Answer:
Gullette Corporation
Gullette Corporation
Selling and administrative expense budget for April:
April Budgeted unit sales = 3,700
Variable selling and administrative expense per unit = $4.80
Variable selling and administrative expense = $17,760
Fixed selling and administrative expense = $30,180
Total selling and administrative expense = $47,940
Less Depreciation expense = ($3,450)
Cash disbursements for selling and
administrative expenses $44,490
Explanation:
Data:
Budgeted units sales = 3,700
Variable selling and administrative expense = $4.80 per unit
Budgeted fixed selling and administrative expense = $30,180 per month
Depreciation in fixed expense = $3,450
Gullette Corporation
Selling and administrative expense budget for April:
April Budgeted unit sales = 3,700
Variable selling and administrative expense per unit = $4.80
Variable selling and administrative expense = $17,760
Fixed selling and administrative expense = $30,180
Total selling and administrative expense = $47,940
Less Depreciation expense = ($3,450)
Cash disbursements for selling and
administrative expenses $44,490
b) Under the budgetary process, Gullette Corporation prepares its selling and administrative expense budget to include the variable and fixed elements. The variable element of Gullette's selling and administrative expenses varies per unit with the volume of sales, while the fixed element remains relatively constant in total. The total cash disbursements for selling and administrative expenses do not include depreciation.
1. In a transportation problem with 4 sources and 4 destinations, how many shipping lanes will exist?
2. In a transportation problem with 3 sources and 3 destinations, how many fixed requirements constraints will be needed?
Answer:
1. 16
2. 6
Explanation:
1. There are 4 sources that can ship to 4 different destinations. Each of the 4 can ship to any of the 4 destinations which means that the number of shipping lanes is;
= 4 * 4
= 16
2. There are 3 sources which means the fixed requirement for sources is 3. There are 3 destinations which means the fixed requirement for destinations is 3.
The total fixed requirements are;
= 3 + 3
= 6
A company has total revenue of $195,000 and total assets on its balance sheet of $2,015,000. What is the return on assets for this company?
Answer:
9.67%
Explanation:
A company has a total revenue of $195,000
The total assets is $2,015,000
Therefore the return on assets for the company can be calculated as follows
= 195,000/2,015,000
= 0.0967×100
= 9.67%
Hence the return on assets is 9.67%
Which of the following statements are true? A. The creditors of a firm must be satisfied before any earnings can be distributed to the common shareholders.B. The more financial leverage that a firm uses, the greater will be its risks and expected return.C. When referring to ratio comparisons, time-series analysis compares a firm to that of an industry leader.D. Earnings per share is calculated by dividing retained earnings by the number of shares of common stock outstanding.E. The operating profit margin must take into account interest and taxes.
Answer: .B. The more financial leverage that a firm uses, the greater will be its risks and expected return
Explanation:
Financial leverage measures how much debt a company is using in acquiring assets. A high financial leverage means that the company is insuring more debt which means that the company has a higher risk attached.
The company will also have a higher expected return as they will have to pay off the debt that they used. Higher financial leverage also leads to more volatility in earnings.
Which of the following is not a recognised type of plan?
a) Business
b) Succession
c) Ad hoc
d) Financial
Answer:
Ad hoc
Explanation:
Ad hoc is not a recognized type of plan. The following are plans that are 100% recognizable:
Business plan, Succession plan and Financial plan.
Ad hoc is a Latin word which means "for this" or "for this situation". In English, it is used to explain what has been formed for a special purpose without planning.
A the production possibilities frontier (PPF) is bowed outward as a result of:_________
1) constant opportunity costs.
2) increasing opportunity costs.
3) decreasing opportunity costs.
4) scarcity.
5) choice.
Answer: 2) increasing opportunity costs.
Explanation:
The Production Possibilities frontier is bowed out as it shows that for one more unit of a good to be produced, an additional unit of the other good must be given up.
This represents increasing opportunity costs because opportunity cost is the cost we incur for choosing one alternative over another. By producing more and more of one good, we give up more and more of the other good which means that our opportunity cost rises.
Which of the following is not one of the reasons why consumers and businesses have been slow to embrace mobile commerce? Select one: a. Concerns about privacy and security b. Consumers find mobile devices too complicated to use for commerce c. Limited and inconvenient mobile payment options d. Lack of technological standardization (devices, OSs, browsers, etc.)
Answer:
b. Consumers find mobile devices too complicated to use for commerce
Explanation:
This is far from being a reason why consumers and businesses have been slow to embrace mobile commerce. Consider, it is a known fact that mobile devices are more than ever before now user friendly, and information about operating them can be found quickly online.
Rather, the reasons for such slow adoption has often been attributed to consumer's concerns about privacy and security, limited and inconvenient mobile payment options, and a lack of technological standardizations, etc.
Which of the following is a drawback of the corporate structure?
Answer:
C double tax on business earning
Explanation:
In a telephone conversation, a jewelry maker offered to buy 100 ounces of gold from a precious metals company if delivery could be made within 10 days. The jewelry maker did not specify a price, but the market price for 100 ounces of gold at the time of the conversation was approximately $65,000. Without otherwise responding, the company delivered the gold six days later. In the meantime, the project for which the jewelry maker planned to use the gold was canceled. The jewelry maker therefore refused to accept delivery of the gold or to pay the $65,000 demanded by the company. Is there an enforceable contract between the jewelry maker and the company
Answer:
No
Explanation:
Since in the question there is a situation given in which there is a telephonic conversation and later onwards the jewelry maker refused to accept the goods delivery or pay $65,000 as per the company
So this represents that there is no enforceable contract lies between the company and the jewelry maker as the agreement is not in writing so it would not be considered as a valid contract
hence, the answer is no
The appropriate section in the statement of cash flows for reporting the purchase of equipment for cash is:_______.
A) Operating activities.
B) Financing activities.
C) Schedule of non-cash investing or financing activity.
D) This is not reported on the statement of cash flows.
Answer: Investing activities
Explanation:
The appropriate section in the statement of cash flows for reporting the purchase of equipment for cash is referred to as the investing activities.
The operating activities has to do with the reporting of cash payment for wages. The financing activities has to do with reporting issuance cash for the common stock.
Organizations are increasingly using teams for many reasons. The difference between a good team and an outstanding team has been found to be
Answer:
the way team members treat each other
Explanation:
The main difference between such teams is the way team members treat each other. This is because the most outstanding teams treat each other as friends, this allows each member to want to motivate one another towards their best self. Overall this provides increased work efficiency and innovative results from these teams as opposed to groups that treat each other only as professional colleagues and want to overshadow one another in order to further their own careers.
Which of the following best explains why a board of directors may grant stock options as part of a compensation package?
A) To reduce the transferability of stocks between stockholders
B) To bring about a separation of CEO/chair duality
C) To align incentives between shareholders and management
D) To change the liability of shareholders from limited to unlimited
Answer:
C) To align incentives between shareholders and management
Explanation:
Stock options are usually offered to managers and board members to reduce agency conflicts and align the goals of the mangers with that of the shareholders.
By granting stock options to board directors, it would be in the best interest of the directors to see the value of their stocks increase. So, they would take decisions that would enhance the appreciation of stocks.
The process of first creating and then developing and strengthening capabilities internally
A. is a one-step process that centers around properly training and empowering employees to
B. requires first developing the ability to do something, however imperfectly or inefficiently perform their assigned activities in a tightly-prescribed manner developed by the company's foremost technical experts second, translating this ability into a tried-and-true competence and/or capability by learning to do the activity consistently well and at an acceptable cost, and then continuing to polish, refine, and sharpen their performance of the competence or capability, striving not just for ongoing improvements but, ultimately, for best-in-industry or best-in-world proficiency
C. entails organizing a group of employees with the needed know-how and expertise intoa single department, providing departmental members with thgmtools and training needed to learn the desired competence/capability, informing the department of the target levels of proficiency and cost that the company needs, and then motivating departmental members with an attractive package of rewards and incentives if they meet or beat the proficiency-cost targets
D. can be shortcut by weeding out underperforming employees, replacing them with people having stronger skills sets and know-how, providing the new personnel with clear and detailed instructions on how to perform the desired capability, supervising their efforts, and having them repeat the activity a sufficient number of times to polish and sharpen their proficiency levels
E. stands a better chance of succeeding if a company creates competence teams and capability teams, provides team members with first-rate training and adequate resources, and empowers the team members to exercise their creativity and ingenuity to become proficient in performing their assigned competence/capability
Answer:
B. requires first developing the ability to do something, however imperfectly or inefficiently perform their assigned activities in a tightly-prescribed manner developed by the company's foremost technical experts second, translating this ability into a tried-and-true competence and/or capability by learning to do the activity consistently well and at an acceptable cost, and then continuing to polish, refine, and sharpen their performance of the competence or capability, striving not just for ongoing improvements but, ultimately, for best-in-industry or best-in-world proficiency
Explanation:
If a company chooses to develop it's competencies and capabilities internally and not externally by maybe choosing to outsource experts or merging or collaborating with companies with required competence and expertise, then they would have to follow through with the process of developing and nurturing internal capability and competencies. To proceed with internal competence, a company would need to hire experts if there are none in the company, these experts would train staff who follow through with the process in the option chosen above.
You are a consultant to a large manufacturing corporation that is considering a project with the following net after-tax cash flows (in millions of dollars):
Years from Now After-Tax Cash Flow
0 -40
1-10 15
The project's beta is 1.8.
Assuming that rf = 8% and E(rM) = 16%, what is the net present value of the project?
Answer:
$18.092 million
Explanation:
For determining the net present value first we have to find out the cost of equity or discount rate by using the CAPM formula
Cost of equity = Risk-free rate of return + Beta × (Market rate of return - Risk-free rate of return)
= 8% + 1.80 × (16% - 8%)
= 8% + 1.80 × 8%
= 8% + 14.4%
= 22.4%
Now the net present value is shown below:
= -$40 million + $15 million × PVAF(22.4%, 10 years)
= -$40 million + $15 million × 3.8728
= $18.092 million
Nadell Corporation reported the following data for the month of AprilInventory Beginning Ending Raw Materials $30,000 $32,000 Work in Process $20,000 $21,000 Finished Goods $39,000 $53,000If the company transferred $234,000 of completed goods from work in process to finished goods inventory during April, what was the cost of goods sold for the month?
Answer:
COGS= $181,000
Explanation:
Giving the following information:
Beginning Finished Goods= $39,000
Ending Finished Goods= $53,000
Cost of goods manufactured= 234,000 - 39,000= $195,000
To calculate the cost of goods sold, we need to use the following formula:
COGS= beginning finished inventory + cost of goods manufactured - ending finished inventory
COGS= 39,000 + 195,000 - 53,000
COGS= $181,000
Cardero Midwifery's cost formula for its wages and salaries is $2,280 per month plus $348 per birth. For the month of August, the company planned for activity of 118 births, but the actual level of activity was 116 births. The actual wages and salaries for the month was $44,120. The wages and salaries in the planning budget for August would be closest to:
Answer:
Total cost= $43,344
Explanation:
Giving the following information:
Cardero Midwifery's cost formula for its wages and salaries is $2,280 per month plus $348 per birth.
The company planned for an activity of 118 births.
To calculate the budgeted total cost for wages and salary, we need to use the following formula:
Total cost= total fixed cost + unitary variable cost*number of births
Total cost= 2,280 + 348*118
Total cost= $43,344
Santo Corporation declares and distributes a cash dividend that is a result of current earnings. How will the receipt of those dividends affect the net income of the investor under the Fair Value Method and the Equity Method, respectively?
Answer:
Under the equity method, cash dividends reduce the carrying value of the investment account (asset account), they are not considered income. For e.g.
Journal entry to record investment
Dr Investment in Santo Corporation 100,000
Cr Cash 100,000
Journal entry to record cash dividend
Dr Cash 5,000
Cr Investment in Santo Corporation 5,000
Under the fair value method, cash dividends are considered income. For e.g.
Journal entry to record investment
Dr Investment in Santo Corporation 100,000
Cr Cash 100,000
Journal entry to record cash dividend
Dr Cash 5,000
Cr Dividend income 5,000
Circumstances) People, constraints, and consumption are some of the key factors that will impact on your critical thinking and shape your ambitions. True False
Answer:
True
Explanation:
Critical thinking is the thinking that deals in analyzing the facts so that the judgment could be created. It involves various things like rationality, non-biased, proof-based on facts provided, etc
Here the factors that directly impact the critical thinking are people, constraints and the consumption this results in shaping your goals and objectives you made
hence, the given statement is true
A company wants to decrease its $200.00 petty cash fund to $100.00. The entry to reduce the fund is:
Answer:
Debit to Cash $100, Credit to Petty cash $100
Explanation:
A company wants to decrease its $200.00 petty cash fund to $100.00. The entry to reduce the fund is:
Date Journal Entry Debit Credit
Cash $100
Petty cash $100
If the units completed were transferred to the Labeling Department, what is the appropriate journal entry to transfer the conversion costs
Answer:
Work in Process—Labeling $196,000; Work in Process—Canning $196,000.
Explanation:
Conversion costs are to be accounted for on 50,000 units transferred to the Labelling department at a cost of $3.92 per equivalent unit.
Total conversion cost = 50,000 * 3.92
= $196,000
This would be transferred from the Work in progress account for the Canning department so that account would be credited and the Labelling department Work in progress account which is receiving it would be debited.
DR Work in Process—Labeling...................................... $196,000
CR Work in Process—Canning........................................................ $196,000.
With seven other homeowners, Marty was invited to a(n) _____ where the researcher asked the group general questions about how they do yard work. The interview revealed that most have limited time to work in the yard and would be willing to hire a lawn care service if the price were reasonable.
Answer:
The answer is:
focus group
Explanation:
a focus group is a small group of a population, made up of the different categories of the members of the larger population (demographic diversity, whose reactions on particular research are studied using a guided or open discussions, to reflect reliably the reactions that can be expected from the larger population. Use of focus groups is for data collection. In this example, the intended research is on "how homeowners do yard work" and " their views on hiring lawn care services". The group to be focused on (focus group) is the homeowners, so anyone who does not own is home is not part of this group and in order for this group to accurately reflect all the homeowners population, it should include men and women, with different types of homes.
Bilbo Baggins wants to save money to meet three objectives. First, he would like to be able to retire 30 years from now with retirement income of $26,000 per month for 20 years, with the first payment received 30 years and 1 month from now. Second, he would like to purchase a cabin in Rivendell in 15 years at an estimated cost of $675,000. Third, after he passes on at the end of the 20 years of withdrawals, he would like to leave an inheritance of $850,000 to his nephew Frodo. He can afford to save $2,300 per month for the next 15 years. If he can earn a 9 percent EAR before he retires and a 8 percent EAR after he retires, how much will he have to save each month in Years 16 through 30?
Answer:
$6,573.08
Explanation:
first we need to determine the present value (in 20 years) of Bilbo's retirement distributions:
present value = monthly distribution x annuity factor (PV, 0.6667%, 240 periods) = $26,000 x 119.51872 = $3,107,486.72
now we need to find the present value (in 20 years) of Frodo's inheritance:
present value = $850,000 / (1 + 8%)²⁰ = $182,365.98
this means that in 20 years, Bilbo must have saved $3,107,486.72 + $182,365.98 = $3,289,852.70
but that is not all, he also needs $675,000 in 15 years:
in 15 years, Bilbo's savings account will have monthly contribution x annuity factor (FV, 0.75%, 180 periods) = $2,300 x 378.40577 = $870,333.27
that means that Bilbo will have $870,333.27 - $675,000 = $220,333.27
in 15 more years, the $220,333.27 will be worth: $220,333.27 x (1 + 9%)¹⁵ = $802,560.07
so Bilbo is $3,289,852.70 - $802,560.07 = $2,487,292.63 short
his monthly contribution to his savings plan should be:
$2,487,292.63 = monthly payment x annuity factor (FV, 0.75%, 180)
$2,487,292.63 = monthly payment x 378.40577
monthly payment = $2,487,292.63 / 378.40577 = $6,573.08
g The following facts are known: • The total pounds needed for production are 2 times the units to be produced. • The desired ending direct materials inventory is 20% of the total pounds needed for production. • The beginning direct materials inventory is equal in number to 10% of the units to be produced. • Cost per pound is $5. • Total cost of the direct materials purchases is $1,035,000. Prepare a direct materials budget for the period.
Answer and Explanation:
The Preparation of direct material budget is shown below:-
Direct Material budget
Particulars Amount
Units to be produced $90,000 Y
Material per unit 2
Total pounds needed for
production M $180,000 2Y
Add: Desired ending Direct
Material Inventory 20% $36,000 (.2 × 2Y = .4Y)
Total Material requirement $216,000 (2.4Y )
Less: beginning Raw material
Inventory $9,000 (.1Y)
Material to be purchased
Account $207,000 (2.3Y)
Cost per pound C $5
Total cost of direct Material
Purchases A $1,035,000
2Y + .4Y - .1Y = $207,000
Y = $207,000 ÷ 2.3 $90,000
The Total cost of direct Material is $90,000.
"Direct Material budget"The Preparation of direct material budget is shown below:-
Production
Production= Units to be produce*Amount
Production=90000*2
Production=1,80,000
Direct Material
Inventory = Production* 20%
Inventory =180000*20%
Inventory =$36,000
Total Material requirement =$216,000
Less: beginning Raw material
Inventory $9,000
Material to be purchased =2,07,000
Total cost of direct Material
Total cost of direct Material=Material to be purchased*Cost per pound
Total cost of direct Material=$207,000*$5
Total cost of direct Material= $1,035,000
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A country is said to have a _______ exchange rate when the government keeps the exchange rate against other currencies at or near a particular target, while a country is said to have a _______ exchange rate when the rate is allowed to move with the market. a. fixed, fixed b. Floating, floating c. flat, flexible d. stable, free market e. static, variable
Answer:
Fixed
Explanation:
The government keeps the exchange rate FIXED the the same rate.
The Marchetti Soup Company entered into the following transactions during the month of June:
(1) purchased inventory on account for $195,000 (assume Marchetti uses a perpetual inventory system);
(2) paid $50,000 in salaries to employees for work performed during the month;
(3) sold merchandise that cost $140,000 to credit customers for $250,000;
(4) collected $230,000 in cash from credit customers; and
(5) paid suppliers of inventory $175,000.
Post the above transactions to the below T-accounts. Assume that the opening balances in each of the accounts is zero except for cash, accounts receivable, and accounts payable that had opening balances of $70,000, $53,000, and $32,000, respectively.
Answer:
Cash account
debit credit
opening 70,000
2) 50,000
4) 230,000
5) 175,000
75,000
Accounts receivable account
debit credit
opening 53,000
3) 250,000
4) 230,000
73,000
Accounts payable account
debit credit
opening 32,000
1) 195,000
5) 175,000
52,000
Merchandise inventory account
debit credit
1) 195,000
3) 140,000
55,000
Wages expense account
debit credit
2) 50,000
Sales revenue account
debit credit
3) 250,000
COGS account
debit credit
3) 140,000
Which of the following people would likely become intoxicated more quickly?
A person who is very tired or physically exhausted
A person who is overweight
A tall person
A middle aged man
Answer:
A person who is very tired or physically exhausted
Explanation:
Being tired is like being drunk as study have proven that. The other option are human in their full consciousness. If a tired or physically exhausted drinks, he will be the first to get more intoxicated than the other options
The following people would likely become intoxicated more quickly is when
A person who is very tired or physically exhausted
The following information should be considered:
Being tired is like being drunk as study have proven that. The other option are human in their full consciousness. If a tired or physically exhausted drinks, he will be the first to get more intoxicated than the other optionsLearn more: brainly.com/question/16911495
Every year, management and labor renegotiate a new employment contract by sending their proposals to an arbitrator, who chooses the best proposal (effectively giving one side or the other $5 million). Each side can choose to hire, or not hire, an expensive labor lawyer (at a cost of $200,000) who is effective at preparing the proposal in the best light. If neither hires a lawyer or if both hire lawyers, each side can expect to win about half the time. If only one side hires a lawyer, it can expect to win nine tenths, or 0.9, of the time.
