User Account

All Pages

How much each employee earn in salary and profit sharing

Assignment Help Managerial Accounting
Reference no: EM132516937

Problem 1: Bigelow Company employs 8 staff members who earn an average salary of $42,000 per year each. As part of a profit-sharing plan, each employee receives their monthly salary plus a percentage of the monthly profit. The June payroll expense budget has a total payroll of $34,500 and a budgeted profit of $65,000. Profit for July is budgeted to be $82,000, while purchases of inventory for July are budgeted at $295,000. The purchase of $10,000 in office equipment and $5,000 in furniture are expected to occur in August. How much will each employee earn in salary and profit sharing, in July?

Option A. Each employee will earn $12,961 in salary and bonus in July.

Option B. Each employee will earn $11,700 in salary and bonus in July.

Option C. Each employee will earn $4,525 in salary and bonus in July.

Option D. Each employee will earn $3,592 in salary and bonus in July.

Option E. Each employee will earn $4,313 in salary and bonus in July.

Reference no: EM132516937

Questions Cloud

Rejecting an organ that has been transplanted : Roche is a multinational pharmaceutical company. They developed a drug called Cell-Cept, which prevents a patient's immune system from rejecting
What will the company net income be for the month : Sound Beginnings, Using the budgeted income statement format from the textbook, what will the company's Net Income be for the month?
How much cash can warehouse corporation expect to collect : December 31st are collected during January. How much cash can Warehouse Corporation expect to collect during the month of March?
Effective communication and delegation : Business Skills for Leadership - Developing your professional identity and Concepts of self and self-management.
How much each employee earn in salary and profit sharing : $10,000 in office equipment and $5,000 in furniture are expected to occur in August. How much will each employee earn in salary and profit sharing, in July?
Describe the hyperledger design principles : Choose one of the Hyperledger design principles described in chapter 2(see attachment) that you found to be most interesting.
Explain plato theory of ideas : Explain Plato's theory of ideas, and how can he distinguish between knowledge (episteme) and opinion (doxa)?
What amount of men suits should be purchased in march : The inventory for men's suits at the end of April is expected to be 60 suits. What dollar amount of men's suits should be purchased in March?
Comment on whether healthcare workers : Using the theory of utilitarianism, comment on whether healthcare workers should or should not be mandated to receive the flu shot.

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Calculate the cost per equivalent unit for the period

Smooth as Silk Ltd is a yoghurt manufacturer which uses process costing. Calculate the cost per equivalent unit for the period

  Calculate various material cost variances

Calculate various material cost variances. For production of one unit of a product, standard quantity and standard price of raw material

  What is the break-even point in units

If Piper Manufacturing manufactures one unique set of stack pipes, and the sell price is $121,000, the variable costs per unit are $62,000

  How many planes does doghayneed to sell

How many planes does Doghayneed to sell in order to break-even? what strategies Doghaymight use to ensure profitable operations with increase in variable costs?

  Journalize the adjusting entry to record the accrued fees

At the end of the current year, $12,300 of fees have been earned but have not been billed to clients - Journalize the adjusting entry to record the accrued fees.

  Estimated costs and cost per unit needed

or what other business decisions may it be impossible to calculate the actual cost? What are some of the dangers of basing decisions on estimated rather than actual costs? How might these dangers be minimized?

  Preparing a budgeted income statement

What is budgeted income statement for Oliver Company for the coming year? Round all income statement amounts to the nearest dollar.

  Calculate the flexed budget and the key variances

Calculate the flexed budget and the key variances between budgeted and actual results and reconcile the original budget and present the relationship between the budgeted and the actual profit for the month November

  Compare primary boycott and secondary boycott

Compare primary boycott and secondary boycott. Do you believe a primary boycott or a secondary boycott is more effective? Defend your answer.

  Prepare a davidson company common shares

Prepare a Davidson Company common shares issued and 400,000 shares of treasury stock. The stock's par value is $2 per share and its current market price

  Compute the plantwide predetermined overhead rate

Compute the plantwide predetermined overhead rate. If Landen uses a markup percentage of 200% of its total manufacturing cost, what selling price

  What is this company overhead rate

The company pays $26 per hour of direct labor and $2 per pound of direct materials. What is this company's overhead rate?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd