uses 34,000 rolls annually in the production of deli sandwiches. The costs to make the rolls are: Materials $0.24 per roll Labor 0.39 per roll Variable overhead 0.16 per roll Fixed overhead 0.20 per roll A potential supplier has offered to sell Reuben the rolls for $0.89 each. If the rolls are purchased, 30% of the fixed overhead could be avoided. If Reuben accepts the offer, what will he effect on profit be? euben would see a $ in profit if he buys the rolls.
Q: Palmer Corp. is considering the purchase of a new piece of equipment. The cost savings from the…
A: Solution: Annual net income after taxes = $164,900 Initial investment = $485,000 Expected salvage…
Q: age Devices buys $10,000 of equity securities, which it classifies as available-for-sale. After one…
A: Accounting of Investment held for Sale Investment held for sale shall be recorded in the books of…
Q: P7,000,000 3,000,000 4,335,000 650,000 Preference share capital, P300 par Share premium - preference…
A: Contributed Capital is the total amount contributed by the owners and also includes shares premium.…
Q: Problem 16-2 (ACP) Zeus Company reported pretax financial income of P8,000,000 for the year ended…
A: Given information, Financial income =P8,000,000 Taxable income =P9,000,000 Tax rate =25% Estimated…
Q: Task 4: XYZ corporation had net cash flows from operating activities of $90.000 in last year. During…
A: Cash flow statement is a statement which is prepared to find out the cash comes in and goes out , by…
Q: Solve the following questions. Please choose the best answer with solutions. Choose answers in the…
A: An Income Statement refers to a Statement of profit or loss. This statement gives information…
Q: Statement I. Book value per share is tantamount to earnings per share Statement II. Dividends…
A: Book value per share is ratio of shareholders equity less preferred equity to number of shares…
Q: Sales (20,000 units @ 60 per unit) $1,200,000 Less: Variable cost 20,000@ $45 900,000 Contribution…
A: No. of units to be sold in next year = Current units sales + (1 + 0.20) Variable costs per unit in…
Q: 8. How much must you deposit if a bankoffers 2% interest and your goal is to have $1500 next year?
A: As per our protocol we provide solution to one question only but as you have asked three questions…
Q: Mary's Baskets Company expects to manufacture and sell 23,000 baskets in 2019 for $7 each. There are…
A: A company's sales revenue is the total amount it earns from the selling of goods or services.…
Q: On December 1, 2018, Mario started his business with a borrowed capital amounting to P 40,000 at a…
A: Return on capital refers to the return earned by a business entity on the capital employed by them.…
Q: ormation pertains to AACA Corp.: AACA Corp. BANK RECONCILIATION November 30, 2022 Balance per…
A: Disclaimer : “Since you have posted a question with multiple sub-parts, we will solve first three…
Q: Orange Corporation has budgeted sales of 23,000 units, targeted ending finished goods inventory of…
A: Number of units to be sold next year = Beginning finished goods inventory + units produced next year…
Q: Prepare a a. Statement of Comprehensive Income b. Statement of Financial Position c. Closing Entries
A: Hi student Since there are multiple subparts, we will answer only first three subparts.
Q: Inn Corporation had 30,000 ordinary shares of NPA Company which it acquired during Year 2 for a…
A: Answer - Working Note : December 31, Year 2 ledger balance (30,000 shares x 65)…
Q: How much are Sales if Cost of Sales is $46,500, Cost of Labor is $33,247, the fixed costs are…
A: Contribution margin = Fixed cost + profit = $65883 + $2129 =$68012
Q: Hological me valely me radiological services involve only two operating departments (Daily Patient…
A:
Q: Required: 1. If we assume that the total time available on the plastic injection molding machine is…
A: Contribution per unit, is the selling price per unit minus the variable cost per unit."Contribution"…
Q: In the income statement below, ABC Trade Inc. wants to find the resulting net income for the year…
A: The net income is calculated as difference between total income and total expenses.
Q: 7 Clampett, Incorporated, has been an S corporation since its inception On July 15, 2021, Clampett,…
A: Introduction: Personal income and company revenue are the two types of ordinary income. Personal…
Q: An unqualified opinion: a) is given when there is a conflict of interest. b) is one made without…
A: Introduction:- The followingtypes of auditor opinions are as follows under:- Unqualified opinion.…
Q: Jaydon Garden Jobs (JGJ) has been operating in Weston Super Mare since 2011 steady growth over the…
A: A revised cost estimate is a comprehensive estimate created when the initial sanctioned estimate…
Q: Assume you have secured a loan of $10,000 from a bank which will be paid in one year. The bank has…
A: Month Instalment Interest Paid = Opening Balance x 0.31% Principal Opening Balance Closing Balance…
Q: 1. Prepare journal entries to record the cost of the development well, assuming the company uses…
A: Full Cost Method Under the Full cost method which is described as it allows to capitalize the whole…
Q: Problem 1. A 1000 par-value bond with 8% quarterly coupons has payment dates of January 31, April…
A:
Q: On January 1, 2021, Ree Company sold a machine to Say Company. In lieu of cash payment, Say gave Ree…
A: Liabilities are the amounts which are owed by the organization at the date of the preparation of the…
Q: When should a reversal of a goodwill impairment be recognised? a) © Immediately b) At…
A: Goodwill Impairment: Accounting charges are referred to as goodwill impairment when the carrying…
Q: Which account amount is the most important (larger) in the assets side and in the liabilities side…
A: Balance sheet is the summary of the financial position of the company on a particular date in which…
Q: Define the following accounting terms and give examples to prove your answers. 1. Expenses 2.…
A: Disclaimer: “Since you have asked multiple questions, we will solve the first question for you. If…
Q: ve mentio
A: The journal entries are given as,
Q: The net income reported on the income statement for the current year was $310,000. Depreciation…
A: Cash flow from operating activities indicates the cash inflow or outflow transactions related to the…
Q: Chart of Accounts of A Service Business ASSETS LIABILITIES Current Assets 101 Current Liabilities…
A: INTRODUCTION: In every business organization various accounting terms are used. It becomes necessary…
Q: Prepare the Statement of Comprehensive Income using the multi-step format. Beautiful Life…
A: Introduction Statement of comprehensive income gives details about all revenue ,income expense or…
Q: thave been $950 and at retirement, the NBV would have been the same as the have been $950 and at…
A: The bonds are issued at premium as the issue price of 1050 ($ 1000* 105% ) is higher than the face…
Q: What is “fair value”? Consider whether it is really helpfulwhen reporting financial results. Give…
A: Fixed assets: These include all the assets that are of tangible nature and have an expected useful…
Q: Alpha Corp. has a branch in Pasig City established on May 31, 2021. During 2021, the home office…
A: Head Office of the business organization may open its branches at different cities to expand the…
Q: of computing vat payable
A: VAT refers to the type of tax imposed by the government over the sale of goods and services.
Q: Shangrila bought shares of Crossing, Inc. in two batches as follows: June 10, 2018 2000…
A: Cash dividend = 5000 shares x P 10 = P50000
Q: Deirdre Surf Shop, Inc. placed in service computer equipment with a basis of $15,0 th a basis of…
A: Placed in service is point of time when an asset that can be depreciated for the use of accounting.…
Q: Carlmont Corporation is authorized to issue 5,000,000 shares of $2 par value common stock. As of…
A: The treasury stock shares decreases the number of outstanding chares. The dividend is declared for…
Q: A business commenced with capital in cash of C1,000. Inventory costing (800 net of sales tax at…
A: Introduction: Accounting and bookkeeping are two sides of the same coin when it comes to keeping…
Q: Nintendo Company, Ltd., recently reported the following financial information (amounts in millions).…
A: Through the evaluation of financial accounts such as the financial statement, ratio analysis…
Q: Buenos Company has two divisions, Division X and Division Y. Division X has a production capacity of…
A: Calculation of Spare Capacity In the given question, Division X has production capacity of 6,000…
Q: Number of Number of Number of Setups Components Direct Labor Hours Product 13 10 290 Sandard 32 18…
A: Using traditional method, the predetermined overhead rate is calculated as estimated overhead cost…
Q: GMPK LLP, a firm that provides financial services, has suffered financially due to a marked loss of…
A: A partnership is an agreement where two or more individuals mutually agree to operate and manage a…
Q: Company provdes the following ABC costing information: Total Costs Activity-cost drivers itles…
A: Activity Based Costing is a method identifying activities and then assigning indirect cost and…
Q: ecember 31, Year 1 Penthouse Company ry shares of X Co. in its portfolio of long-tern ity…
A: In case, investments are FV-OCI assets (Fair value through the Other Comprehensive Income), then…
Q: On January 1, 2021, Ree Company sold a machine to Say Company. In lieu of cash payment, Say gave Ree…
A: PRESENT VALUE FACTOR TABLE @10% Year PVF @10% 1 0.9091 2 0.8264 3 0.7513 4 0.6830 5…
Q: Simon Company’s year-end balance sheets follow. At December 31 Current Yr 1 Yr Ago 2 Yrs Ago…
