is calculated as beginning inventory plus production minus sales.
Per unit product cost is the aggregate of variable cost per unit. This includes direct material cost, direct labour cost and variable overhead.
Value of ending inventory is the product of units of ending inventory and per unit product cost.
Answer:
B. 2,600 to 2,000.
Explanation:
tax revenue = units x tax rate
units = tax revenue / tax rate = 6,000/3 = 2,000
2,000 will be the quantity after taxes.
6000 goverment revenue - 3900 consumer surplus - 3000 producer surplus
900 deathweight loss
(tax x ↓unit)/2 = deathweight loss
(3 x ↓unit)/2 = 900
(3 x ↓unit) = 900 *2
↓unit = 1800/3 = 600
It decrease to 2000 from 2600
A $3 per unit tax creates a wedge between the price paid by consumers and the price received by producers, representing a production cost increase. This results in a leftward shifted supply curve, with reduced consumer and producer surplus. The burden of the tax is shared, decreasing the equilibrium quantity of goods.
When a $3 per unit tax is imposed on a good, the government creates a wedge between the price paid by consumers and the price received by producers. The distance between these prices equals the tax rate.
The new market price is the price paid by consumers, but sellers receive less per unit sold as they pay the difference (tax) to the government. This tax is akin to an increase in production cost, symbolized by a leftward shift of the supply curve. The new supply curve intercepts the demand at the new quantity.
The tax revenue is found by multiplying the tax per unit by the total quantity sold. The tax incidence, or burden, is shared by both consumers and sellers. In this case, the consumers' surplus decreased by $3,900 and the producers' surplus decreased by $3,000, causing a total tax revenue of $6,000 and a decrease in the equilibrium quantity of goods.
#SPJ3
Answer:
1. Discount yield = 4.92%
2. Dividend yield = 5.07%
3. Effective annual return = 5.02%
Explanation:
The computation of discount yield, bond equivalent yield, and effective annual return is shown below:-
Discount yield
Commercial paper $2,000,000
Current selling price $1,965,000
($2,000,000 × 98.25%)
Days to maturity 128
Discount yield ( total days in a year)360
Dividend yield 4.92%
($2,000,000 - $1,965,000) ÷ $2,000,000 × (360 ÷ 128)
= $35,000 ÷ $2,000,000 × (2.8125)
= 0.0175 × 2.8125
= 0.04921
= 4.92%
Bond equivalent yield
Commercial paper $2,000,000
Current selling price $1,965,000
($2,000,000 × 98.25%)
Days to maturity 128
Discount yield ( total days in a year)360
Bond equivalent yield 5.07%
= ($2,000,000 - $1,965,000) ÷ $1,965,000 × (365 ÷ 128)
= $35,000 ÷ $1,965,000 × 2.8515625
= 0.017811705 × 2.8515625
= 0.05079119
= 5.07%
3. Effective annual return
Bond equivalent yield 5.07%
Effective annual return 5.02%
= (1 + 5.07% ÷ 365)^365 -1
= 5.02%