The original Seven Essays, in a cool, new outfit ...
Call 412-567-OXEN [6936] Fax 412-567-6936 Email - [email protected]

Posts

What are the payroll taxes paid by employees? What are the payroll taxes paid by the employer? What types of reports are used to document to the government the payroll taxes paid by the employee and employer? When is the unearned revenue recognized in the financial statements?

What applications do you think functions (Linear, Non linear, slopes) have for the business world?

What applications do you think functions (Linear, Non linear , slopes) have for the business world? Can functions be used to predict next year s profits, or how much your company will grow?

Why is it important to understand linear equations in business? In particular can you provide examples where the relationship between items that can be affected by management and items that management wished to achieve or attain may be linear . Can you think of items for which the relationship in NOT linear?

The annual salary of a maintenance mechanic is $25,000 and is considered a fixed cost. Two plausible cost drivers have been suggested: units produced and number of setups.

Data had been collected for the past 12 months and a plot made for the cost driver units of production. The maintenance cost figures collected include estimates for labor, supplies, and energy. You recently attended an activity based costing seminar where you learned that some types of activities are performed each time a batch of goods is processed rather than each time a unit is produced. Based on this concept, you have gathered data on the number of steps performed over the past 12 months. The plots of monthly maintenance costs vs. the two potential cost drivers follow.

1. Find monthly fixed maintenance cost and the variable maintenance cost per driver unit using the visual fit method based on each potential cost driver. Explain how you treated the April data.

2. Find monthly fixed maintenance cost of the variable maintenance cost per driver unit using the high low method based on each potential cost driver.

3.Which cost driver best meets the criteria for choosing cost functions? Explain.

Mainline Distributing Company collected cash of $92,000 from customers and $6,000 interest on notes receivable. Cash payments included $24,000 to employees, $13,000 to suppliers, $6,000 as dividends to stockholders, and $5,000 as a loan to another company. How much was Mainline s net cash provided by operating activities?