Meargia Plastics is evaluating its plastic bottles division. The accounting manager has come up with the following data for the year: contribution margin of $570,000, controllable fixed of $228,000, and noncontrollable fixed costs of $57,000. Required: 1. What is the controllable margin? Controllable Margin 2. What is the total contribution by profit center (CPC)?
Q: Use this information about Department G to answer the question that follows. Department G had 3,600…
A: Step 1: Calculate the Equivalent UnitsUnder the FIFO method, we account only for the additional work…
Q: Market Quantity Supplied for Firm W, Firm X, Firm Y, and Firm Z Table: Firm W's Firm X's Firm Y's…
A: Detailed explanation:Given:Market Quantity supplied(Qs) by different firms and PricePrice($) Firm…
Q: A wire with length 4.0 cm stretches along the x axis and carries a 3.0 A current to the right (+)…
A:
Q: Ali Amanda, a resdent person for tax purposes, earned an employment income of 15,000 cedis, Business…
A: To calculate Ali Amanda's total assessable income for the year 2021, we need to consider her various…
Q: In its May 31, 2017, annual report, Beyonce Ltd. (Beyonce) reported that it had an inventory of…
A: The objective of the question is to calculate the amount of cash that Beyonce Ltd. paid to its…
Q: am. 155.
A: The objective of the question is to calculate the adjusted cash balance per books. This involves…
Q: Betty contributed to AlphaBeta Corporation a building with an adjusted basis to Betty of $50,000 and…
A: Step 1 : Adjusted net fair market value Adjusted net fair market value=50%(Adjusted basis−Morgage)…
Q: A6
A: The objective of this question is to calculate the internal rate of return (IRR) for the new machine…
Q: Problem 5-9A (Algo) Required: Using the percentage method for manual payroll with W-4s from 2020 or…
A: Certainly, here are the calculations:1. S. Calder: - Annual Salary: $12,550 - Annual Federal…
Q: A check should be written __________ in either ink, pencil, or computer…
A: The question is asking about the correct procedure for writing a check in the context of accounting…
Q: On June 13, the board of directors of Siewert Incorporated declared a 5% stock dividend on its 40…
A: The objective of this question is to prepare a journal entry that summarizes the declaration and…
Q: Unemployment taxes used to provide funds for previously employed people who are temporarily…
A: The statement is asking whether unemployment taxes are used to provide funds for people who were…
Q: In April, 2022, Norman Industries sold available-for-sale debt securities that cost $560,000 and…
A: The objective of the question is to identify the correct accounting entry to correct an error made…
Q: Provide Req a,b,c
A: Hello student! When Percentage of Accounts Receivable is used intead of Aging of A/R, it also…
Q: Provide all 7 journal entries
A: Step 1:Required journal entries for the given transactions are presented hereunder:Trans.DateGeneral…
Q: Please help with the requirements. Thank you
A: The objective of the question is to journalize the adjusting entries for Laferty Legal Services at…
Q: The deposit made by an employer for federal payroll taxes includes FICA…
A: The question is asking about the components of the federal payroll taxes that an employer is…
Q: On January 1, 2024, Clor-Proell Enterprises bought 20% of the outstanding common stock of Chen…
A: To determine the pretax amounts related to the investment that Clor-Proell would report in its…
Q: John Cush is a producer of knitted cricket jumpers. His most popular selling line is calledthe…
A: a) Statement illustrating the disparities in profit and loss:Budgeted Revenue =2,000 jumpers…
Q: Please do not give solution in image format and give solution in step by step and give calculations…
A: Step 1: Record Sanebel's assets and liabilities at fair valuesAccording to the balance sheet…
Q: Complete the following table by filling in missing amounts. Note: Use 360 days a year. $ Principal…
A: Refer to the attached images for the detailed solutions:
Q: Diamond, Inc.'s most recent contribution margin income statement shows the following: Sales @ $10…
A: Step 1: Compute the contribution margin ratio Contribution margin 40,000 divide: Sales…
Q: Langley Corporation replaced an HVAC system in one of its warehouses in July, 2021, at a cost of…
A: The objective of the question is to correct the accounting error made in 2021 and to record the…
Q: Journalize the following transactions for Coronado, Inc. (a) Incurred direct labor costs of $23,680…
A: Here is how you can fill out the journal entry forms:For transaction (a):(a)Account Titles and…
Q: Target profit Woodsman Company sells a product for $170 per unit. The variable cost is $60 per unit,…
A: Given: Sales per unit = $170Variable Costs per unit = $60Contribution Margin per Unit = Sales Price…
Q: On the basis of the following stockholders' equity accounts, indicate the items, exclusive of net…
A: Stockholders' Equity Account 1:1. January 1: - Balance, 60,000 shares: $300,0002. April 2: -…
Q: On January 1, 2024, Hampton's Construction, Inc. decided to change from the completed-contract…
A: The objective of the question is to determine the correct journal entry to record the change in…
Q: Calculate the present value of $2,000 for each of the following: interest rate is 12%Show work the…
A: Step 1:a)We have to calculate the present value of the cash flow.Calculations are shown below: We…
Q: Imperial Jewelers manufactures and sells a gold bracelet for $408.00. The company’s accounting…
A: The objective of the question is to determine the financial advantage or disadvantage of accepting a…
Q: A company reports inventory using the lower cost and net realizable value. Below is information…
A: a. Calculating the ending inventory under the lower of cost and net realizable value (NRV): Unit A:…
Q: An employee who files as Married Filing Jointly, is paid biweekly, works one job, and completed the…
A: Calculating Adjusted Wages for No Federal Income Tax WithholdingScenario:An employee files as…
Q: If costumes are dropped what change will occur to the profit
A: Approach to solving the question: Step 1: Assess the justifications for discontinuing customer…
Q: Columbia Corporation, a U.S.-based company, acquired a 100% interest in Swoboda Company in Lodz,…
A: Columbia Corporation - Swoboda Company Translation (U·S· GAAP)This response outlines the approach to…
Q: Spartans Inc. has the following information for its two divisions: North and South…
A: The objective of the question is to calculate the Return on Investment (ROI) and Residual Income…
Q: Which of the following statements does not describe a characteristic of management accounting? A)…
A: Define management accounting information:The information compiled in management accounting reports…
Q: Kevin is an employee in the finance department at Easy Trader Co. and is performing some financial…
A: "The most precise justification for assessing economic value added (EVA) is presented in option C,…
Q: A company has $350,000 in accounts receivable, $100,000 in current inventory, and $125,000 in…
A: Working capital = Current assets - Current liabilities Step 1: Compute the current assets Accounts…
Q: At the beginning of the year, Myrna Corporation (a calendar year taxpayer) has E & P of $32,000. The…
A: Dividend incomeThe distribution treated as a dividend is $32, 000, which is the available E &…
Q: 4. Compute gross profit earned by the company for each of the four costing methods. Note: Round your…
A: Detailed Gross Profit Calculation for Each Costing MethodFIFO:• Sales: 1420 units x $85 = $120,700•…
Q: Provide all 3 graphs
A: May 2. The establishment of the petty cash fund is recorded as debit to Petty Cash Fund and credit…
Q: Cook Security Systems has a $37,500 line of credit, which charges an annual percentage rate of prime…
A: The objective of the question is to calculate the new balance of Cook Security Systems' line of…
Q: Please give the answer of the T-chart, I need in T-chart form like the picture shows
A: 1. **Feb. 1**: Purchased 600 shares of Muninger common stock for $30,000. - **Debit**: Stock…
Q: In completing the adjusting entries for 2021 in early 2022, the internal auditor discovered that a…
A: The objective of the question is to determine the correct journal entry to account for the…
Q: On the basis of the details of the following fixed asset account, indicate the items to be reported…
A: The objective of the question is to identify the items to be reported on the statement of cash flows…
Q: Procedures within the business that are designed to protect cash and other assets and to keep…
A: The question is asking to identify the term that refers to the procedures within a business that are…
Q: Journalize
A: To journalize Zentric Corporation's stock issuance transactions, we follow these steps:January 22:…
Q: You are a management accountant for a frozen foods shipping company, Navia Inc. Your company…
A: The objective of the question is to identify if there is a specific bottleneck process in the…
Q: Joint products A and B emerge from common processing that costs $80,000 and yields 5,000 units of…
A: Step 1: Define Cost Allocation:The costs incurred by a firm can be broadly categorized into direct…
Q: Suppose you sell a fixed asset for $111,000 when its book value is $131,000. If your company's…
A: Given information: Book Value = $131,000 Sale value = $111,000 Tax rate = 40% or 0.40 Required:…
Q: Using the periodic inventory system, calculate the ending inventory and the Cost of Goods Sold under…
A: Step 1: The task in the image relates to the periodic inventory system and asks you to determine the…
Meargia Plastics is evaluating its plastic bottles division. The
Required:
1. What is the controllable margin?
Controllable Margin
2. What is the total contribution by profit center (CPC)?
Unlock instant AI solutions
Tap the button
to generate a solution
Click the button to generate
a solution
- a) Calculate the contribution margin per unit.b) Calculate the number of units Beauty Supplies Company must sell each year to break even.c) Calculate the number of units Beauty Supplies Company must sell to yield a profit of $160,000.d) Managers may use Sensitivity analysis in their accounting system.i) What is sensitivity analysis? ii) How is Sensitivity analysis useful to managers?Meargia Plastics is evaluating its plastic bottles division. The accounting manager has come upwith the following data for the year: contribution margin of $500,000, controllable fixed costs of$200,000, and noncontrollable fixed costs of $50,000.What is the controllable margin and total contribution by profit center (CPC)?a. Controllable margin: $200,000; CPC: $50,000b. Controllable margin: $50,000; CPC: $500,000c. Controllable margin: $250,000; CPC: 300,000d. Controllable margin: $300,000; CPC: $250,000Refer to the information for Jasper Company on the previous page.Required:1. Prepare an income statement for Jasper for last year. Calculate the percentage of sales for eachline item on the income statement. (Note: Round percentages to the nearest tenth of a percent.)2. CONCEPTUAL CONNECTION Briefly explain how a manager could use the incomestatement created for Requirement 1 to better control costs.
- Howard Cooper, the president of Vernon Computer Services, needs your help. He wonders about the potential effects on the firm's net income if he changes the service rate that the firm charges its customers. The following basic data pertain to fiscal Year 3. Standard rate and variable costs Service rate per hour Labor cost Overhead cost Selling, general, and administrative cost Expected fixed costs Facility maintenance Selling, general, and administrative Required A Required: a. Prepare the pro forma income statement that would appear in the master budget if the firm expects to provide 42,000 hours of services in Year 3. b. A marketing consultant suggests to Mr. Cooper that the service rate may affect the number of service hours that the firm can achieve. According to the consultant's analysis, if Vernon charges customers $83 per hour, the firm can achieve 52,000 hours of services. Prepare a flexible budget using the consultant's assumption. c. The same consultant also suggests that if…Armer Company is accumulating data to use in preparing its annual profit plan for the coming year. The cost behavior pattern of the maintenance costs must be determined. The accounting staff has suggested the use of linear regression to derive an equation for maintenance hours and costs. Data regarding the maintenance hours and costs for the last year and the results of the regression analysis follow: Maintenance Machine Month Cost Hours $ 4,200 Jan. 480 Feb. 3,000 320 Mar. 3,600 400 Apr. 2,820 300 May 4,350 500 June 2,960 310 July 3,030 320 Aug. 4,470 520 Sept. 4,260 490 Oct. 4,050 470 Nov. 3,300 350 Dec. 3,160 340 Sum $43, 200 4,800 $ 3,600 $ $ $ 684.65 Average 400 Average cost per hour a (intercept) b (coefficient) 9.00 7.2884 Standard error of the estimate 34.469 R-squared 0.99724 t-value for b 60.105 At 400 hours of activity, Armer management can be approximately two-thirds confident that the maintenance costs will be in the range ofExercise 10-32 (Algo) Activity-Based Costing of Customers (LO 10-3, 4) Northwestern Bank (NB) offers only checking accounts. Customers can write checks and use a network of automated teller machines. NB earns revenue by investing the money deposited; currently, it averages 4.1 percent annually on its investments of those deposits. To compete with larger banks, NB pays depositors 0.3 percent on all deposits. A recent study classified the bank's annual operating costs into four activities. Activity Using ATM Visiting branch Processing transactions Managing functions Total overhead Cost Driver Number of uses Number of visits Number of transactions Total deposits Cost $ 1,936,800 1,900,800 8,521,920 7,321,600 $ 19,681,120 Driver Volume 3,228,000 uses 396,000 visits 129,120,000 transactions $ 615,035,000 in deposits Data on two representative customers follow: Emily Jacob ATM uses 40 130 Branch visits 5 Number of transactions Average deposit 200 45 520 $ 10,000 $ 10,000
- Variable Costs, Contribution Margin, Contribution Margin Ratio Super-Tees Company plans to sell 20,000 T-shirts at $19 each in the coming year. Product costs include: Direct materials per T-shirt $6.65 $1.33 Direct labor per T-shirt Variable overhead per T-shirt $0.57 Total fixed factory overhead $43,000 Variable selling expense is the redemption of a coupon, which averages $0.95 per T-shirt; fixed selling and administrative expenses total $13,000.Calculate the Return on Investment from the following responsibility report data using total revenue as the base: Responsibility report data Account Actual Revenues Clothing revenue $473,158 Clothing accessories revenue 18,757 Expenses Associates wages $41,704 Managers wages 22,906 Cost of clothing sold 254,631 Cost of accessories sold 5,969 Equipment/fixture repairs 960 Utilities 1,539 Round to two decimal places. Be sure to enter the answer as a percentage but do not include the % sign.Consider the following information for a given business. Sale revenue =GHS40,000 VC per unit =GHS20 Activity level =1,000 to break even Required: 1. Determine the TFC 2. Express the contribution as a percentage of sale. 3. The company plans to sale 1,500 unit in the next period. What will be the percentage margin of safety (MoS) 4. What margin should the business employ for planning purposes? 5. What total profit should the business expect in order to achieve it's planned sales?
- Analyzing profitability analysis, service company Burlington Internet Services is an Internet service provider for commercial and residential Customers. The company provided the following data for its two types of customers for the month of August: For each type of customer, determine both the contribution margin per customer and the contribution margin ratio. Round to twos decimal places. Which type of service and more profitable?Financial information for BDS Enterprises for the year-ended December 31, 20xx, was gathered from an accounting intern, who has asked for your guidance on how to prepare an income statement format that will be distributed to management. Subtotals and totals are included in the information, but you will need to calculate the values. A. In the correct format, prepare the income statement using the following information: B. Calculate the profit margin, return on investment, and residual income. Assume an investment base of $100,000 and 6% cost of capital. C. Prepare a short response to accompany the income statement that explains why uncontrollable costs are included in the income statement.APPLY THE CONCEPTS: Target income (sales revenue) Another useful method for figuring out the type of performance your company will need to reach a target income is by using sales revenue. Rather than using the number of units, this method uses total sales revenue. In companies for which the total set of goods produced and sold is more varied, this would be the preferred method, as opposed to a business in which only one product is sold. Assume a company has pricing and cost information as follows: Price and Cost Information Amount Selling Price per Unit $30 Variable Cost per Unit $15 Total Fixed Cost $15,000 For the upcoming period, the company wishes to generate operating income of $40,000. Given the cost and pricing structure for the company's product, how much sales revenue must it generate to attain its target income? Step 1: Calculate the contribution margin ratio: The contribution margin ratio is the contribution margin in proportion to the selling price on a per-unit basis.…