NewTech Medical Devices is a medical devices wholesaler that commenced business on June 1, 2019. NewTech Medical Devices purchases merchandise for cash and on open account. In June 2019, NewTech Medical Devices engaged in the following purchasing and cash payment activities:
| DATE | TRANSACTIONS | |
| 2019 | ||
| June | 1 | Issued Check 101 to purchase merchandise, $3,800. |
| 3 |
Purchased merchandise for $1,350 from BioCenter Inc., Invoice 606; terms 2/10, n/30. |
|
| 5 |
Purchased merchandise for $5,150, plus a freight charge of $100, from New Concepts Corporation, Invoice 1011, terms 2/10, n/30. |
|
| 9 |
Paid amount due to BioCenter Inc. for purchase of June 3, less discount, Check 102. |
|
| 10 |
Received Credit Memorandum 227 from New Concepts Corporation for damaged merchandise totaling $350 that was returned; the goods were purchased on Invoice 1011, dated June 5. |
|
| 11 |
Purchased merchandise for $1,610 from BioCenter Inc., Invoice 612; terms 2/10, n/30. |
|
| 14 |
Paid amount due to New Concepts Corporation for Invoice 1011 of June 5, less the return of June 10 and less the cash discount, Check 103. |
|
| 15 |
Purchased merchandise with a list price of $8,500 and trade discounts of 20 percent and 15 percent from Park Research, Invoice 1029, terms n/30. |
|
| 20 | Issued Check 104 to purchase merchandise, $2,300. | |
| 25 |
Returned merchandise purchased on June 20 as defective, receiving a cash refund of $210. |
|
| 30 |
Purchased merchandise for $2,500, plus a freight charge of $78, from New Concepts Corporation, Invoice 1080; terms 2/10, n/30. |
|
Required:
Journalize the transactions in a general journal.
Analyze:
What was the amount of trade discounts received on the June 15
purchase from Park Research?
Issued Check 101 to purchase merchandise, $3,800.
Note: Enter debits before credits.
|
Purchased merchandise for $1,350 from BioCenter Inc., Invoice 606; terms 2/10, n/30.
Note: Enter debits before credits.
|
Purchased merchandise for $5,150, plus a freight charge of $100, from New Concepts Corporation, Invoice 1011, terms 2/10, n/30.
Note: Enter debits before credits.
|
Paid amount due to BioCenter Inc. for purchase of June 3, less discount, Check 102.
Note: Enter debits before credits.
|
Received Credit Memorandum 227 from New Concepts Corporation for damaged merchandise totaling $350 that was returned; the goods were purchased on Invoice 1011, dated June 5.
Note: Enter debits before credits.
|
Purchased merchandise for $1,610 from BioCenter Inc., Invoice 612; terms 2/10, n/30.
Note: Enter debits before credits.
|
Paid amount due to New Concepts Corporation for Invoice 1011 of June 5, less the return of June 10 and less the cash discount, Check 103.
Note: Enter debits before credits.
|
Purchased merchandise with a list price of $8,500 and trade discounts of 20 percent and 15 percent from Park Research, Invoice 1029, terms n/30.
Note: Enter debits before credits.
|
Issued Check 104 to purchase merchandise, $2,300.
Note: Enter debits before credits.
|
Returned merchandise purchased on June 20 as defective, receiving a cash refund of $210.
Note: Enter debits before credits.
Purchased merchandise for $2,500, plus a freight charge of $78, from New Concepts Corporation, Invoice 1080; terms 2/10, n/30. Note: Enter debits before credits.
Analyze What was the amount of trade discounts received on the June 15 purchase from Park Research?
|
In: Accounting
Describe wage determination in a labor market in which workers are unorganized and many firms actively compete for the services of labor. Show this situation graphically, using W1 to indicate the equilibrium wage rate and Q1 to show the number of workers hired by the firms as a group. Show the labor supply curve of the individual firm and compare it with that of the total market. Why are there differences? In the diagram representing the firm, identify total revenue, total wage cost, and revenue available for the payment of non labour resources.
In: Economics
Which of the following is true of the EOQ model? Note that the optimal order quantity, Q*, will be called EOQ.
