During Heaton Company’s first two years of operations, it reported absorption costing net operating income as follows:
| Year 1 | Year 2 | ||||
| Sales (@ $61 per unit) | $ | 1,037,000 | $ | 1,647,000 | |
| Cost of goods sold (@ $40 per unit) | 680,000 | 1,080,000 | |||
| Gross margin | 357,000 | 567,000 | |||
| Selling and administrative expenses* | 298,000 | 328,000 | |||
| Net operating income | $ | \59,000\ | $ | 239,000 | |
* $3 per unit variable; $247,000 fixed each year.
The company’s $40 unit product cost is computed as follows:
| Direct materials | $ | 10 |
| Direct labor | 11 | |
| Variable manufacturing overhead | 2 | |
| Fixed manufacturing overhead ($374,000 ÷ 22,000 units) | 17 | |
| Absorption costing unit product cost | $ | 40 |
Forty percent of fixed manufacturing overhead consists of wages and salaries; the remainder consists of depreciation charges on production equipment and buildings.
Production and cost data for the first two years of operatons are:
| Year 1 | Year 2 | |
| Units produced | 22,000 | 22,000 |
| Units sold | 17,000 | 27,000 |
Required:
1. Using variable costing, what is the unit product cost for both years?
2. What is the variable costing net operating income in Year 1 and in Year 2?
3. Reconcile the absorption costing and the variable costing net operating income figures for each year.
In: Accounting
In what ways does U.S. culture encourage the development of intimacy during young adulthood? Are there ways in which U.S. culture frustrates this developmental priority?
In: Psychology
Develop a list of your personal ethical towards genetic cloning and moral feelings toward the issue Research and list the professional ethics and morals of this issue Explain how your personal ethics and morals might affect the professional ethics in the medical profession Explain how you can respond to this dilemma in a professional manner Describe your plan to reconcile your personal ethical and moral feelings/attitudes with your obligation to act as a medical professional
In: Nursing
Highland Company produces a lightweight backpack that is popular with college students. Standard variable costs relating to a single backpack are given below:
| Standard
Quantity or Hours |
Standard Price or Rate |
Standard Cost |
|||||
| Direct materials | ? | $ | 3.00 | per yard | $ | ? | |
| Direct labor | ? | ? | ? | ||||
| Variable manufacturing overhead | ? | $ | 2 | per direct labor-hour | ? | ||
| Total standard cost per unit | $ | ? | |||||
Overhead is applied to production on the basis of direct labor-hours. During March, 570 backpacks were manufactured and sold. Selected information relating to the month’s production is given below:
| Materials Used |
Direct Labor | Variable Manufacturing Overhead |
|||||||
| Total standard cost allowed* | $ | 8,550 | $ | 6,384 | $ | 1,596 | |||
| Actual costs incurred | $ | 6,080 | ? | $ | 2,812 | ||||
| Materials price variance | ? | ||||||||
| Materials quantity variance | $ | 570 | U | ||||||
| Labor rate variance | ? | ||||||||
| Labor efficiency variance | ? | ||||||||
| Variable overhead rate variance | ? | ||||||||
| Variable overhead efficiency variance | ? | ||||||||
*For the month's production.
The following additional information is available for March’s production:
| Actual direct labor-hours | 855 | |||
| Difference between standard and actual cost per backpack produced during March | $ | 0.20 | F | |
Required:
Hint: It may be helpful to complete a general model diagram for direct materials, direct labor, and variable manufacturing overhead before attempting to answer any of the requirements.
5. What is the standard direct labor rate per hour?
6. What was the labor rate variance for March? The labor efficiency variance?
7. What was the variable overhead rate variance for March? The variable overhead efficiency variance?
8. Prepare a standard cost card for one backpack.
In: Accounting
Make a statement relating the Refraction of Light, the Index of Refraction, Rays of Light, the Velocity of Light in a Medium, and a Simple Lens. Please be somewhat detailed. Thank you.
In: Physics
For one binomial experiment,
n1 = 75
binomial trials produced
r1 = 30
successes. For a second independent binomial experiment,
n2 = 100
binomial trials produced
r2 = 50
successes. At the 5% level of significance, test the claim that
the probabilities of success for the two binomial experiments
differ. (a) Compute the pooled probability of success for the two
experiments. (Round your answer to three decimal places.)
(b) Check Requirements: What distribution does the sample test
statistic follow? Explain.
The Student's t. The number of trials is sufficiently large. The standard normal. We assume the population distributions are approximately normal. The Student's t. We assume the population distributions are approximately normal. The standard normal. The number of trials is sufficiently large.
(c) State the hypotheses.
H0: p1 = p2; H1: p1 < p2H0: p1 = p2; H1: p1 ≠ p2 H0: p1 < p2; H1: p1 = p2H0: p1 = p2; H1: p1 > p2
(d) Compute p̂1 -
p̂2.
p̂1 - p̂2 =
Compute the corresponding sample distribution value. (Test the
difference p1 − p2. Do not
use rounded values. Round your final answer to two decimal
places.)
(e) Find the P-value of the sample test statistic. (Round
your answer to four decimal places.)
(f) Conclude the test.
At the α = 0.05 level, we fail to reject the null hypothesis and conclude the data are statistically significant. At the α = 0.05 level, we fail to reject the null hypothesis and conclude the data are not statistically significant. At the α = 0.05 level, we reject the null hypothesis and conclude the data are not statistically significant. At the α = 0.05 level, we reject the null hypothesis and conclude the data are statistically significant.
(g) Interpret the results.
Reject the null hypothesis, there is sufficient evidence that the proportion of the probabilities of success for the two binomial experiments differ. Reject the null hypothesis, there is insufficient evidence that the proportion of the probabilities of success for the two binomial experiments differ. Fail to reject the null hypothesis, there is insufficient evidence that the probabilities of success for the two binomial experiments differ. Fail to reject the null hypothesis, there is sufficient evidence that the proportion of the probabilities of success for the two binomial experiments differ.
In: Math
Give a step by step process of veryfying that a
component under a set of loads will not fail.
Soild Mechanics course question
In: Mechanical Engineering
Explain the three branches of the Georgia State Government..
-Explain the qualifications of a Georgia State Senator.
-Explain the qualifications for members of the Georgia State General Assembly.
-Explain the qualifications for the Georgia Governor.
Explain the qualifications for the Georgia Lt. Governor.
Explain the Georgia State Judicial Branch.
-Outline the history of the Georgia State Flag.
In: Psychology
Why is diversity good for an international business what actions can a company take to foster greater diversity?
In: Operations Management
-Kindly define each of the below-listed terms. Further, use each term in a written sentence to demonstrate that you have a firm understanding of the term from a sociological perspective.
1) Theory
2) Inequality
3) Capitalism
4) Stratification
In: Psychology
The ammonia/ammonium buffer system is used to optimize polymerase chain reactions (PCR) used in DNA studies. The equilibrium for this buffer can be written as NH4+(aq)??H+(aq)+NH3(aq) Calculate the pH of a buffer that contains 0.045 M ammonium chloride and 0.095 M ammonia. The Ka of ammonium is 5.6×10?10. Express your answer using two decimal places.
In: Chemistry
Suppose there exist 2 countries, Home and Foreign; 2 goods, X and Y; and 2 factors of production, labor (L) and capital (K). Each country can produce both goods. X is labor-intensive and Y is capital-intensive. Home is labor-abundant and Foreign is capital-abundant. Assume that the standard assumptions of the Heckscher-Ohlin model hold. When answering the following question, please support each of your arguments with detailed analysis and draw the relevant diagrams to support your answer.
Consider a move from autarky to free trade between the two countries in both goods. Identify which group of people (laborers or owners of capital) gain and which lose in Home from the move from autarky to free trade. Discuss clearly how the assumptions of the model lead to this result.
In: Economics
Use induction to prove that 2 + 4 + 6 + ... + 2n = n2 + n for n ≥ 1.
Prove this theorem as it is given, i.e., don’t first simplify it algebraically to some other formula that you may recognize before starting the induction proof.
I'd appreciate if you could label the steps you take, Thank you!
In: Computer Science
In: Operations Management
In this assignment you’ll solve the basic economic order quantity (EOQ) model in Excel using two methods: (A) a trial-and-error approach to find a very good but approximate answer, and (B) the EOQ formula to find the “exact” answer. Set up your spreadsheet similar to that shown below.
The situation: Roxie is responsible for purchasing the paper used in all copiers and laser printers at Budco. After looking at her records, Roxie has found that demand for paper averages 600 boxes per month. The price of a box of paper is $20 (regardless of the number ordered). Placing and handling an order costs $66. Annual unit holding costs per box are 25% of the unit price. Last year, Roxie ordered paper once every two months, but she wants to know if another ordering policy would be cheaper.
|
A |
B |
C |
D |
E |
F |
|
|
1 |
Annual Demand |
boxes/year |
B. EOQ Formula |
|||
|
2 |
Unit Price |
per box |
Optimal |
Annual |
||
|
3 |
Ordering Cost |
per order |
Order |
Order+Holding |
||
|
4 |
Annual Holding Cost |
per box/year |
Quantity Q* |
Costs at Q* |
||
|
5 |
||||||
|
6 |
|
|||||
|
7 |
Annual |
Annual |
Annual |
|||
|
8 |
Order |
Ordering |
Holding |
Ordering+Holding |
||
|
9 |
Quantity (Q) |
Costs |
Costs |
Costs |
||
|
10 |
25 |
|||||
|
11 |
50 |
|||||
|
12 |
75 |
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: |
: |
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Make a scatter (XY) chart of the Annual Ordering + Holding Costs (y-axis) vs. Order Quantity (x-axis).
A1. Approximately what order quantity minimizes total annual ordering + holding costs? ____ boxes
B1. What order quantity Q* minimizes total annual order + holding costs? _____ boxes
B2. What Excel cell formula is required for Annual Ordering + Holding Costs in cell F5? _____
B3. At Q*, what are the total annual ordering + holding costs? _____
B4. How many times per year will Roxie place an order of size Q*? _____
B5. Last year, Roxie ordered every 2 months. How much were her total annual ordering+holding costs?
_____________ (Hint: First ask yourself how many boxes would be ordered each time if you ordered exactly once every 2 months?)
B6. What is the percentage reduction in annual ordering + holding costs achieved by Roxie in following the optimalinventory policy instead of last year’s ordering policy? _______
In: Operations Management