AA 01-2 Comparative Analysis LO C2 Both Apple and Google (Alphabet) invest in research and development. Access each company's 2017 income statement from Appendix A. Required: 1. Compute the ratio of research and development expense to net sales for Apple. 2. Compute the ratio of research and development expense to net sales for Google. 3. Which company spend more (as a percentage of revenue) on research and development? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute the ratio of research and development expense to net sales for Apple. (Round your percentage answer to 2 decimal place. % For Apple Required 2 > Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute the ratio of research and development expense to net sales for Google. (Round your percentage answer to 2 decimal place.) For Google % Required information Problem 01-1A Cost computation, classification, and analysis LO C2, C3 [The following information applies to the questions displayed below.] Listed here are the total costs associated with the production of 1,000 drum sets manufactured by TrueBeat. The drum sets sell for $518 each. Costs 1. Plastic for casing-$19,000 2. Wages of assembly workers-$87,000 3. Property taxes on factory-$7,000 4. Accounting staff salaries-$34,000 5. Drum stands (1,000 stands purchased)-$36,000 6. Rent cost of equipment for sales staff-$36,000 7. Upper management salaries-$185,000 8. Annual flat fee for factory maintenance service-$13,000 9. Sales commissions-$21 per unit 10. Machinery depreciation, straight-line-$46,000 Problem 01-1A Part 1 Required: 1. Classify each cost and its amount as (a) either variable or fixed and (b) either product or period. (The first cost is completed as an example.) Cost by Behavior Variable Fixed $ 19,000 Cost by Function Product Period 19,000 Costs 1. Plastic for casing 2. Wages of assembly workers 3. Property taxes on factory 4. Accounting staff salaries 5. Drum stands 6. Rent cost of equipment for sales staff 7. Upper management salarios 8. Annual flat fee for factory maintenance service 9. Sales commissions 10. Machinery depreciation, straight-line Problem 01-1A Part 2 2. Compute the manufacturing cost per drum set. TrueBeat Calculation of Manufacturing Cost per Drum Set Item Total cost Per unit cost Variable production costs at + 0 0 ences Total variable production costs Fixed production costs 0 0 Total fixed production costs Total production cost $ 0 $ 0
