Answer:
Cost to make $337,600
Cost to make $344,400
The company should make the product
Explanation:
Calculation to determine the total incremental cost of making 84,000 and buying 84,000 units
COST TO MAKE
Relevant per unit Relevant fixed cost Total relevant cost
Variable cost per unit $2.90 - $243,600(84000*$2.90)
Fixed manufacturing costs - $94,000 $94,000
Cost to make $337,600
($243,600+$94,000)
COST TO BUY
Relevant per unit Relevant fixed cost Total relevant cost
purchase per unit $4.10 - $344,400[$4.10*84000]
Cost to make $344,400
Based on the above calculation the cost of buying is higher than the cost of making therefore the company should MAKE the product.
Answer:
d.) discretionary expenses
Explanation:
We can explain going further into what is each item.
<u>A and B are your income </u>(for this question don’t sweat about the difference between gross and realized). They will constitute all the money you have in that period (the period will depend on the regularity of your income, it could be weekly, monthly, etc.).
Your fixed expenses are the things you will expend money on which, no matter what happens, will not change (it could be your rent, tax, health insurance, etc.).
Discretionary expenses, however, are costs that are things that you WANT, not NEED. It could go anywhere from a new shoe to a new boat (if you´re feeling rich, that is lol). That kind of expense will impact your available money (hey, nothing is free) but is not part of your budget as it is not a planned cost.
However, is important to note that if you wanna be super Monica Geller with your money you should forecast your discretionary expenses. Using your history as a base for calculating will eliminate most of the margin error.
Answer:
-911.51 the debt will decrease if sales increase 12%
Explanation:
sales: 28,400
increase of 12%
new sales: 31,808
<em><u>profirt margin:</u></em>
2,250/28,400 = 0.0792 = 7.92%
income: 31,808 x 7.92% = 2,519.19
retained earnigns grow: (1-payout ratio) = 0.6
2,519.19 x 60% = 1,511.514
Increase in working capital: 5,000 x 12% = 600
Asset requirement - reteined earnigns grow = financial needs
600 - 1,511.51 = -911.51
I believe the answer is: c. End network relationships after you find a job
Even after you find a job, you need to keep maintaining your network relationship and even make more networks with different people from various field.
By doing this, you could either return the favour to your initial network by giving him/her a business opportunities or you can acquire an even larger business opportunities yourself in the future.