Please note that this question consists of three parts. You…
Please note that this question consists of three parts. You may use MINITAB to find a final answer. However you MUST show all the mathematical work to get to the final answer. Just giving the answer without adequate work/explanation may result in zero for the question. In a college town, there is a central location where people can drop-off miscellaneous plastics that were not collected in regular weekly pick-ups. The authorities want to study the true proportion of households using the drop-off location for plastic recycling. They have taken a random sample of 120 households and asked them if they use drop-off facility. Of the sampled households, 45 said they use the drop-off bins. Find a 95% confidence interval for the true proportion of households using the drop-off location for plastic recycling. Interpret the above calculated interval in the context of the problem. The authorities believe about 35% of the households in the town are using the drop-off location for plastic recycling. Based on the interval in part 1, are the authorities correct? Explain using the interval.
Read DetailsA corporation reported the following data for the month of M…
A corporation reported the following data for the month of March: Inventories: Beginning Ending Raw materials $31,000 $32,000 Additional information: Raw materials purchases $70,000 Indirect materials included in manufacturing overhead cost incurred $9,700 The direct materials cost for March is:
Read DetailsA company which has only one product, has provided the follo…
A company which has only one product, has provided the following data concerning its most recent month of operations:Selling price$ 450Units in beginning inventory0Units produced2,740Units sold2,580Units in ending inventory160Variable costs per unit: Direct materials$ 290Direct labor$ 64Variable manufacturing overhead$ 45Variable selling and administrative expense$ 21Fixed costs: Fixed manufacturing overhead$383,600Fixed selling and administrative expense$401,200The company produces the same number of units every month, although the sales in units vary from month to month. The company’s variable costs per unit and total fixed costs have been constant from month to month.Required: Answer the following 4 questions. Label 4 rows in the answer area a., b., c., d. and answer the 4 questions. Bold your final answer but show all your work leading to the final answer.a. What is the unit product cost for the month under variable costing?b. What is the total contribution margin for the month using variable costing?c. What is the unit product cost for the month under absorption costing?d. If net operating income under variable costing is $ 130,000, what is the net operating income under absorption costing? Use the reconciliation method.
Read DetailsData for two major business segments of company, North and S…
Data for two major business segments of company, North and South, appear below: Sales revenues, North $ 759,000 Variable expenses, North $ 440,500 Traceable fixed expenses, North $ 90,900 Sales revenues, South $ 586,800 Variable expenses, South $ 334,900 Traceable fixed expenses, South $ 76,000 In addition, common fixed expenses totaled $206,000 and were allocated as follows: $107,000 to the North business segment and $99,000 to the South business segment.A properly constructed segmented income statement in a contribution format would show that the segment margin of the North business segment is:
Read DetailsWhich of the following statements are true in an activity-ba…
Which of the following statements are true in an activity-based costing system? I. Departmental overhead rates will correctly assign overhead costs in situations where a company has a range of products that differ in volume, lot size, or complexity of production. II. The cost of unused capacity is assigned to products in a traditional cost system but not in an activity-based system. III. Organization-sustaining activities are not assigned to products in an activity-based system.
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