Given the following:

a. Calculate the cost of ending inventory using the weighted-average method (ending inventory shows 61 units). (Round the "average unit cost" and final answer to the nearest cent.)

Cost of ending inventory            $   

b. Calculate the cost of goods sold using the weighted-average method. (Round your intermediate calculations and final answer to the nearest cent.)

Cost of goods sold            $

XM Radio was depreciating its satellites over 20 years (total cost of $20 million), for each of five satellites, useful life is only seven years due to the intensity of the sun rays. With reference to the scenario, answer the following questions:

What is the accounting implication in the situation and why?

1. A firm has the following relationship between output (Q) and total cost (TC):

1. Say the firm is a perfect competitor. If the market price for its product is $ 60, at what output level will this firm produce at (as a profit maximizer)?

2. At the output level in (a), are firms in this industry making a profit or loss? Will firms enter or exit the market?

3. Say this firm is a monopoly. If the firm maximizes profit where marginal revenue equals $ 30, at what output level will the firm be producing at (as a profit maximizer)?

Universal Shampoo is a price taker firm. Its costs are:   

a. Calculate Universal’s profit-maximizing output and economic profit if the market price is

(i)                  $14 a shampoo.

(ii)                $12 a shampoo

(iii)              $10 a shampoo

b. What is Universal’s shutdown point and its economic profit if it shuts down temporarily?

c. At what price will firms with costs identical to Universal’s exit the Shampoo market in the long run?

d. At what price will firms with costs identical to Universal’s enter the Shampoo market in the long run?

A capital budgeting replacement project has total installed cost of $100,000 which includes both an additional working capital investment of $15,000 and an after-tax salvage from the old asset of $3,000. The new project is expected to generate annual incremental cash flows after tax of $15,000 for the next 10 years with an expected terminal value at the end of the project of $18,000. The cost of capital of the project is 13% and the firm’s marginal tax rate is 40 percent. Calculate the net present value of the project.

• -$186,696.24
• -$8,884.93
• $20,032.01
• -$13,303.76
• $86,696.24

On January 1, 2014, Courier Inc. purchased new equipment that had a total cost (including shipping and installation) of $83,000. The equipment is expected to have a useful life of four years or produce a total of 123,000 units. At the end of its life, the equipment is expected to have a residual value of $4,300. The equipment is expected to produce 22,140 units in 2014; 31,980 units in 2015; 31,980 units in 2016; and 36,900 units in 2017. Courier Inc.'s fiscal year ends on December 31.

In the table below, fill in the missing depreciation expense and accumulated depreciation amounts using the straight-line, double-declining-balance, and units-of-production methods. Do not round your intermediate calculation. When required, round your answers to the nearest dollar.

A representative firm with total cost given by TC=20+20q+5q² operates in a competitive industry where the short-run market demand and supply curves are given by Q_D=1400-40P and Q_S=-400+20P. Please answer questions

1. Calculate the equilibrium quantity of output in the market

2. Calculate the quantity of output of the individual firm.

3. How many firms are operating in the market in the short run?

1. 14 marks Contract price $ 3,140,000 Total estimated construction cost at contract inception $ 2,305,000 2020 2021 2022 Total costs incurred to date $ 691,500 $ 1,540,500 $ 2,350,000 Estimated costs to complete $ 1,613,500 $ 829,500 $ - Customer billings to date $ 625,000 $ 2,175,000 $ 3,140,000 Collections to date $ 600,000 $ 1,790,000 $ 2,899,000 Required: 1. Calculate the gross profit that should be recognized for 2020, 2021, and 2022, using the percentage of completion method. 2. Prepare the journal entries required for the 2021 year assuming that the percentage of completion method is used. 3. Determine the gross profit to be recognized for 2020, 2021, and 2022, using the completed contract method. On February 1, 2020, Kenora Contractors agreed to construct a building. The project was scheduled to be finished in 2022. Information relating to the costs and billings for this contract is as follows:

Alden Co.’s monthly unit sales and total cost data for its operating activities of the past year follow. Management wants to use these data to predict future fixed and variable costs.

1. Estimate both the variable costs per unit and the total monthly fixed costs using the high-low method. (Do not round intermediate calculations.)

Predict future total costs when sales volume is (a) 371,000 units and (b) 411,000 units.

Westside Greenhouse sells different greenhouses for purchase. Inventory is as below.

Of the 11 houses still on hand, 9 were purchased in November, 1 was purchased in August and 1 was purchased in June. We sold the greenhouses for $799.