A machine's annual maintenance costs P18,000. If the cost of creating a forging is P90 and the selling price per forged unit is P115. Calculate the number of units that must be forged in order to break even.
Q: Dewey Company purchased a machine that was installed and placed in service on January 2, 2001, at a ...
A: Double declining balance method is a method of depreciation under which depreciation is being charge...
Q: A jeans maker is designing a new line of jeans called Slams. Slams will sell for $320 per unit and c...
A:
Q: 10. Mabanglo charges manufacturing overhead to products by using a predetermined appiication rate, c...
A: Predetermined overhead rate = Budgeted overhead cost/Total budgeted machine hours It is pertinent t...
Q: July 1- Sold 1,000 subscriptions for common shares at $20 per share. Subscribers paid $5 per share ...
A: Common shares can be issued on subscriptions basis where shares are issued on receipt of last paymen...
Q: What is the total tax expense?
A: Income Before tax is Given. Tax rate will be applied to the Income before tax
Q: The exact simple interest of P7,000 invested from April 28, 2002 to December 25, 2002 is P700. What ...
A: Formula: Simple Interest = Principal Amount x Time period x Rate of Interest
Q: units The master budget at Western Company last period called for sales of 226, at $10.00 each. The ...
A: Profit variance is the difference between actual profit and budgeted profit Sales ariance is differe...
Q: The internal audit function of Plastic Designs Ltd completed the manufacturing process internal audi...
A: The phases in the internal audit process are: 1.Determining audit assignment and overall plan- The a...
Q: For the current year, Spiderman Company received a donation of 3,000 shares with a par value of P20 ...
A: Shareholders Equity: Shareholders' equity (also known as corporate net worth) is a measure of how mu...
Q: 2. If a company sells goods that cost P70,000 for P82,000, the firm will: a. reduce Finished-Goods I...
A: Since you have asked multiple question, we will solve the first question for you. If you want any sp...
Q: Information about direct materials cost follows for a local company: Standard price per materials gr...
A: Standard price (SP) = $19 Actual quantity used (AQ) = 2450 grams Price variance = $19600 F Actual pr...
Q: Timmy Company provided the following information pertaining to revenue earned by operating segments ...
A: Reportable Segment: IFRS (International Financial Reporting Standards) accounting processes are refe...
Q: Krepps Corporation produces a single product. Last year, Krepps manufactured 25,000 units and sold 2...
A: Under absorption costing, fixed manufacturing overhead is treated as product cost. Under variable co...
Q: (please solve it fast i will give thumbs up)
A: Given: Annual gross premiums are 200 q53 = 0.006 and q54 = 0.007 i = 0.05 Annual expenses are 5% of ...
Q: 53,000 49,000 1,700,000 18,780 118,750 21,420 50,500 15,000,000 Cash On Hand Accounts Receivable Off...
A: The income statement is the financial statement that shows the financial performance of a business d...
Q: 3. On July 3, Adrian Rodriguez accepted a $6,000, 9.5%, 90-day note for merchandise purchased by Ter...
A: Here is the solution of your first question: to find maturity value, Maturity Value = Principal +...
Q: 29. On June 30, 2021, Mill Corp. incurred a 100,000 net loss from disposal of a business segment. Al...
A: A financial reporting period that is less than a full fiscal year is referred to as an interim perio...
Q: uit buying vendor coffee for one year $4,483.97 and decided to contribute $2,400 (you saved $200 per...
A: The value of the money at retirement is the future value of the savings.
Q: Which of these accounts is never closed? Prepaid Rent Income Summary Rent Revenue Rent Expense
A: Rent refers to the amount of consideration for using an asset like land, building or property for sm...
Q: 6. Which of the following represents a liability? a. The obligation to pay for goods that a compan...
A: Solution Note : Dear student as per the Q&A guideline we are required to answer the first questi...
Q: ABC Company acquired a fire insurance on Nov. 1, 2021. The company paid P12,000 for the said annual ...
A: Annual insurance payment = P12,000 Period from Nov 1, 2021 to Dec 31, 2021 = 2 Months
Q: · Payment of quick response insurance premium for calendar year (payment was made during the 1...
A: Solution: Total expenses for a particular quarter is based on expenses incurred in that period which...
Q: On May 7, 2021, Permission to Dance (PTD) Corporation sold a tract of land for P70,000 that resulted...
A: The correct answer for the above mentioned answer is given in the following steps for your reference...
Q: 9. I.J. Millora Corporation recently used P72,000 of direct materials and P3,000 of indirect materia...
A: Direct material is that which a firm used in production process and it can be directly related to th...
Q: On June 30, 2021, Line Company incurred a P100,000 net loss from disposal of a business segment. Als...
A: Loss from disposal of business segment = P 100000 Property taxes paid = 40000
Q: accounts payable are P1,350,000 and P1,850,000, respectively. During the current year, accounts writ...
