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Regal Products has a budget of $900,000 in 20X6 for prevention costs. If it decides to automate a portion of its prevention activities, it will save $60,000 in variable costs. The new method will require $18,000 in training costs and $120,000 in annual equipment costs. Management is willing to adjust the budget for an amount up to the cost of the new equipment. The budgeted production level is 200,000 units. Appraisal costs for the year are budgeted at $600,000. The new prevention procedures will save appraisal costs of $30,000. Internal failure costs average $15 per failed unit of finished goods. The internal failure rate is expected to be 3% of all completed items. The proposed changes will cut the internal failure rate by one-third. Internal failure units are destroyed. External failure costs average $54 per failed unit. The company's average external failures average 3% of units sold. The new proposal will reduce this rate by 50%. Assume all units produced are sold and there are no ending inventories. How much will internal failure costs change if the internal product failures are reduced by 50% with the new procedures?
A for-profit nursing home has beginning-of-period retained earnings of $40,000. Net income for the period totals $75,000 and dividends declared during the period total $15,000. The balance sheet total for retained earnings will be what amount?
the bank account as a control device helps to protect cash. one of the requirements is to conduct periodic bank
Written, Inc. has outstanding xxx,000 shares of $x par common stock and xx,000 shares of no-par x% preferred stock with a stated value of $x. The preferred stock is cumulative and nonparticipating.
On November 1, a company established a $90 petty cash fund. On November 12, the petty cash fund contains $3 in cash and the following paid petty cash receipts: transportation-in on merchandise inventory
madison corp had two issues of securities outstanding-common stock and a 5 percent convertible bond issue in the face
what circumstances led to the passage of sarbannes-oxley? do you think this act has been successful? why or why not?
case study ii week 5 the city of shipley maintains an employee retirement fund a single-employer defined benefit plan
Recognized gains and losses must be properly classified. Proper classification depends on three characteristics, including the tax status of the property and the holding period of the property. What is the third characteristic?
during the mortgage crisis of 2008-2009 there was a proposal to suspend market-to-market accounting. why was this
Immediately after the formation, calculate the basis of Norman's partnership interest.
for mostly the same info as last problem i.e. for a 100000 face value bond issued for ritzy diner with 14 stated annual
black company uses tghe weighted average method in its process costing system. the companys ending work in process
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