1. Diagram this simultaneous move game.
2. What is the Nash Equilibrium of the game?
3. Would the sides want to ban lawyers?
Answer:
1. Please find it attached.
If both of them don't get lawyers they will each make half of the $5 million being $2.5 million a piece.
If one side hires a lawyer and the other doesn't, the side with the lawyer will win 0.9 of $5 million which is $4,500,000. However they would have paid the lawyer $200,000 so that payout drops to $4,500,000. The other would make 0.1 which is $500,000.
If they both get a lawyer they will each get half which is $2,500,000 but they would both have paid their lawyers $200,000 a piece so the net payout would be $2,300,000.
2. The Nash Equilibrium is the alternative that it would not serve either party to deviate from as it serves them both well. The Nash Equilibriums would be If both don't get a lawyer or if both get a lawyer.
3. Yes they would because without lawyers they would make more money as they would not have to pay the $200,000 in fees.
If neither team hires a lawyer, they have a 50% probability of winning, hence the projected pay out is $1 million divided by two equals $500,000.
Computation Table;
Management
No-lawyer Lawyer
Labor No-lawyer 500,000;500,000 250,000;550,000
Lawyer 550,000;250,000 300,000;300,000
If they both employ a lawyer, their odds of winning are still 50%, but they'll have to pay money of $200,000, therefore the projected compensation will be $500,000 - $200,000 = $300,000.
Answer 2:If both employ a lawyer or neither hires a lawyer, there is a Rational Function.
Answer 3:Yes, both sides would prohibit the use of a lawyer because no lawyer results in more earnings.
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g If a tax cut increases aggregate demand more than aggregate supply, real GDP ________ and the price level ________.
Answer:
Increase, Increase.
Explanation:
The real GDP “Increases” and the price level “ increases” because the reduction in the tax rate will increase the purchasing power and then people will consume more. Thus, the aggregate demand rises and this rise in the aggregate demand will shift the demand curve rightwards. Resulting in an increase in the price and real GDP increase because the new market equilibrium will be above the old equilibrium.
The Baldwin Company currently has the following balances on their balance sheet: Total Assets $170,110 Total Liabilities $71,983 Retained Earnings $87,805 Suppose next year the Baldwin Company generates $44,200 in net profit, pays $12,000 in dividends, total assets increase by $55,000, and total liabilities remain unchanged. What will ending Baldwins balance in Common Stock be next year? Select: 1Save Answer $33,122 $97,522 $177,088 $384,898
Answer:
.
Explanation:
Your company has decided to switch from IPv4 to IPv6 for all network communications. What do you need to check before this can happen?
Answer:
When switching from IPv4 to IPv6 for all network communications, we need to check the following:
1. Analysis of the cost-benefit: When cost-benefit is properly analyzed, it will help prevent pushback that might arise while executing the project. It will help in securing resources and proper management which will enable all to see the benefit of the project.
2. Readiness for migration will be assessed: The assessment is necessary in order to ascertain if applications will support this transition.
3. Proper migration planning will be carried out
Explanation:
There is a keen observation in the advantage of migrating from IPv4 to IPv6. IT managers of organizations have observed that there success in service provision when using IPv6.
IPv6 (known as Internet Protocol version 6) is the current version of the Internet Protocol which provides identication for computers and routes traffic in the web.
General Motors increases the price of a model car produced exclusively for export to Europe. Which U.S. price index is affected?
Answer: The GDP deflator
Explanation: The GDP(gross domestic product) deflator is a price index that is used to measure the prices of all the goods and services produced within an economy. The cars which are exported by General Motors are produced domestically within the United States of America and exported outside the country.
Any goods produced externally are not considered when determining the GDP deflator.