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If the annual sales, in units, increases by 10%, then EOQ will increase by 10%. |
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If the average inventory increases by 10%, then the total carrying costs will increase by 10%. |
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If the average inventory increases by 10% the total ordering costs will increase by 10%. |
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At any order quantity below the EOQ, then total carrying costs increase, but ordering costs decrease. |
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If the fixed per order cost increases by 10%, then EOQ will increase by 10%. |
In: Finance
| The following information is from the finanial records of Company ExCost for the year: | |||||
| Total Manufacturing Costs | $ 2,150,000 | ||||
| Cost of Goods Manufactured | $ 2,075,000 | ||||
| Applied Factory Overhead was | 25% of total manufacturing costs | ||||
| Factory Overhead was applied at a rate of | 80% of direct labor costs | ||||
| Work-in-Process Inventory on January 1 was | 75% of Work-in-Process Inventory on Dec 31 | ||||
| What is the carrying value of Work-in-Process Inventories on December 31: | |||||
| What is the total Direct Material Costs for the Year: | |||||
In: Accounting
A company has two warehouses A and B, and three retail outlets 1, 2 and 3. The warehouse capacities, retail outlet demands, and per-unit shipping costs ($) are shown in the table below. Formulate a linear programming (LP) model of this transportation problem with the objective of minimizing total shipping cost.
|
Retail Outlets Warehouses |
1 |
2 |
3 |
Total Supply |
|
A |
$5 |
$8 |
$3 |
500 |
|
B |
$7 |
$4 |
$6 |
250 |
|
Total Demand |
300 |
400 |
250 |
|
In: Operations Management
All questions below rely on the following assumptions:
p=20-0.25Q
MC=8= Average Cost
And what is the total profit?
And what is the total profit?
And what is the total profit?
In: Economics
Activity Availability, Capacity Used, Unused Capacity
Corazon Manufacturing Company has a purchasing department staffed by five purchasing agents. Each agent is paid $30,000 per year and is able to process 3,000 purchase orders. Last year, 13,350 purchase orders were processed by the five agents.
Required:
1. Calculate the activity rate per purchase order.
$ per purchase order
2. Calculate, in terms of purchase orders, the:
| a. | Total activity availability | purchase orders |
| b. | Unused capacity | purchase orders |
3. Calculate the dollar cost of:
| a. | Total activity availability | $ |
| b. | Unused capacity | $ |
4. Express total activity availability in terms
of activity capacity used and unused capacity. Express total
activity availability in terms of activity capacity used and unused
capacity.
Purchase orders
| Total activity availability | Activity capacity used | Unused capacity | ||
| = | + |
Dollars cost
| Total activity availability | Activity capacity used | Unused capacity | ||
| $ | = | $ | + | $ |
5. What if one of the purchasing agents agreed to work half time for $15,000?
a. How many purchase orders could be processed by four and a half purchasing agents?
purchase orders
b. What would unused capacity be in purchase orders?
purchase orders
In: Accounting
Altira Corporation uses a periodic inventory system. The following information related to its merchandise inventory during the month of August 2018 is available:
| Aug. 1 Inventory on hand - 10,500 units; cost $8.80 each |
| 8 Purchased 30,000 units for $7.50 each |
| 14 Sold 21,000 units for $14.00 each |
| 18 Purchased 16,000 units for $7.00 each |
| 25 Sold 20,000 units for $13.00 each |
| 31 Inventory on hand - 15,500 units |
Required: Determine the inventory balance Altira would report in it's August 31, 2018, balance sheet and the cost of goods sold it would report in its August 2018 income statement using FIFO, LIFO, and the Average Cost method:
| FIFO | COG Available for Sale | COG Sold - Periodic FIFO | Ending Inventory - Periodic FIFO | ||||||
| # of units | Cost per unit | COG Available for Sale | # of units sold | Cost per unit | COG Sold | # of units in ending inventory | Cost per unit | Ending inventory | |
| Beginning Inventory | 10,500 | $8.80 | $92,400 | 10,500 | $8.80 | $92,400 | 0 | $8.80 | 0 |
| Purchases: | |||||||||
| Aug 8 | 30,000 | $7.50 | $225,000 | 30,000 | $7.50 | $225,000 | 0 | $7.50 | 0 |
| Aug 18 | 16,000 | $7.00 | $112,000 | ? | $7.00 | ? | ? | $7.00 | ? |
| Total | 56,500 | $429,400 | ? | ? | ? | ||||
| LIFO | COG Available for Sale | COG Sold - Periodic LIFO | Ending Inventory - Periodic LIFO | ||||||
| # of units | Cost per unit | COG Available for Sale | # of units sold | Cost per unit | COG Sold | # of units in ending inventory | Cost per unit | Ending inventory | |
| Beginning Inventory | 10,500 | $8.80 | $92,400 | 0 | $8.80 | $0 | 10,500 | $8.80 | $92,400 |
| Purchases: | |||||||||
| Aug 8 | 30,000 | $7.50 | $225,000 | ? | $7.50 | ? | ? | $7.50 | ? |
| Aug 18 | 16,000 | $7.00 | $112,000 | 16,000 | $7.00 | $112,000 | 0 | $7.00 | 0 |
| Total | 56,500 | $429,400 | ? | ? | ? | ? | |||
| Average Cost | COG Available for Sale | COG Sold - Average Cost | Ending Inventory - Average Cost | ||||||
| # of units | Cost per unit | COG Available for Sale | # of units sold | Cost per unit | COG Sold | # of units in ending inventory | Cost per unit | Ending inventory | |
| Beginning Inventory | 10,500 | $8.80 | $92,400 | ||||||
| Purchases: | |||||||||
| Aug 8 | 30,000 | $7.50 | $225,000 | ||||||
| Aug 18 | 16,000 | $7.00 | $112,000 | ||||||
| Total | 56,500 | $429,400 | 41,000 | ? | ? | 15,500 | ? | ? | |
In: Accounting
The following table shows age distribution and location of a random sample of 166 buffalo in a national park.
