Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Prepare computations showing how much profits will increase or decrease.
For many years Futura Company has purchased the starters that it installs in its standard line of farm tractors. Due to a reduction in output, the company has idle capacity that could be used to produce the starters. The chief engineer has recommended against this move, however, pointing out that the cost to produce the starters would be greater than the current $8.40 per unit purchase price:
Per Unit
Total
Direct materials
$3.10
Direct labor
$2.70
Supervision
$1.50
$60,000
Depreciation
$1.00
$40,000
Variable manufacturing overhead
$0.60
Rent
$0.30
$12,000
Total production cost
$9.20
A supervisor would have to be hired to oversee production of the starters. However, the company has sufficient idle tools and machinery that no new equipment would have to be purchased. The rent charge above is based on space utilized in the plant. The total rent on the plant is $80,000 per period. Depreciation is due to obsolescence rather than wear and tear.
Required:
Prepare computations showing how much profits will increase or decrease as a result of making the starters.
We are learning about the Volume based costing systems and the Activity Based Systems. Briefly explain the Volume based costing system and how it operates. Additionally, explain how the ABC system operates.
Prepare the consolidated statement of cash flows of the Huihui Ltd group for the year ended 30 June 2012 in accordance with AASB107, using the direct method. Include a note that reconciles profit with cash flows from operating activities. Show al..
What is this contract worth today if the firm can earn 7.2 percent on its money?
Prepare two analyses of Kamp’s alternatives, one showing no explicit opportunity cost and the second showing the explicit opportunity cost of the decision to hold the present home.
What is the role of the CPA and how does it differ from other accountants? What is the value of the accounting function in your organization, both internally and externally?
The accounting records of Westcott Company revealed the following costs: Factory utilities $ 35,000, Wages of assembly-line personnel 170,000, Customer entertainment 45,000
The difference may be in the ability to conceal it. So, illustrate what unique ways of concealing cheating exist in the online classroom which may not exist in a traditional classroom?
Calculate the return on equity from the information - Henry's return on common stockholder's equity, rounded to the nearest percentage point, for 2007
Prepare a statement of cash flows for 2011. Use the direct method for reporting operating activities, refer to the above situation.
Calculate amount of fixed manufacturing overhead that will be included in ending inventory under full costing and reconcile it to the difference between income computed under variable and full costing.
Describe the changing role of management accountants with reference to how it impacts on the current business environment.
A disbursement by the general fund to another fund may be recorded as a receivable, an expenditure, or a fund transfer. Elucidate the circumstances that would result in each of these different treatments.
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd