When selecting a volume-based cost driver, the goal is to: a. Choose a period where a the cost driver is at a low level so that overhead costs will be at a low level. b. None of these are goals when selecting a volume-based cost driver. c. Eliminate complexity by using a plantwide overhead rate for all of a firm’s products. d. Choose labor hours for computer-integrated manufacturing processes. e. Choose an input that varies in a pattern that is most similar to the pattern with which overhead costs vary.

Related Questions

• The management of Mecca Copy, a photocopying center on University Avenue, has compiled data to prepare its projected balance sheet for the upcoming year. The data includes the following projected ending balances: - Cash: (amount not provided) - Accounts Receivable: $8,900 - Supplies Inventory: $5,500 - Equipment: $38,000 - Accumulated Depreciation: $15,400 - Accounts Payable: $2,600 - Common Stock: $5,000 - Retained Earnings: (amount not provided) The beginning balance of retained earnings was $25,000, with a projected net income of $21,100 and budgeted dividends of $3,500.
• Fab Technologies uses practical capacity to allocate its overhead costs to products, using machine hours. In 2014, the company’s overhead rate was $300 per hour machine. The total overhead cost was $3,000,000. The total machine hours used to make products for clients equaled 8,000. What was the cost of unused capacity in 2014?
• During 2018, Mayfair Enterprises had the following securities outstanding: 1. 250,000 shares of common stock with an average market price of $25 per share. 2. 9.5% convertible preferred, which had been sold at its par value of $100. The preferred stock is convertible into three shares of common stock and 3,000 preferred shares are currently outstanding. During 2018, Mayfair Enterprises earned net income after income taxes of $3.2 million. Calculate the (a) basic earnings per share and (b) diluted earnings per share for Mayfair Enterprises for 2018.
• Price discrimination:A. by firms selling to final consumers is illegal, but it is usually legal in selling to intermediaries. B. is not covered by Federal laws, but in some states it is illegal. C. is always illegal. D. may be legal if the firm can prove that different prices were set based on different costs. E. None of the above is true
• The total product cost per unit under absorption costing is calculated as follows: - Units produced: 1,000 - Direct materials: $6 per unit - Direct labor: $10 per unit - Fixed overhead: $6,000 total - Variable overhead: $6 per unit - Fixed selling and administrative expenses: $2,000 total - Variable selling and administrative expenses: $2 per unit To determine the total product cost per unit, we need to divide the total fixed costs by the number of units produced and add the variable costs per unit. Fixed costs per unit: - Fixed overhead per unit = $6,000 / 1,000 units = $6 per unit - Fixed selling and administrative per unit = $2,000 / 1,000 units = $2 per unit Total fixed costs per unit = $6 (fixed overhead) + $2 (fixed selling and administrative) = $8 per unit Variable costs per unit: - Direct materials = $6 per unit - Direct labor = $10 per unit - Variable overhead = $6 per unit - Variable selling and administrative = $2 per unit Total variable costs per unit = $6 (direct materials) + $10 (direct labor) + $6 (variable overhead) + $2 (variable selling and administrative) = $24 per unit Total product cost per unit = Total fixed costs per unit + Total variable costs per unit = $8 + $24 = $32 per unit.
• The term crowding-out effect refers to a situation in which a government _______________ results in ______________ interest rates, causing ______________ in private spending on investment and consumer durables.
• A global non-profit organisation (NPO) needs to build a Community for managing disaster relief efforts. The NPO wants a basic Community with Home and Record detail pages. As requirements evolve for each region, the Community will be customised to have regional branding and theme with new pages and components. Which option should the Community Cloud Consultant consider first to meet these requirements? A. Non-Profit Success Pack template B. Build Your Own template C. Salesforce Tabs + Visualforce template D. Help Center template
• An agency coupled with an interest means: Select one: a. either party may terminate the agency at any time. b. the agency may not be able to recover the debt in the event of the principal's death. c. the agency is irrevocable without the consent of the agent. d. each party has the power to terminate without breach of contract if done so within 18 months.
• Munoz Airline Company is considering expanding its territory. The company has the opportunity to purchase one of two different used airplanes. The first airplane is expected to cost $15,660,000; it will enable the company to increase its annual cash inflow by $5,800,000 per year. The plane is expected to have a useful life of five years and no salvage value. The second plane costs $34,400,000; it will enable the company to increase annual cash flow by $8,600,000 per year. This plane has an eight-year useful life and a zero salvage value. Required Determine the payback period for each investment alternative and identify the alternative Munoz should accept if the decision is based on the payback approach. (Round your answers to 1 decimal place.)
• Sacha, a dentist, has significant investment assets. She holds corporate bonds, municipal bonds, stocks and mutual funds. Sacha paid $1,500 to an investment adviser to conduct a portfolio review and to prepare a recommendation for rebalancing her portfolio. Which of the following statements is correct regarding the tax treatment of the $1,500 fee?A) Sacha can include the full fee as an investment-related expense in her miscellaneous itemized deductions.B) Sacha can include the full fee as an investment-related expense in her "for AGI" deductions.C) Part of the $1,500 fee will be disallowed due to the holding of the municipal bonds.D) The $1,500 fee is not deductible.