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Point 1: A year ago, Jucky Cola Corporation bought a stamping machine to make the cans for its cola. The cost of the machine was $60,000. The machine has a useful life of 5 years and a salvage value of zero at the end of those five years. Annual depreciation on the machine is $12,000. One year of depreciation has been recorded. The variable manufacturing cost of producing the cans is $0.05 per can. The only fixed manufacturing cost is the annual depreciation of $12,000 on the stamping machine. Jucky needs 200,000 cans annually. The Stamp Company recently gave Jucky an offer to supply all of its can needs for the next four years at $0.07 per can. If Jucky buys from The Stamp, the stamping machine would not be needed and would be sold for $35,000.
Question 1: If Jucky buys from The Stamp, what will be the total dollar increase or decrease in income for the next four years?
Assign costs to units transferred out and EWIP using the FIFO method. Calculate the unit cost. (Note: Round to two decimal places.)
Journalize the following selected transactions for March 2009 in a two-column journal - Derby Co. has the following accounts in its ledger:
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Department W shows 402 machine hours for the period. The overhead rate is $5 per machine hour. What will the entry to assign overhead include?
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Consider the data given in the following table and identify the appropriate category for item C in an ABC classification.
Calculate the budgeted machine set up cost per unit of product Q.
The stock is priced at $12.50 with float cost of 15% The marginal tax rate for the company is 40%, what will The cost of newly-issued stocks be?
Zion Company sells merchandise on account to BRC, Inc. in the amount of $1,200. What The entry to record this sale would include a
Enter the beginning balances in the accounts, and post the journal entries to the stockholders' equity accounts. (Use J5 for the posting reference.)
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