Problem regarding budget information

Assignment Help Accounting Basics
Reference no: EM13133437

Snyder, Inc., which has excess capacity, received a special order for 4,000 units at a price of $15 per unit. Currently, production and sales are anticipated to be 10,000 units without considering the special order. Budget information for the current year follows.

-Sales equal $190,000.
-Less: Cost of goods equal $145,000.
-Gross margin equal $45,000.

Cost of goods sold includes $30,000 of fixed manufacturing cost. If the special order is accepted, the company's income will:

A. increase by $2,000.

B. decrease by $2,000,

C. increase by $14,000.

D. decrease by $14,000.

E. change by some other amount.

Reference no: EM13133437

Questions Cloud

Work done on box pushed up ramp : A woman exerts a horizontal force of 10 pounds on a box as she pushes it up a ramp that is 7 feet long and inclined at an angle of 30 degrees above the horizontal.
Population proportions are equal against two-tailed : Test at the .05 significance level the null hypothesis that the population proportions are equal against the two-tailed alternative.
Determine the mole(s) of silver nitrate would be required : Zn(s) + 2AgNO3(aq) --> 2Ag(s) + Zn(NO3)2(aq) When 216 g of silver was produced, determine the mole(s) of silver nitrate would be required.
Draw frequency polygons for each of four distributions : Draw frequency polygons for each of the four distributions (assume they are normal) with the raw scores indicated for all six of the standard deviation units. a) Mean= 15 SD= 3
Problem regarding budget information : Snyder, Inc., which has excess capacity, received a special order for 4,000 units at a price of $15 per unit. Currently, production and sales are anticipated to be 10,000 units without considering the special order. Budget information for the curr..
Calculate the purchases budget, in dollars : Management's inventory policy is to have ending inventory equal to 1.4 times the cost of sales for the subsequent month, although it is estimated that the cost of inventory at March 31 will be $170,000.
How many moles of strong acid could this buffer withstand : Consider 4 L of a buffer composed of 2 M HCN and 3 M NaCN? How many moles of strong acid could this buffer withstand?
Brief personal analysis : Sources used to research this person 4-5 non-web based (Periodical, date, pages, etc. MLA) with works sited on the last page. Do not reference the course text book.
Find the cumulative distribution function : Find the cumulative distribution function and the probability that any given defects occur between 1.5 miles and 2.5 miles along the stretch of road?

Reviews

Write a Review

Accounting Basics Questions & Answers

  Liquidity and profitability

Distinguish between liquidity and profitability.

  Amount of net capital gain and net ordinary income

The ABC stock was purchased for $1,800 and sold for $3,200. In 2010 (the year of sale), Jack should report what amount of net capital gain and net ordinary income?

  Preparing the journal entry to record impairment loss

Assume that the fair value of the Dryer division is $1,100,000 instead of $1,250,000. Prepare the journal entry to record the impairment loss, if any, on December 31, 2004.

  Evaluate the npv for project

An owner decides that he wants to go ahead with manufacturing; he must spend $900,000 for the new equipment-Calculate the NPV for this project. Should it be undertaken?

  Accounting principles in performing the audit

Auditors must be concerned with both generally accepted auditing standards and generally accepted accounting principles in performing an audit.

  Journalize the treasury stock transactions

During 1st year of operations Klump Corporation had the following transactions pertaining to its common stock.

  Computing pv of single cash flow

The present value of $100,000 to be received in five years at an interest rate of 16% compounded annually, is $47,610. Calculate the present value of $100,000 for each of the following:

  Journal entries for business-bad debts

On January 1, 2003, Marina Clothing Company had Accounts Receivable of $54,200 and Allowance for Doubtful Accounts of $4,700. Marina Clothing Company prepares financial statements annually. During the year the following selected transactions occur..

  What is the effect of refund on yellow 2006 tax liability

The Yellow Appliance Company, an accrual basis taxpayer, sold goods in December 2005 for $10,000 under terms which allowed the customer to return the goods and receive a refund within 60 days of the sale.

  Invest in marketable securities

The XYZ Corporation has $1000,000 which it plans to invest in marketable securities. The corporation is choosing between the following three equally risky securities

  Finding amount of cash received-prepare journal entries

Determine the amount of cash received and prepare the journal entries for (a) the Jan. 1 issuance and (b) the Dec. 31 recognition of interest.

  Receipt of the incentive stock options

What 2010 income, if any, must Maritza report due to the receipt of the incentive stock options?

Free Assignment Quote

Assured A++ Grade

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd