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Question 1: Ren and Sam are asked by the ABC to handle the marketing of a benefit basketball game. Being avid fans, they readily accepted the offer and formed a joint operation. To achieve an equitable distribution of earnings, they agreed that the partner who finances the purchase tickets shall be entitled to a 20% commission, the partner who makes ticket sales shall be entitled to a 25% commission , and any remainder was to be divided equally. After the game was over, the following information was obtained: Ren purchased tickets worth $26,125; Sam advanced $4,125 for expenses, and ticket sales made by Ren and Sam, respectively, were $22,000 and $16,500. How much was Sams share in the net income (loss) of the Joint Operation?
Option a. 3,300
Option b. 4,125
Option c. 825
Option d. (7,425)
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The company applies overhead to jobs using a predetermined overhead rate based on machine-hours. At the beginning of the year, the company estimated that it would work 22,000 machine-hours and incur $264,000 in manufacturing overhead cost. The follow..
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