will someone please help me with these questions Im so loat
vonaniArchangel Corporation prepared the following variance report.
Fill in the blanks.
ARCHANGEL CORPORATION |
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Variance Report-Purchasing Department |
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for Week Ended January 9, 2013 |
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Type of |
Quantity |
Actual |
Standard |
Price |
|
|
Materials |
Purchased |
Price |
Price |
Variance |
|
Explanation |
Rogue11 |
lbs |
$5.20 |
$5.00 |
$5,200 |
|
Price increase |
Storm17 |
7,000 oz. |
|
3.25 |
1,050 |
U |
Rush order |
Beast27 |
22,000 units |
0.45 |
|
440 |
F |
Bought larger quantity |
|
|
|
|
|
|
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Innova Company produces golf discs which it normally sells to retailers for $7 each. The cost of manufacturing 20,000 golf discs is:
|
Materials |
$10,000 |
|
Labor |
30,000 |
|
Variable overhead |
20,000 |
|
Fixed overhead |
40,000 |
|
Total |
$100,000 |
Innova also incurs 5% sales commission ($0.35) on each disc sold.
Mudd Corporation offers Innova $4.75 per disc for 5,000 discs. Mudd would sell the discs under its own brand name in foreign markets not yet served by Innova. If Innova accepts the offer, its fixed overhead will increase from $50,000 to $55,000 due to the purchase of a new imprinting machine. No sales commission will result from the special order.
Complete the incremental analysis for the special order. (If an amount is blank enter 0, all boxes must be filled to be correct. If the impact on net income is a decrease use either a negative sign in front of the number, e.g. -45 or parenthesis, e.g. (45). Enter all other numbers as positive and subtract as necessary.)
|
Reject Order |
Accept Order |
Net Income Increase (Decrease) |
Revenues |
$ |
$ |
$ |
Materials |
|
|
|
Labor |
|
|
|
Variable overhead |
|
|
|
Fixed Overhead |
|
|
|
Sales commission |
|
|
|
Net income |
$ |
$ |
$ |
Should Innova accept the special order?
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Carleton Service Center just purchased an automobile hoist for $15,000.The hoist has a 5-year life and an estimated salvage value of $1,080. Installation costs were $2,900, and freight charges were $820. Carleton uses straight-line depreciation. The new hoist will be used to replace mufflers and tires on automobiles. Carleton estimates that the new hoist will enable his mechanics to replace four extra mufflers per week. Each muffler sells for $65 installed. The cost of a muffler is $35, and the labor cost to install a muffler is $10.
Compute the payback period for the new hoist. (Round to 1 decimal place, e.g. 5.1.)
years
Compute the annual rate of return for the new hoist. (Round to 1 decimal place, e.g. 5.1.)
%
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Omega Company is considering three capital expenditure projects. Relevant data for the projects are as follows.
|
Project |
Investment |
Annual Income |
Life of Project |
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|
22A |
$240,000 |
|
$13,300 |
|
6 years |
|
|
23A |
270,000 |
|
21,000 |
|
9 years |
|
|
24A |
288,000 |
|
20,000 |
|
8 years |
|
Annual income is constant over the life of the project. Each project is expected to have zero salvage value at the end of the project. Omega Company uses the straight-line method of depreciation.
Determine the internal rate of return for each project. (Round the internal rate of return factor to three decimals, e.g. 2.225 and your answer to 0 decimal places, e.g. 2,510.)
Project 22A % Project 23A % Project 24A %
If Omega Company's minimum required rate of return is 11%, which projects are acceptable?
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