Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. mu co. date: 31 august 2023details:raw material i

Mu Co. Date: 31 August 2023Details:Raw material inventory (aluminium):Cost: £50,000Replacement cost: £48,000Finished goods inventory:ProductPsiOmegaDirect costs£75,000£65,000Proportion of...

60.1K

Verified Solution

Question

Accounting

Mu Co.
 Date: 31 August 2023

Details:

  1. Raw material inventory (aluminium):
    • Cost: £50,000
    • Replacement cost: £48,000
  2. Finished goods inventory:

Product

Psi

Omega

Direct costs

£75,000

£65,000

Proportion of fixed overhead

£20,000

£18,000

Proportion of selling costs

£5,000

£4,000

Net realizable value

£110,000

£85,000

  1. Equipment:
     Acquired on 1 September 2020 for £450,000, depreciated over 10 years using the straight-line method.
  2. Buildings:
     Acquired 21 years ago for £1,500,000, land value estimated at £300,000. Buildings are depreciated over 55 years.
  3. Research and development:
    • Research costs: £55,000
    • Development costs: £65,000, benefiting over 3 years.

Required:
 Calculate the depreciation expenses and inventory valuations for Mu Co. as of 31 August 2023.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

What neurotransmitters are involved in CTE? How are these regulated and is there a likelihood of...

Biology
Q

For each of the following statements, indicate whether it is true of all, some, or none...

Biology
Q

A 50 year old male is seen in his physician’s office for a routine checkup. His...

Biology
Q

Develop a simple MIS (Management Information System) that consists of a simple database (a text file)....

Mechanical Engineering
Q

If DNA replicated dispersively which of these most closely approximates what you would see after...

Biology
Q

Part A The amplitude of a standing sound wave in a long pipe closed at...

Physics
Q

Solve for w in the equa 2 log4 1 256 W

Calculus
Q

Given the equation of the sphere x 2 y 3 z 1 2 What are...

Algebra
Q

Wriston Company has $220,000 to invest. The...

Accounting
Q

- fair value accounting The causes of the global financial crisis (GFC) that swept the...

Accounting
Q

Redwood Corporation is considering two alternative investment proposals with the following data: Proposal X $800.000...

Accounting
Q

The result of recording a capital expenditure as a revenue expenditure is an: a. Overstatement...

Accounting