| Age | Lamar District | Nez Perce District | Firehole District | Row Total |
| Calf | 16 | 10 | 15 | 41 |
| Yearling | 10 | 9 | 14 | 33 |
| Adult | 32 | 24 | 36 | 92 |
| Column Total | 58 | 43 | 65 | 166 |
Use a chi-square test to determine if age distribution and location are independent at the 0.05 level of significance.
(a) What is the level of significance?
State the null and alternate hypotheses.
H0: Age distribution and location are
independent.
H1: Age distribution and location are
independent.H0: Age distribution and location
are independent.
H1: Age distribution and location are not
independent. H0: Age
distribution and location are not independent.
H1: Age distribution and location are
independent.H0: Age distribution and location
are not independent.
H1: Age distribution and location are not
independent.
(b) Find the value of the chi-square statistic for the sample.
(Round the expected frequencies to at least three decimal places.
Round the test statistic to three decimal places.)
Are all the expected frequencies greater than 5?
YesNo
What sampling distribution will you use?
binomialStudent's t chi-squareuniformnormal
What are the degrees of freedom?
(c) Find or estimate the P-value of the sample test
statistic. (Round your answer to three decimal places.)
p-value > 0.1000.050 < p-value < 0.100 0.025 < p-value < 0.0500.010 < p-value < 0.0250.005 < p-value < 0.010p-value < 0.005
(d) Based on your answers in parts (a) to (c), will you reject or
fail to reject the null hypothesis of independence?
Since the P-value > ?, we fail to reject the null hypothesis.Since the P-value > ?, we reject the null hypothesis. Since the P-value ? ?, we reject the null hypothesis.Since the P-value ? ?, we fail to reject the null hypothesis.
(e) Interpret your conclusion in the context of the
application.
At the 5% level of significance, there is sufficient evidence to conclude that age distribution and location are not independent.At the 5% level of significance, there is insufficient evidence to conclude that age distribution and location are not independent.
In: Statistics and Probability
The following table shows age distribution and location of a random sample of 166 buffalo in a national park.
| Age | Lamar District | Nez Perce District | Firehole District | Row Total |
| Calf | 14 | 11 | 16 | 41 |
| Yearling | 11 | 10 | 12 | 33 |
| Adult | 34 | 27 | 31 | 92 |
| Column Total | 59 | 48 | 59 | 166 |
Use a chi-square test to determine if age distribution and location are independent at the 0.05 level of significance.
(a) What is the level of significance?
State the null and alternate hypotheses.
H0: Age distribution and location are not
independent.
H1: Age distribution and location are not
independent.H0: Age distribution and location
are independent.
H1: Age distribution and location are
independent. H0: Age
distribution and location are independent.
H1: Age distribution and location are not
independent.H0: Age distribution and location
are not independent.
H1: Age distribution and location are
independent.
(b) Find the value of the chi-square statistic for the sample.
(Round the expected frequencies to at least three decimal places.
Round the test statistic to three decimal places.)
Are all the expected frequencies greater than 5?
YesNo
What sampling distribution will you use?
normaluniform binomialchi-squareStudent's t
What are the degrees of freedom?
(c) Find or estimate the P-value of the sample test
statistic. (Round your answer to three decimal places.)
p-value > 0.1000.050 < p-value < 0.100 0.025 < p-value < 0.0500.010 < p-value < 0.0250.005 < p-value < 0.010p-value < 0.005
(d) Based on your answers in parts (a) to (c), will you reject or
fail to reject the null hypothesis of independence?
Since the P-value > α, we fail to reject the null hypothesis.Since the P-value > α, we reject the null hypothesis. Since the P-value ≤ α, we reject the null hypothesis.Since the P-value ≤ α, we fail to reject the null hypothesis.
(e) Interpret your conclusion in the context of the
application.
At the 5% level of significance, there is sufficient evidence to conclude that age distribution and location are not independent.At the 5% level of significance, there is insufficient evidence to conclude that age distribution and location are not independent.
In: Statistics and Probability