A:
Q: A project costing P250,000 yields a yearly benefit of P80,000 for a period of 10 years with no salva...
A: Project cost = P250,000 Annual benefit (P) = P80,000 Interest rate (r) = 6% Period (n) = 10 Years
Q: The following data relate to store equipment of BBB Company for 2021: · Store Equipment at ...
A: Store Equipment at cost, Jan. 1- P100,000 Store Equipment at cost, Dec. 31- P105,000 Accumulated...
Q: Justifies ignoring the matching principle in certain circumstances.
A: option b is correct Justifies ignoring the matching principle in certain circumstances
Q: The effective interest rate on bonds
A: The effective interest rate on bonds is lower than the stated rate when bonds sell - ans: Above fac...
Q: . Dale Company, which applies overhead at the rate of 190% of direct labor cost, began work on job n...
A: Total Applied overhead = Direct Labor cost x Overhead rate
Q: The master budget at Western Company last period called for sales of 240,000 units at $8.00 each. Th...
A: Flexible budget is prepared for the actual units of activity . Formula Variable cost = actual ...
Q: Prepare adjusting entry for October 31. Show computation. A bank loan amounting to P100,000 was obta...
A: Lets understand the basics. Adjustment entry is need to pass to record the correct amount of revenue...
Q: An analyst has compiled the following information relating to a company for the year ended 31 Decemb...
A: Return on equity (ROE)=Net Profit after taxTotal Shareholder's Equity at year-end×100
Q: Ismail and Sameer are opening a paint store. There are no competing paint stores in the area. They m...
A: The meaning of partnership business is two or more persons bringing the capital to form the business...
Q: Old Country Links, Incorporated, produces sausages in three production departments—Mixing, Casing an...
A: Equivalent units of products concept came in to existence when some units are not fully completed at...
Q: A store purchased canned goods at an invoice price of $2,000 and terms of 2/10, n/30. Half of the g...
A: >Discount term is a payment agreement between buyer and the seller. >The buyer and seller ...
Q: THRALL SUAVE Company made the following erron Denumber 31 Pox1 inventory was understated by P100,000...
A:
Q: An important distinction between the direct method and the indirect method of preparing a statement ...
A: Introduction:- The income statement is recast on a cash basis rather than an accrual one from the to...
Q: In January 2021, ABC Inc. paid property taxes on its factory building for the calendar year 2021 in ...
A: Solution: Property taxes is for whole year, therefore same should be recognized equally in each quar...
Q: On June 30, 2021, Mill Corp. incurred a 100,000 net loss from disposal of a business segment. Also, ...
A: Here we will apply the accounting rule that for an interim report all revenues and gains have to be ...
Q: When the interest payment dates of a bond are May 1 and November 1, and the bond is issued on June 1...
A: The bond interest expense will recorded for date of bond issuance to date of financial year. When ...
Q: Presented below is selected information pertaining to the Cone Company: § Cash balance, January 1,...
A: Net income means the income left after deducting all expenses and including all income whether opera...
Q: b. Debits: Accounts Receivable, Cost of Goods Sold; credits: Sales options correctly expresses the a...
A: "Since you have asked multiple questions, we will solve first question for you. If you want any spec...
Q: Cash received from long-term notes payable Purchase of investments $ 44,000 11,100 Cash dividends pa...
A: Cash flow from financing activity includes transactions concerned with the funds available in the en...
Q: Hudson Company reports the following contribution margin income statement. HUDSON COMPANY Contributi...
A: Break even units = Fixed costs /Contribution margin per unit where, Contribution margin per unit = S...
Q: For a liability to exist, a. a past transaction or event must have occurred. b. the exact amount mus...
A: Since you have posted multiple questions , we will do the first one for you . Please re-post the oth...
Q: Nelter Corporation, which has only one product, has provided the following data concerning its most ...
A: Variable Costing: In management accounting, the notion of variable costs is known as variable costin...
Q: On July 1, 2022, BTS Company purchased a machinery from a dealer paying P2,310,000 cash. In addition...
A: Purchase cost = P2,310,000 Transportation cost = P150,000
Q: FINANCIAL STATEMENTS Refer to the trial balance in Problem 3-13A and to the analysis of the change i...
A: Ledger refers to the book under which the accounting transactions are reported and the amounts are p...
A machine's annual maintenance costs P18,000. If the cost of creating a forging is P90 and the selling price per forged unit is P115. Calculate the number of units that must be forged in order to break even.
Step by step
Solved in 3 steps
- Markson and Sons leases a copy machine with terms that include a fixed fee each month plus acharge for each copy made. Markson made 9,000 copies and paid a total of $480 in January. In April, they paid $320 for 5,000 copies. What is the variable cost per copy if Markson uses the high-low method to analyze costs?Markson and Sons leases a copy machine with terms that include a fixed fee each month of $500 plus a charge for each copy made. The company uses the high-low method to analyze costs. If Markson paid $360 for 5,000 copies and $280 for 3,000 copies, how much would Markson pay if it made 7,500 copies?Variety Artisans has a bottleneck in their production that occurs within the engraving department. Arjun Naipul, the COO, is considering hiring an extra worker, whose salary will be $45,000 per year, to solve the problem. With this extra worker, the company could produce and sell 3,500 more units per year. Currently, the selling price per unit is $18 and the cost per unit is $5.85. Using the information provided, calculate the annual financial impact of hiring the extra worker.
