Reference no: EM132598475
Question 1: Micro Enterprises planned to produce 120,000 lerts per year. Annual overhead, of which 32.5% is variable, is estimated at $360,000. Each lert takes 1.2 machine hours and 3 labor hours to produce. The firm allocates overhead by direct labor hours.
You review the accounting records at the end of the year. You learn that Micro made 125,000 lerts in the year. Actual overhead expenditures totaled $370,000. Which is true with respect to Under/Over-applied overhead?
A. Under-applied overhead is $5,000 and should be credited to Cost of Goods Sold
B. Over-applied overhead is $5,000 and must be prorated across Raw Materials, Work in Process, and Finished Goods inventories and Cost of Goods Sold
C. Over-applied overhead is $5,000 and can be charged to Cost of Goods Sold or prorated across Raw Materials, Work in Process, Finished Goods and Cost of Goods Sold
D. None of the choices are correct
|
Demonstrate what is material quantity variance for the month
: What is the material quantity variance for the month? During the month they purchased 30,000 lbs of material at a cost of $92,000 and used 27,000
|
|
Who you think the intended audience is for the speech
: Discuss who you think the intended audience is for the speech. Provide three or more examples of figures and tropes used by the speaker.
|
|
Which is not true for dbc for the month
: Month were $290,000 while conversion costs during the month totaled $353,200. Which is not true for DBC for the month, using the average cost method?
|
|
How companies make financial decisions
: Summary of how companies make financial decisions, Compute the percentage total return, capital gains yield, and dividend yield.
|
|
Which is true with respect to underr-applied overhead
: Micro made 125,000 lerts in the year. Actual overhead expenditures totaled $370,000. Which is true with respect to Under/Over-applied overhead?
|
|
How do calculate the yield to maturity
: Calculate the yield to maturity (YTM). Calculate as a percentage correct to two decimal places. Do not enter the percentage (%) sign.
|
|
Find when inventory be ordered to avoid from stock shortage
: Find When should inventory be ordered to avoid from stock shortage? What do mean by stock shortage and Explain in detail. Discuss with practical example.
|
|
Describe the behavioral challenges in achieving efficiency
: Explain what it means to have efficient capital market, Describe the behavioral challenges in achieving efficiency.
|
|
Payback method in evaluating project cash flows
: Describe the use of internal rate of return (IRR), net present value (NPV), and the payback method in evaluating project cash flows.
|