A: Days' sales in inventory confirms how many days' sales are in ending inventory. Higher the number of…
Q: 1. Assuming that net pay was directly deposited into the employee's bank accounts, prepare the…
A: Journal entry is made at the time when a business transaction or any other accruals has been…
Step by step
Solved in 3 steps
- Q1. TınazFormers sells a patented product called the CoronaKiller. This device, which sells for $70, is very popular. The CoronaKiller is sold through a distributor who sells to retail stores and to the public through TV Shows. The distributor pays TınazFormers $30 for each CoronaKiller. TınazFormers also sells them through 15-minute television shows and on the Healthy TV for $70 plus $15 for shipping and handling. Although each TV Show increases the public awareness of the product, thereby stimulating sales in the retail stores, TV Show sales also preempt retail sales. The distributor sells sufficiently large numbers of units that, for every 10 CoronaKillers sold via the TV Show, two units will not be sold in a retail outlet. For each unit sold on the TV Show, TınazFormers TınazFormers pays $5 to the shipping company for mailing and $2 to the phone-answering company for providing the toll-free number and processing the order. TınazFormers purchases CoronaKillers from the manufacturer,…•Use the following information for the next 3 questions (3, 4 &5). Division X sells organic high-gluten flour to Division Y. Division X incurs costs of $0.4 per pound of flour. Division Y makes loaves of bread that sell for $2 each. Division Y incurs costs of $1.3 per loaf, excluding the cost of the flour. Eachloafofbreaduses0.25poundofflour. Transferpriceissetat$0.6/lb. 3. What is the operating income per pound of flour for Division X? 4. What is the operating income per loaf for Division Y? 5. What is the operating income per loaf for the entire organization?EOQ for a retailer. The Cloth Center sells fabrics to a wide range of industrial and consumer users. One of the products it carries is denim cloth, used in the manufacture of jeans and carrying bags. The supplier for the denim cloth pays all incoming freight. No incoming inspection of the denim is necessary because the supplier has a track record of delivering high-quality merchandise. The purchasing officer of the Cloth Center has collected the following information: Annual demand for denim cloth 20,000 yards Ordering cost per purchase order P160 Carrying cost per year 20% of purchase costs Safety-stock requirements None Cost of denim cloth P8 per year The purchasing lead time is 2 weeks. The Cloth Center is open 250 days a year (50 weeks for 5 days a week).1. Calculate the EOQ for denim cloth.2. Calculate the number of orders that will be placed each year3. Calculate the reorder point for denimcloth.
- solve a,b and c please. Mcleavey Manufacturing has a demand for 1,000 pumps each year. The company outsources her production by ordering outside supplier, unit purchase price is 60$/ unit. Mc Leavey Manufacturing has to rent warehouse 10% of unit cost per year. And Mc Leavey Manufacturing pays for investment cost of 10% of unit cost per year. For ordering, the company must pay 50$/ order. a. What do you recommend if Mc Leavey Manufacturing get discount from his vendor with below schemes: Order quantity: discount price Less than 150 pumps: 5% discount rate More than 150 pumps: 10% discount rate b. If the company has plan to produce by themself then what is optimal production quantity? (given that they have production rate is 1500 units/year and setup cost is 100$). c. What is the optimal total annual inventory cost if they produce?1.Make or Buy A restaurant bakes its own bread for a cost of $148 per unit (100 loaves), including fixed costs of $33 per unit. A proposal is offered to purchase bread from an outside source for $98 per unit, plus $8 per unit for delivery. Prepare a differential analysis dated July 7 to determine whether the company should make (Alternative 1) or buy (Alternative 2) the bread, assuming that fixed costs are unaffected by the decision. If an amount is zero, enter "0". For those boxes in which you must enter subtracted or negative numbers use a minus sign. 2. Replace Equipment A machine with a book value of $246,600 has an estimated six-year life. A proposal is offered to sell the old machine for $216,500 and replace it with a new machine at a cost of $282,700. The new machine has a six-year life with no residual value. The new machine would reduce annual direct labor costs from $49,400 to $39,500. Prepare a differential analysis dated October 3 on whether to continue with the…Question: The Ahsan Co. makes beds. It has recently received a request from a customer to provide a one-off order of sofas, in excess of normal production. The following notes are relevant: Notes: The fabric is regularly used by Ahsan Co. There are currently 200 m2 in inventory, which cost Rs.18 per m2. The current purchase price of the fabric is Rs.18.50 per m2. 400 m2 of fabric is required for the project. Wood is regularly used by the Co. and usually costs Rs.8.20 per m2. However, the company’s current supplier’s earliest delivery time for the wood is in three weeks’ time. An alternative supplier could deliver immediately but they would charge Rs.8.50 per m2. Ahsan Co. already has 1000 m2 in inventory but 980 m2 of this is needed to complete other existing orders in the next two weeks. The remaining 20 m2 is not going to be needed until four weeks’ time. 100 m2 of wood will be required by the project. 400 hours of skilled labor is needed. The skilled labor force is employed under…