- Jonfran Company manufactures three different models of paper shredders including the waste container, which serves as the base. While the shredder heads are different for all three models, the waste container is the same. The number of waste containers that Jonfran will need during the following years is estimated as follows: The equipment used to manufacture the waste container must be replaced because it is broken and cannot be repaired. The new equipment would have a purchase price of 945,000 with terms of 2/10, n/30; the companys policy is to take all purchase discounts. The freight on the equipment would be 11,000, and installation costs would total 22,900. The equipment would be purchased in December 20x4 and placed into service on January 1, 20x5. It would have a five-year economic life and would be treated as three-year property under MACRS. This equipment is expected to have a salvage value of 12,000 at the end of its economic life in 20x9. The new equipment would be more efficient than the old equipment, resulting in a 25 percent reduction in both direct materials and variable overhead. The savings in direct materials would result in an additional one-time decrease in working capital requirements of 2,500, resulting from a reduction in direct material inventories. This working capital reduction would be recognized at the time of equipment acquisition. The old equipment is fully depreciated and is not included in the fixed overhead. The old equipment from the plant can be sold for a salvage amount of 1,500. Rather than replace the equipment, one of Jonfrans production managers has suggested that the waste containers be purchased. One supplier has quoted a price of 27 per container. This price is 8 less than Jonfrans current manufacturing cost, which is as follows: Jonfran uses a plantwide fixed overhead rate in its operations. If the waste containers are purchased outside, the salary and benefits of one supervisor, included in fixed overhead at 45,000, would be eliminated. There would be no other changes in the other cash and noncash items included in fixed overhead except depreciation on the new equipment. Jonfran is subject to a 40 percent tax rate. Management assumes that all cash flows occur at the end of the year and uses a 12 percent after-tax discount rate. Required: 1. Prepare a schedule of cash flows for the make alternative. Calculate the NPV of the make alternative. 2. Prepare a schedule of cash flows for the buy alternative. Calculate the NPV of the buy alternative. 3. Which should Jonfran domake or buy the containers? What qualitative factors should be considered? (CMA adapted)Suppose that a company is spending 60,000 per year for inspecting, 30,000 for purchasing, and 40,000 for reworking products. A good estimate of nonvalue-added costs would be a. 70,000. b. 130,000. c. 40,000. d. 90,000. e. 100,000.A company is spending 70,000 per year for inspecting, 60,000 per year for purchasing, and 56,000 per year for reworking products. What is a good estimate of non-value-added costs? a. 126,000 b. 70,000 c. 56,000 d. 130,000
- The annual maintenance cost of a machine shop is P69, 994. If the cost of making a forging is P56 per unit and its selling price is P135 per forge unit, find the number of units to be forged to break-even. If the number of units sold is 1000, what is the loss/profit?A Civil Engineer produces a certain construction material at a labor cost of P16.20 per piece, materials cost of P38.50 per piece and variable cost of P7.40 per piece. The fixed charges on the business is P100,000 a month. If the product is sold for P95.00 each, how many pieces must be made and sold each month to break even?A machine that is not equipped with a brake “costs” 30 seconds after the power is turned off upon completion of each piece, thus preventing removal of the work from the machine. The time per piece, exclusive if this stopping time is 2 minutes. The machine is used to produce 40,000 pieces per year. The operator receive P35.00 per hour and the machine overhead rate is P20.00 per hour.How much could the company afford to pay for a brake that would reduce the stopping time to 3 seconds, if it would have a life of 5 years? Assume zero salvage value, capital worth 18% and that repairs and maintenance would total not over P300.000 per month.
- The cost of producing a small transistor radio set consists of P22.00 for labor and P36.00 for materials. The fixed charges in operating the plant are P100,000 per month. The variable cost is P1.50 per set. The radio set can be sold for P78.00 each. Determine How many sets must be produced per month to each at least P 100,000?A company that builds and sells desks has a weekly overhead including salaries and plant costs of P170,000. The cost of materials for each desk is P2,000 and the desk is sold for P10,000. How many desks must be built and sold each week so that the company is guaranteed a profit?Terra Nova, Inc. has the capacity to rewire 300 vehicle wiring harnesses per day. The expected number of vehicles needing to be rewired per day is 225. The company is paid $26 for each wiring harness rewired. The fixed cost of renting the rewiring equipment is $250 per day. The vehicle bays space rents for $150 per day. The cost of materials is $18 per vehicle and labor costs $3 per wiring harness. What is the break-even number of wiring harnesses rewired per day?