An arena receives $1,000 per event for 16 concerts. If the administrative costs for this sponsorship total $12,000, what is the

Answer:

The conversion cost per equivalent unit in the mixing department amounts to $ 14.19

Explanation:

Step 1 Determine the Number of Units Completed

Hint: Input units in process must equal output units from the process

Thus, Units Completed = 4,000 units+8,000 units - 2,500 units

= 9,500 units

Step 2 Assess the total conversion cost for the period within the process

Hint: Conversion costs in Opening Work In Progress + Conversion Costs Initiated during the Process

So:

Opening Work In Progress         $55,000

Plus Costs Initiated during the Process $92,000

Total Conversion Costs              $149,000

Step 3 Calculate the total Equivalent Units concerning Conversion Costs

Completed Units - 100%               9,500

Closing Work in Progress - 40%   1,000

Total                                              10,500

Step 4 Determine the cost per equivalent unit for conversion costs in the mixing department

cost per equivalent unit for conversion costs= total conversion cost/ total Equivalent Units

= $149,000/ 10,500

= $ 14.19

Answer:

The reversing entries are outlined below

Explanation:

The accountant should reverse the entries made for salaries payable and interest receivable accruals.

December 31, 2021 (To document interest receivable)

                                                                        DEBIT               CREDIT

Interest receivable [$115,000*8%*3/12]         2300

Interest revenue                                                                          2300

December 31, 2021 (To document salaries payable)

                                         DEBIT            CREDIT

Salaries expense            7550

Salaries payable                                       7550

January 1, 2022  (To reverse entry from December 31, 2021)

                                             DEBIT           CREDIT

Interest revenue                   2300

Interest receivable                                      2300

January 1, 2022  (To reverse entry from December 31, 2021)

                                              DEBIT              CREDIT

Salaries payable                     7550

Salaries expense                                               7550

Response:

$54,600

Details:

Cash Budget for Q3

                                                July              Aug                  Sep

Income:

Cash Inflows                    $25,000      $22,000          $20,000

Aggregate Income                $25,000      $22,000          $20,000

Outflows:

Inventory Acquisitions       $5,800       $7,000               $6,200

Operating Costs               $3,500       $4,600               $5,300

Total Outflows                  $9,300       $11,600              $11,500

Net Income                       $15,700      $10,400              $8,500

Carryover Balance               $20,000      $35,700            $46,100

Ending Balance                    $35,700      $46,100            $54,600

Thus,

The expected cash balance at the conclusion of September amounts to $54,600