Answer:
a quota
Explanation:
The quota is the type of the restriction made in the trade where the physical limit is set on the quantity of the products or goods that could be imported in a country under a prescribed period of time. It benefits the producers of goods
Therefore as per the given situation, since the Japan government sets a limit for the rice amount that can be imported from the United states so this represents the quota
Therefore the first option is correct
he Boxwood Company sells blankets for $37 each. The following was taken from the inventory records during May. The company had no beginning inventory on May 1. Date Blankets Units Cost May 3 Purchase 10 $15 10 Sale 4 17 Purchase 15 $17 20 Sale 5 23 Sale 3 30 Purchase 11 $24 Assuming that the company uses the perpetual inventory system, determine the cost of goods sold for the sale of May 20 using the LIFO inventory cost method.
Answer:
The correct answer is $85
Explanation:
According to the given scenario, the calculation of the cost of the goods sold using the LIFO method is as follows:
= Sale units as on May 20 × price per unit
= 5 units × $17
= $85
Basically we multiplied the sales units with the price per unit so that the cost of goods sold could come
Hence, the cost of the goods sold using the LIFO method is $85
Suppose that Ava withdraws $300 from her savings account at Second Bank. The reserve requirement facing Second Bank is 10%. Assume the bank does not wish to hold any excess reserves of new deposits. Use this information to complete the balance sheet below to show how Second Bank's assets and liabilities change when Ava withdraws the $300 from the bank. Instructions: Enter your answer as a whole number. If you are entering a negative number include a minus sign. A Simple Bank Balance Sheet Assets Liabilities Change in Reserves: $ Change in Deposits: $ Change in Loans: $
Answer:
As a result of withdrawal of $300 from the saving account. The decrease in the required reserve = 300 * 10% = $30. So, Change in reserve = -$30.
Decrease in loans (since there is no excess reserve) = $300 - $30 = $270
So, change in loans = -$270
Decrease in deposits = $300 (Because it is withdrawn). So, change in deposit = -$300
Balance Sheet
Assets Liabilities
Change in required reserve = -$30 | Change in deposit = -$300
Change in loan = -$270
Total Change -$300 -$300
According to Modigliani and Miller capital structure theory: Group of answer choices the cost of equity capital increases as a firm take on more debt financing. the value of a levered firm decreases relative to the value of an unlevered firm as corporate tax rates increase. the value of the firm is independent of capital structure in a world with perfect capital markets and corporate taxes. firms should employ as close to 100% debt financing as possible in a world with perfect capital markets and corporate taxes only. firms should employ 100% equity financing in a world with perfect capital markets and no taxes
Answer:
the value of the firm is independent of capital structure in a world with perfect capital markets and corporate taxes.
Explanation:
The Modigliani-Miller theorem refers to a theory where the capital structure does not have any impact on it. It is totally independent
So as per the given options, third option is correct as the capital structure i.e. combination of the equity and the debt should have no impact under this theory
Therefore the third option is correct
An employee receives an hourly rate of $15, with time and a half for all hours worked in excess of 40 during the week. Payroll data for the current week are as follows: hours worked, 46; federal income tax withheld, $120; cumulative earnings for the year prior to this week, $5,500; Social security tax rate, 6%; and Medicare tax rate, 1.5%; state unemployment compensation tax, 3.4% on the first $7,000; federal unemployment compensation tax, 0.8% on the first $7,000.
Required:
Prepare the journal entries to record the salaries expense and the employer payroll tax expense. Refer to the Chart of Accounts for exact wording of account titles. Round your answers to two decimal places.
CHART OF ACCOUNTS
General Ledger
ASSETS
110 Cash
111 Accounts Receivable
112 Interest Receivable
113 Notes Receivable
115 Merchandise Inventory
116 Supplies
118 Prepaid Insurance
120 Land
123 Building
124 Accumulated Depreciation-Building
125 Office Equipment
126 Accumulated Depreciation-Office Equipment
LIABILITIES
210 Accounts Payable
213 Interest Payable
214 Notes Payable
221 Salaries Payable
222 Social Security Taxes Payable
223 Medicare Taxes Payable
224 Federal Withholding Taxes Payable
225 State Withholding Taxes Payable
226 Federal Unemployment Comp. Taxes Payable
227 State Unemployment Comp. Taxes Payable
228 State Disability Insurance
231 Medical Insurance Payable
232 Retirement Savings Deductions Payable
233 Union Dues Payable
234 Vacation Pay Payable
241 Product Warranty Payable
EQUITY
310 Common Stock
311 Retained Earnings
312 Dividends
313 Income Summary
Answer:
Explanation:
Regular earnings = 40*$15 = $600
Overtime earnings = (46-40)*15*1.5 = $135
Gross earnings = Regular earnings + Overtime earnings = $600 + $135 = $735
Date Description Debit Credit
Dec. 31 Salary Expense $735
Federal Withholding Taxes Payable $120
Social Security Taxes Payable (735*6%) $44.10
Medicare Taxes Payable (735*1.5%) $11.03
Salaries Payable $559.87
Dec 31 Payroll Tax Expense $86
Social Security Taxes Payable $44.10
Medicare Taxes Payable $11.03
State Unemployment Comp. $24.99
-Taxes Payable (735*3.4%)
Federal Unemployment Comp. $5.88
Taxes Payable (735*0.8%)
3. Swifty Co. provides for doubtful accounts based on 3% of gross accounts receivable, The following data are available for 2020. Credit sales during 2020 $3,640,100 Bad debt expense 57,270 Allowance for doubtful accounts 1/1/20 16,110 Collection of accounts written off in prior years (customer credit was reestablished) 7,620 Customer accounts written off as uncollectible during 2020 31,280 What is the balance in Allowance for Doubtful Accounts at December 31, 2020
Answer: 49720
Explanation:
The balance in Allowance for Doubtful Accounts at December 31, 2020 would be calculated as:
Debit. Credit
Balance 01.01.2016. 16,110
Bad debt expense 57,270
Collection of accounts 7,620
Account written off. 31,280
Ending balance 49720
Therefore, the balance in allowance for doubtful accounts at December 31, 2020 would be:
= 16110 + 57270 + 7620 - 31280 = 49720
describe how commerce relate with industry and direct services
Last year, Aleshia identified $4,400 as a nonbusiness bad debt. In that tax year before considering the tax implications of the nonbusiness bad debt, Aleshia had $8,800 of taxable income, of which $3,080 consisted of short-term capital gains. This year, Aleshia collected $3,696 of the amount she had previously identified as a bad debt. Determine Aleshia's tax treatment of the $3,696 received in the current tax year.
Answer:
The amount of $3,696 would be involved in her gross wage
Explanation:
The computation of the tax treatment is as follows
Since in the question it is mentioned that the amount of $3,696 amount was collected that identified as a bad debt so the amount of $3,696 would be involved in her gross wage
Therefore the same is to be considered
And, the rest of the information i.e. given are to be ignored
ABC Company was organized on January 1, 2021. The firm was authorized to issue 150,000 shares of $8 par value common stock. During 2021, ABC Company had the following transactions relating to stockholders' equity: Issued 45,000 shares of common stock at $10 per share. Issued 30,000 shares of common stock at $11 per share. Reported a net income of $150,000. Paid dividends of $75,000. What is total paid-in capital at the end of 2021
Answer: $780,000
Explanation:
The Paid-In Capital refers to the amount of Equity in the company which can also be said to be the amount of money raised from share sales;
= (45,000 * 10) + (30,000 * 11)
= $780,000
What is the most likely explanation for a +20.0% return on a stock with a beta of 1.0 in a month when the market returned +10.0%?
a. The stock is aggressive.
b. The market is undervalued.
c. Favorable firm-specific news was reported.
d. The beta is really less than 1.0.
Answer:
c. Favorable firm-specific news was reported.
Explanation:
Some specific event must have affected the stock's price. E.g. Blackberry and Amazon announced a few days that they would work together and that immediately made Blackberry's stock increase 50% in one single day. These types of events are isolated and do not affect the market as a whole, e.g. Amazon's stock was not affected.
ummary data for Mobic Inc. Job 1227, which was completed in 2021, are presented below: Bid price $ 450,000 Contract cost: 2020 (180,000 ) 2021 (195,000 ) Gross profit: 75,000 Estimated cost to complete: 12/31/2020 $ 200,000 12/31/2021 0 Assuming Mobic recognizes revenue upon project completion, what would gross profit have been in 2020 and 2021 (rounded to the nearest thousand)
Answer:
2020 = $0; 2021 = $75,000
Explanation:
Under completed contract method, all revenues and expenses are recognized upon project completion. Since Mobic Inc. recognizes revenue upon project completion, gross profit in 2020 will be $0 as there are no revenues and expenses recognized in 2020.
Since the contact is completed in 2021, the entire revenues and expenses will be recognized in 2021
Contract price = $450,000
Contract costs = $180,000 + $195,000 = $375,000
Gross profit = $450,000 - $375,000
Gross profit = $75,000
So, the entire gross profit of $75,000 will be recognized in 2021.
Create your own WBS is for a project by using the mind-mapping approach. Break at least two level two items down to level four. Try to use mind view software from www.matchword.com, if possible. You can also create a mind map by using similar mind mapping software or a tool like powerpoint.
PLEASE HELPPPP
Calla Company produces skateboards that sell for $56 per unit. The company currently has the capacity to produce 95,000 skateboards per year, but is selling 81,800 skateboards per year. Annual costs for 81,800 skateboards follow. Direct materials $ 981,600 Direct labor 613,500 Overhead 954,000 Selling expenses 558,000 Administrative expenses 477,000 Total costs and expenses $ 3,584,100 A new retail store has offered to buy 13,200 of its skateboards for $51 per unit. The store is in a different market from Calla's regular customers and would not affect regular sales. A study of its costs in anticipation of this additional business reveals the following: 1. Direct materials and direct labor are 100% variable. 2. 50 percent of overhead is fixed at any production level from 81,800 units to 95,000 units; the remaining 50% of annual overhead costs are variable with respect to volume. 3. Selling expenses are 70% variable with respect to number of units sold, and the other 30% of selling expenses are fixed. 4. There will be an additional $1.60 per unit selling expense for this order. 5. Administrative expenses would increase by a $890 fixed amount.Required: Prepare a three-column comparative income statement that reports the following: a. Annual income without the special order. b. Annual income from the special order. c. Combined annual income from normal business and the new business.(Do not round your intermediate calculation round your cost and expenses values to nearest whole decimal places.)
Answer:
Calla Company
Three-column comparative Income Statement:
Normal Special order Total
Sales Revenue $4,580,800 $673,200 $5,254,000
Cost of sales:
Direct materials $ 981,600 $158,400 $1,140,000
Direct labor 613,500 99,000 712,500
Overhead 954,000 76,973 1,030,973
Selling expenses 558,000 84,151 642,151
Administrative expenses 477,000 890 477,890
Total costs and expenses $ 3,584,100 $419,414 $4,003,514
Net income $ 996,700 $ 253,786 $1,250,486
Explanation:
a) Data and Calculations:
Annual production capacity = 95,000 units
Actual annual production and sales = 81,800 units
Special order (units) = 13,200
Selling price (normal) = $56 per unit
Special order selling price = $51 per unit
Direct materials $ 981,600
Direct labor 613,500
Overhead 954,000
Selling expenses 558,000
Administrative expenses 477,000
Total costs and expenses $ 3,584,100
Three-column comparative Income Statement:
Normal Special order Total
Sales volume 81,800 13,200 95,000
Selling price $56 $51
Sales Revenue $4,580,800 $673,200 $5,254,000
Cost of sales:
Direct materials $ 981,600 $158,400 $1,140,000
Direct labor 613,500 99,000 712,500
Overhead 954,000 76,973 1,030,973
Selling expenses 558,000 84,151 642,151
Administrative expenses 477,000 890 477,890
Total costs and expenses $ 3,584,100 $419,414 $4,003,514
Net income $ 996,700 $ 253,786 $1,250,486
1. Direct materials cost per unit = $981,600/81,800 = $12
2. Direct labor cost per unit = $613,500/81,800 = $7.50
3. Variable Overhead cost = $954,000/2 = $477,000
Variable overhead cost per unit = $477,000/81,800 = $5.83129
4. Variable selling expenses = 70% of $558,000 = $390,600
Variable selling expenses per unit = $390,600/81,800 = $4.77506
Additional selling expense per unit = $6.37506 ($4.77506 + $1.60)
Selling expense for special order = 84,151($6.37506 * 13,200)
5. Administrative expenses increased by $890
Before going on a business trip, Gina leaves the key to her apartment with Harry. She checks her suitcase at the airport, and boards the plane. A bailment is created when Gina Group of answer choices delivers the key to Harry. checks her suitcase. all of the choices. boards the plane.
