The correct option for The firm enjoys economies of scope.
economies of scope exist if C(Q1, 0) + C(0, Q2) > C (Q1, Q2) (10 + 5Q1) + (10 + 5Q2) > 10 + 5Q1 + 5Q2 - 0.2Q12Q2.
Economies of scope is an economic theory stating that the average total cost of production decrease as a result of increasing the number of different goods produced. For example, a gas station that sells gasoline can sell soda, milk, baked goods, etc.
Economies of scope is a financial precept wherein a commercial enterprise's unit value to supply a product will decline because the form of its products will increase. In different words, the extra one of kind-but-comparable goods you produce, the lower the total cost to provide each one may be.
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A firm can produce two products with the cost function C(Q1, Q2) = 10 + 5Q1 + 5Q2 - 0.2Q1Q2. The firm enjoys:
A. economies of scale in the two products separately.
B. economies of scope.
C. cost complementarity.
D. economies of scale in the two products separately and cost complementarity.
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Answer:
Applied overhead = $380,250
Under applied by = $71,750
Explanation:
Firstly, we know that the formula for overhead rate is ;
Overhead rate = Cost of manufacturing overhead/Cost driver
It also means that to get the predetermined overhead rate, the expected cost will be distributed along a cost driver. Hence;
Labor hours = $396,500/61,000 = $6.5
The above rate would then be applied to the actual labor hour for the period
= $58,500 × $6.5 = $380,250
It therefore means that the applied overhead for the period is $380,250
We will now compare the applied overhead with actual overhead
= $380,250 - $452,000
= ($71,750)
It means that the overhead was under applied as the actual overhead cost was higher.
Answer:
c. brand insistence
Explanation:
Since in the given situation it is mentioned that the 83% of the loyal customers could not find the bonbon products at local stores so they will ordered online instead of purchasing the substitute goods as in the brand insistence refer the stage of the brand loyalty where the purchase would accept no alternatives and they will search for the particular brand only
Answer: The correct answer is "3. platform project".
Explanation: This project is a platform project for Coolers Inc. because the change of voice sensors instead of remote controls or manual operations represents a change of platform for their products in which they have improved their technology.
<span>When it comes to saving money, what is a good rule of thumb?
</span>B.Put aside money for savings each month
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