Under the basic MACRS procedures, the depreciable value of an asset is its full cost, including outlays for installation
Indicate whether the statement is true or false
TRUE
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What is customer satisfaction? Explain how it leads to customer retention.
What will be an ideal response?
A company had net sales of $230,000 for Year 1 and $288,000 for Year 2. The company's average total assets for Year 1 were $150,000 and $180,000 for Year 2. Calculate the total asset turnover for each year and comment on the company's efficiency in the use of its assets.
What will be an ideal response?
The Robinson-Patman Act was the first antitrust law enacted in the United States
Indicate whether the statement is true or false
Comans Corporation has two production departments, Milling and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Milling Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: MillingCustomizingMachine-hours 18,000 13,000Direct labor-hours 4,000 7,000Total fixed manufacturing overhead cost$113,400$64,400Variable manufacturing overhead per machine-hour$1.60 Variable manufacturing overhead per direct labor-hour $3.90 During the current month the company started and finished Job A319. The following data were
recorded for this job: Job A319:MillingCustomizingMachine-hours 60 10Direct labor-hours 20 60Direct materials$655$305Direct labor cost$400$1,200The amount of overhead applied in the Customizing Department to Job A319 is closest to: A. $234.00 B. $91,700.00 C. $552.00 D. $786.00