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3 years ago

When a firm is at its minimum efficient scale of operation, it produces the

1 answer:

5 0

The relation between cost per unit of output and the level of output is captured in the average total cost curve. 
When a firm is at its minimum efficient scale of operation, it produces the minimum rate of output at which long-run average cost is minimized. With economies of scale, costs may fall over some ranges of output and rise over other.Correct answer: B

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Swifty Corporation manufactures widgets. Bowden Company has approached Swifty with a proposal to sell the company widgets at a p

sveta [45]

Answer:D.$6480 Incremental cost

Explanation:

The cost of producing 100,00 units of wigdets are direct material plus direct labour and the overhead cost that will be eliminated if the widget is no longer produce by Swiftly which amounts to $17280.

This amount will be added because it's the amount of overhead directly attributable to the production of wigdets.

Additions of these cost leave the cost of manufacturing at $82,080.

Comparing this with the proposed sales price of $88560 means Swiftly will incur additional cost of $6480

4 0

4 years ago

Applying activity-based costing LO P1, P3, A1, A2, C3 [The following information applies to the questions displayed below.] Craf

Ad libitum [116K]

Answer:

Craft Pro Machining

Activity Rate= Activity Cos/ Cost Driver

Production Activities Cost Drivers Activity Rate

Grinding $ 320,000 13,000 machine hours 24.615per machine hour

Polishing $ 135,000 13,000 machine hours 10.38 per ,machine hour

Product modification 600,000 1,500 engineering hours 400 per eng. hour

Providing power $ 255,000 17,000 direct labor hours 15 per DLH

System calibration 500,000 400 batches 1250 per batch

Working:

Job 3175 Job 4286

Number of units 200 units 2,500 units

Machine hours 550 MH 5,500 MH

Engineering hours 26 eng.hours 32 eng.hours

Batches 30 batches 90 batches

Direct labor hours 500 DLH 4,375 DLH

Job 3175 Job 4286

Number of units 200 units 2,500 units

Grinding & Polishing 19247.25 192472.5

Product modification 10400 12800

System calibration 37500 112500

Providing power 7500 65625

Total Costs $ 74,647.25 $ 383,397.5 

The overhead cost per unit for Job 3175 = $ 74,647.25 /200=$ 373.24

The overhead cost per unit for Job 4286= $ 383,397.5/2,500= $ 153.36

6 0

4 years ago

Regency Inc. makes disposable cap and gown sets for graduations. Each cap and gown set sells for $15. The average variable cost

melomori [17]

Answer:

The Breakeven point is 13,000 units.

Explanation:

The breakeven point can be found from the following equation:

Breakeven units = Fixed Costs / Contribution Per unit

Here, contribution per unit is $5 per unit which is the difference between the selling price and variable costs per unit.

The fixed cost here is $65000.

By putting the values in the above equation, we have:

Breakeven units = $65,000 / $5 per unit = 13,000 units

5 0

3 years ago

What is easy-access credit

inysia [295]

Answer:

This is very short term credit with high interest.

Explanation:

Examples of this include things like payday loans.

7 0

3 years ago

Read 2 more answers

grwoth is the key to better consumption possibilities and one key to better consumption possibilities is

mash [69]

Answer:

Trade

Explanation:

The consumption possibility can be gotten from three different factors, it could be gotten from opportunity for trade, production set and also from consumption behavior.

Involving in trade would reduce the prices of goods for consumers, especially in a country that is involved in importation. It creates gains for consumers. Therefore it can be said that trade is a key to better consumption possibilities.

4 0

3 years ago