Answer:
A bailment is created when Gina:
delivers the key to Harry.
Explanation:
Bailment refers to the temporary handing over of the physical possession of a property by the bailor to another person, called the bailee. As an agreement, it establishes a contractual relationship between the bailor and the bailee over the bailed property without the transfer of ownership. It may be for the mutual benefit of both parties or for the exclusive benefit of either party.
A physical count of supplies on hand at the end of May for Masters, Inc. indicated $1,253 of supplies on hand. The general ledger balance before any adjustment is $2,130. What is the adjusting entry for office supplies that should be recorded on May 31
Answer and Explanation:
The journal entry is as follows;
Supplies expense Dr ($2,130 - $1,253) $877
To Supplies $877
(being the supplies expense is recorded)
Here the supplies expense is debited as it increased the expenses while on the other hand the supplies is credited as it decreased the assets. Also both the accounts contains normal debit balance
Carla Vista Company purchased equipment that cost $3980000 on January 1, 2020. The entire cost was recorded as an expense. The equipment had a 9-year life and a $122000 residual value. Carla Vista uses the straight-line method to account for depreciation expense. The error was discovered on December 10, 2022. Carla Vista is subject to a 40% tax rate. Before the correction was made and before the books were closed on December 31, 2022, retained earnings was understated by
Answer:
$1,800,402
Explanation:
Cost = $3,980,000
Lifespan = 9 yrs
Residual Value = $122,000
Depreciation per year = (Cost - Residual Value)/life
Depreciation per year = (3,980,000 - 122,000)/9
Depreciation per year = 3,858,000 / 9
Depreciation per year = $428,667
So, Tax saved = 40% of $428,667 = $171,467
Depreciation per year not considered = 3 yrs * $428,667 = (+)$1,286,001
Tax saved due to Depreciation = 3 yrs * $171,467 = (+)$514,401
So, retained earnings was understated by $1,286,001 + $514,401 = $1,800,402
On January 1, 2010, Broker Corp. issued $3,000,000 par value 12%, 10 year bonds which pay interest each December 31. If the market rate of interest was 14%, what was the issue price of the bonds
Answer:
$2,686,898
Explanation:
The computation of the issued price of the bond is as follows;
= Maturity value present value + interest payment maturity value
= $3,000,000 × 02697 + (($300,000 × 0.12) × 5.2161)
= $2,686,898
The 0.297 represent the PVF at 14% for 10 period
5.6502 represent the Present value of an annyity for 10 period at 12%
Felicia put $175 into a CD that pays 4% interest, compounded semiannually.
According to the rule of 72, approximately how long will it take for her money
to double?
A. 8 years
B. 16 years
C. 12 years
D. 18 years
Answer:
D. 18 years
Explanation:
Felicia has $175; doubling it will make it $350 ($175 x 2)
The interest per year is 4%
The applicable formula is A= P ( 1 + r)^n
where A = $350
P=$175
r=0.04
n= time ???
$350=$175 (1 +0.04)^n
350= 175(1.04)^n
350/175=1.04^n
2=1.04^n
log 2= (log 1.04)n
n= log2/ log1.04
n= 0.30102/0.017033
n= 17.70 year
n=18 years
In terms of dividend payment procedures, the payment date refers to the date: Group of answer choices upon which the stock pays an extra dividend. on which the firm actually sends the dividend to investors. on which the right to the current dividend no longer accompanies the stock. on which a firm's board of directors issues a statement declaring the dividend.
Answer:
In terms of dividend payment procedures, the payment date refers to the date:
on which the firm actually sends the dividend to investors.
Explanation:
There are three dates with regard to the payment of dividends. The first date is the declaration date when the board of directors of the company decides to pay the dividends to stockholders. The second date is the date of record when the records are checked to establish the stockholders entitled to receive dividends. The last is the payment date when actual payment of the dividend is made to the investors through the issue of dividend warrants or certificates.
Those advisers who immediately surround the president and advise the Chief Executive on how to act and what to say are referred to as the:______
a. Managerial Unit
b. Executive Core
c. Oval Office Team
d. White House Staff
Answer: d. White House Staff
Explanation:
The White House staff comprises of some of the closest advisors to the President including the Chief of Staff, the deputy chiefs of staff and the Counselor to the President.
