A company purchased a weaving machine for $190,000. The machine has a useful life of 8 years and a residual value of $10,000. It

Answer:

The correct option is A.

$14.38 per direct labor hour

Explanation:

If the planned direct labor time for December is 8,000 hours, the total budgeted factory overhead per direct labor hour is calculated as follows:

Total budgeted factory overhead for December= Variable Factory Overhead rate per labor hour * budgeted labor hours for December + Fixed Factory Overhead monthly cost

Total budgeted factory overhead for December = 5*8000 + 75000

Total budgeted factory overhead for December = $115,000

Total budgeted factory overhead per labor hour = Total budgeted factory overhead for December/budgeted direct labor hours for December

Total budgeted factory overhead per direct labor hour = 115000/8000

Total budgeted factory overhead per direct labor hour = 14.38

Answer:

The impact on the accounting equation is as follows:

Assets $-1,005 (decline) = Liabilities $3,150 (increase) + Retained earnings $-4,155 (decline)

The necessary journal entries are outlined as below:

Explanation:

The accounting equation represents a company's balance sheet, stating that total assets equal liabilities plus equity.

Scenario (a)

Debit Prepaid insurance $6,200

Credit Cash $6,200

(To document payment for a one-year insurance policy)

Debit Insurance expense (0.25 × $6,200) $1,550

Credit Prepaid insurance $1,550

(To record the amortization of prepaid insurance - October to December)

Scenario (b)

Debit Cash $5,000

Credit Unearned revenue $5,000

(To document unearned service revenue)

Debit Unearned revenue (0.75 × $5,000) $3,750

Credit Sales revenue $3,750

(To record the amortization of unearned service revenue)

Scenario (c)

Debit Supplies $1,900

Credit Accounts payable $1,900

(To account for the purchase of supplies on credit)

Debit Supplies expenses ($1,900 - $245) $1,655

Credit Supplies $1,655

(To record the amortization of purchased supplies)

Scenario (d)

Debit Prepaid lease $11,280

Credit Cash $11,280

(Prepayment for office space)

(To record amortization of prepaid office space from August to December)

Cash -$6,200 + $5,000 - $11,280 + Prepayment $6,200 - $1,550 + $11,280 - $4700 + Supplies $1,900 - $1,655 = Unearned revenue $5,000 - $3,750 + Accounts payable $1,900

Cash $-12,480 + Prepayment $11,230 + Supplies $245 = Unearned revenue $1,250 + Accounts payable $1,900 + Retained earnings $-4,155

Assets $-1,005 (decline) = Liabilities $3,150 (increase) + Retained earnings $-4,155 (decline)

A leader characterized by high initiating structure is likely to engage in the following behaviors;

<span>·         </span>Regarding deadlines, the leader will most probably stress the importance of adhering to these timelines

<span>·         </span>The leader is expected to hold their employees accountable for maintaining specific performance standards

Answer:

they must restrict material and labor costs to $22.75

Explanation:

given information

total marketing expense = $3 million

contribution margin ratio = 35%

Unit selling price = $35

to determine

the required limitation for material and labor costs

calculation

We obtain the contribution margin per unit defined as

Contribution margin per unit = $35 × 35%

Contribution margin per unit = $12.25 per unit

Subsequently, the Variable cost is

Variable cost = $35 - $12.25

Variable cost = $22.75 per unit

Furthermore, Variable cost can also be defined as

Variable cost = Direct materials + Direct labor + Direct manufacturing overhead..............1

In this instance, direct manufacturing overhead is  0 and Direct materials + Direct labor equates to $22.75

So substituting into equation 1

Variable cost = $22.75  + 0 =  $22.75

Hence, it is necessary for them to keep material and labor costs within $22.75

Answer:

1. The ending carrying value for 2016 amounts to the legal fee for application, totaling $20,000.

The ending carrying value for 2017 equals the legal cost from 2016 plus the legal fees for 2017, calculated as $20,000 + $8,000 = $28,000.

2. The company should refrain from amortizing the trade name since it was not impaired in either 2016 or 2017. Amortization of the trade name can occur if its useful lifespan is known, and the company decides it will cease using the trade name; in that case, it will be amortized over its useful duration.