- Please answer questions 4 and 5 in their entirety. There is an image included to reflect my exact needs and terminology. Please do not deviate. Neptune Company has developed a small inflatable toy that it is anxious to introduce to its customers. The company’s Marketing Department estimates that demand for the new toy will range between 20,000 units and 30,000 units per month. The new toy will sell for $9.00 per unit. Enough capacity exists in the company’s plant to produce 25,000 units of the toy each month. Variable expenses to manufacture and sell one unit would be $5.00 , and incremental fixed expenses associated with the toy would total $34,000 per month. Neptune has also identified an outside supplier who could produce the toy for a price of $4.00 per unit plus a fixed fee of $67,000 per month for any production volume up to 25,000 units. For a production volume between 25,001 and 55,000 units the fixed fee would increase to a total of $134,000 per month. Required: 1.…Onawa Ltd manufactures a top-selling electronic spreadsheet product called Cell 123. Onawa is aboutto release version 8. It divides its customers into 2 groups: new customers and upgrade customers(those who previously purchased Cell 123, version 7 or earlier versions). Although the same physicalproduct is provided to each customer group, sizeable differences exist in selling prices and variablemarketing costs New customers Upgrade customers N$ N$ Selling price 210 120 Variable costs: Manufacturing (25) (25) Marketing (65) (15) The fixed costs of Cell 8 are N514 000 000. The planned ratio of new customers to upgrade customers isexpected to be 6:4 respectively requirement:a) Calculate Onawa Ltd individual break-even point both in units and sales revenue, assuming thatthe customers will come as planned.b) Ifthe planned sales mix is attained, calculate the operating income when 200 000 units are sold.c) The CVP analysis as any management tool has some limitations.…Plz solve correctly. An automotive supply store sells a product that has a demand of 400 units per month. Its supplier charges an ordering cost of $60 per order and $25 per unit with a 20% discount for orders of 250 units or higher. The store incurs a 20% annual holding cost. What is the store’s total annual cost (purchasing, ordering, and holding) if it orders at a quantity of 300 units? a. $121,560 b. $96,000 c. $120,000 d. $97,560
- Question • S7.25 Zan Azlett and Angela Zesiger have joined forcesto start A&Z Lettuce Products, a processor of packaged shredded lettuce for institutional use. Zan has years of food processingexperience, and Angela has extensive commercial food preparation experience. The process will consist of opening crates oflettuce and then sorting, washing, slicing, preserving, and finallypackaging the prepared lettuce. Together, with help from vendors,they think they can adequately estimate demand, fixed costs, revenues, and variable cost per 5-pound bag of lettuce. They think alargely manual process will have monthly fixed costs of $37,500and variable costs of $1.75 per bag. A more mechanized processwill have fixed costs of $75,000 per month with variable costs of$1.25 per 5-pound bag. They expect to sell the shredded lettucefor $2.50 per 5-pound bag.d) What is the revenue at the break-even quantity for the mechanized process?e) What is the monthly profit or loss of the manual process if…Question • S7.25 Zan Azlett and Angela Zesiger have joined forcesto start A&Z Lettuce Products, a processor of packaged shredded lettuce for institutional use. Zan has years of food processingexperience, and Angela has extensive commercial food preparation experience. The process will consist of opening crates oflettuce and then sorting, washing, slicing, preserving, and finallypackaging the prepared lettuce. Together, with help from vendors,they think they can adequately estimate demand, fixed costs, revenues, and variable cost per 5-pound bag of lettuce. They think alargely manual process will have monthly fixed costs of $37,500and variable costs of $1.75 per bag. A more mechanized processwill have fixed costs of $75,000 per month with variable costs of$1.25 per 5-pound bag. They expect to sell the shredded lettucefor $2.50 per 5-pound bag.a) What is the break-even quantity for the manual process?b) What is the revenue at the break-even quantity for the manualprocess?c) What is…Question • S7.25 Zan Azlett and Angela Zesiger have joined forcesto start A&Z Lettuce Products, a processor of packaged shredded lettuce for institutional use. Zan has years of food processingexperience, and Angela has extensive commercial food preparation experience. The process will consist of opening crates oflettuce and then sorting, washing, slicing, preserving, and finallypackaging the prepared lettuce. Together, with help from vendors,they think they can adequately estimate demand, fixed costs, revenues, and variable cost per 5-pound bag of lettuce. They think alargely manual process will have monthly fixed costs of $37,500and variable costs of $1.75 per bag. A more mechanized processwill have fixed costs of $75,000 per month with variable costs of$1.25 per 5-pound bag. They expect to sell the shredded lettucefor $2.50 per 5-pound bag.a) What is the break-even quantity for the manual process?b) What is the revenue at the break-even quantity for the manualprocess?c) What is…