These people are integral to the administration of the President because by working in the White House, they are immediately around the Chief Executive and have the opportunity to advice the President on the varied issues which they specialize in.
The advisors are termed as the person who provides suggestions for the right and wrong of the person. The chief executive is termed as the person who implies the plans to the development of the economy and brings the result from the plans.
The correct answer is d. White House Staff
The White House staff is comprised of the closest advisors to the President and also includes the Chief of Staff, the deputy chiefs of staff, and the Counselor to the President.
These people are important to the President's administration because, by working at the Governor's Mansion, individuals get instantly exposed towards the President and have the chance to advise him on the many areas in which they concentrate.
To know more about the advisors and the chief executive, refer to the above link:
https://brainly.com/question/3252403
If the loan-to-value were 90% for a $200,000 home, the required down payment would be $20,000.
a. True
b. False
Answer:
In order to calculate a loan to value, you take the appraised value and then take a % to calculate the total loan to value.For example if you appraise a home at 100,000 and your down payment is 10% or 10000 then your loan to value is 90%Hencd by that logic if you add 100000 more to the calculation then you can prove that 20% of 200000 is 20,000 hence the loan to value would be 180,000/200,000 which gives you a 90% valueThe statement is True Please rate positively and give brainlistLevine Inc., which produces a single product, has prepared the following standard cost sheet for one unit of the product. Direct materials (8 pounds at $1.80 per pound) $14.40 Direct labor (6 hours at $14.00 per hour) $84.00 During the month of April, the company manufactures 230 units and incurs the following actual costs. Direct materials purchased and used (1,500 pounds) $2,850 Direct labor (1,410 hours) $19,458 Compute the total, price, and quantity variances for materials and labor.
Answer:
Total materials variance = (Actual quantity * Actual price) - (Standard quantity * Standard price)
= 2,850 - (230 * 14.4)
= 462 (Favourable)
Materials price variance = (Standard price - Actual price) * Actual quantity
= [1.8 - (2,850/1,500)] * 1,500
= 150 Unfavourable
Materials quantity variance = (Standard quantity - Actual quantity) * Standard price
= [(230 * 8) - 1,500] * 1.8
= 612 Favourable
Total labour variance = (Actual hours * Actual rate) - (Standard hours * Standard rate)
= 19,458 - (230 * 84)
= 138 Unfavourable
Labour price variance = (Standard rate - Actual rate) * Actual hours
= [14 - (19,458/1,410)] * 1,410
= 282 Favourable
Labour quantity variance = (Standard hours - Actual hours) * Standard rate
= [(230 * 6) - 1,410] * 14
= 420 Unfavourable
You have $15,000 to invest and would like to create a portfolio with an expected return of 10.1 percent. You can invest in Stock K with an expected return of 8.8 percent and Stock L with an expected return of 12.4 percent. How much will you invest in Stock K
Answer:
$9,583.33
Explanation:
The computation of the amount invested in the stock K is shown below
Let us assume the amount invested in stock K be Y
So according to this, following formula should be used
The Expected return of portfolio × Amount invested = Expected return of K × Amount invested in K + Expected return of L × Amount invested in L
0.101 × $ 15,000 = 0.088 × Y + 0.124 × ( $ 15,000 - Y )
$1,515 = 0.088Y + $ 1,860 - 0.124Y
0.036Y = $ 345
Y = $ 345 ÷ 0.036
= $9,583.33
Based on the following information from Schrute Company's balance sheet, calculate the current ratio. Current assets $ 141,000 Investments 60,800 Plant assets 430,000 Current liabilities 57,000 Long-term liabilities 108,000 A. Schrute, Capital 466,800
Answer:
2.47
Explanation:
Current ratio measure Liquidity of the firm and is calculated as ;
Current ratio = Current Assets ÷ Current Liabilities
Where,
Current Assets = $ 141,000
Current Liabilities = $57,000
Then,
Current ratio = $ 141,000 ÷ $57,000
= 2.47
Jackson's Home Cookin just paid its annual dividend of $0.65 a share. The stock has a market price of $13.00 and a beta of 1.12. The return on US Treasury bills is 2.5% and the market risk premium is 6.8%. What is the firm's cost of equity
Answer:
10%
Explanation:
The firm cost of equity is the return that is required by providers of Common Stock. This can be calculated in two ways. The first option is to use the Dividend Growth Model and the other option is to use the Capital Asset Pricing Model (CAPM).
The information given in the question is not sufficient to use the Dividend Growth Model since we have not been told the growth percentage in dividends.
We will thus use the Capital Asset Pricing Model (CAPM) as follows :
Cost of Equity = Return of Risk free Securities + Beta × Market Risk Premium
Therefore,
Cost of Equity = 2.5% + 1.12 × 6.8%
= 10%
Present Value of an Annuity of 1 Periods8%9% 10.926 0.917 0.909 21.783 1.759 1.736 32.577 2.531 2.487 A company has a minimum required rate of return of 9%. It is considering investing in a project that costs $195000 and is expected to generate cash inflows of $78000 at the end of each year for three years. The net present value of this project is $39000. $19742. $2418. $197418.
Answer:
d. $197,418
Explanation:
Profitability index for this project = Present value of cash inflows / Present value of cash inflows
Profitability index for this project = 2.531*$78000 / $195000
Profitability index for this project = $197,418 / $195,000
Profitability index for this project = 1.0124
So, the net present value of this project is $197,418
Use the information in the adjusted trial balance presented below to calculate current assets for Jones Company: Account Title Debit Credit Cash 47,000 Accounts receivable 24,000 Prepaid insurance 9,800 Equipment 180,000 Accumulated Depreciation - Equipment 90,000 Land 103,000 Accounts payable 25,000 Interest payable 4,400 Unearned revenue 7,400 Long-term notes payable 54,000 J. Jones, Capital 183,000 Totals 363,800 363,800
Answer:
the current asset for Jones company is $80,800
Explanation:
The computation of the current asset is shown below
Current Assets = Cash + Accounts Receivable+ Prepaid Insurance
= $47,000 + $24,000 + $9,800
= $80,800
hence, the current asset for Jones company is $80,800
We simply applied the above formula so that the correct value could come
And, the same is to be considered
Plz helpppp
Jenny expects to produce and sell 7,000 units at $15 each. Each unit will cost her $9 to produce and fixed costs will be \$60 per annum. What is the break-even point in units? Box
Answer:
10 units
Explanation:
Break even point = Fixed cost/ contribution margin per unit
For Jenny,
Fixed costs = $60
contribution margin per unit= selling price - variable cost
Selling price =$15
Variable cost =$9
Contribution margin per unit
= $15 - $9
=$6
Breakeven points = $60/$6
=10 units
please help me answer this...
The median price of existing homes: ___________
a. has increased over the past 30 years, thereby acting as a hedge against inflation.
b. has risen less than the Consumer Price Index.
c. always increases in value.
d. tends to be countercyclical, thereby acting as a hedge against the business cycle.
e. remains constant over time.
Answer:
C
Explanation:
The median price of existing homes always increases in value. This is so because as the year goes on, there is an ever increasing need for shelter. Because of the fact that people procreate and more people are living, there is the certain need, or say, demand for shelter. And as a result of this, there doesn't seem to be a decline in the demand, and most likely wouldn't be anytime soon either.
The Bouffard Department Stores, Inc., is a national retail chain with its headquarters located in New York City. The following cost data pertains to the operation for the month of May Corporate legal office salaries $68,000 Shoe Department cost of sales-Brentwood Store $29,000 Corporate headquarters building lease $86,000 Store manager's salary-Brentwood Store $12,000 Shoe Department sales commissions-Brentwood Store $5,000 Store utilities-Brentwood Store $10,000 Shoe Department manager's salary-Brentwood Store $4,000 Central warehouse lease cost $7,000 Janitorial costs-Brentwood Store $10,000 The Brentwood Store is located in the Midwest region. It is just one of many stores owned and operated by the company. The Shoe Department is one of many departments at the Brentwood Store. The central warehouse serves the Brentwood Store as well as other of the company's stores in the Midwest region . What is the total amount of the costs listed above that are direct costs of the Brentwood Shoe Department
Answer:
$38,000
Explanation:
What is the total amount of the costs listed above that are direct costs of the Brentwood Shoe Department?
Direct costs of the Shoe Department = Shoe Department cost of sales + Shoe Department sales commissions + Shoe Department manager's salary
Direct costs of the Shoe Department = $29,000 + $5,000 + $4,000
Direct costs of the Shoe Department = $38,000
So therefore, the total amount of the costs that are direct costs of the Brentwood Shoe Department is $38,000
