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mamaluj [8]
2 years ago
12

The company expects an annual need for 5,000 switches. If the company makes the product, it will have to utilize factory space c

urrently being leased to another company for $3,700 a month. If the company decides to make the parts, total costs will be:
Business
1 answer:
WITCHER [35]2 years ago
7 0

Based on the cost to produce each unit of the switches and the annual demand, the total costs will be $25,900 more than the cost of purchasing the switches.

<h3>What is the cost of producing the switches?</h3>

This can be found as:

= Variable cost + set up costs + supervisor's salary + opportunity cost of lost rent

= ( (6 + 5 + 4) x 5,000 units) + 45,500 + 41,000 + (3,700 x 12 months)

= $205,900

If they bought the switches at $36, they would cost:

= 36 x 5,000

= $180,000

Its cheaper to buy by:

= 205,900 - 180,000

= $25,900

Find out more on total costs computation at brainly.com/question/5168855.

#SPJ1

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Heidi Company is considering the acquisition of a machine that costs $420,000. The machine is expected to have a useful life of
Sonja [21]

Answer:

d. 3.5 years

Explanation:

We know that payback period is the estimated length of time it takes cash inflow from a project to recover back the cash outflow.

It is to be noted that the payback period makes use of cash flow and not profit, hence denoted by;

Payback period = Initial cost / Annual net cash inflow

Given that;

Initial cost = $420,000

Annual net cash inflow = $120,000

Therefore,

Payback period = $420,000 / $120,000

Payback period = 3.5 years

6 0
3 years ago
Landlord-Tenant relationships are established by lease contracts. State the Rights and Duties of the Landlord-Tenant Relationshi
Delicious77 [7]

Answer: The landlord would have to make the environment conducive for leaving and the tenant would have pay rent and refrain from causing problems

Explanation:

The landlord and tenant have rights and duties to perform. The main duty of the landlord is to meet the warranty of habitability; ensuring the premises is safe and is in livable condition.

Whereas the duty of the tenant is to pay rent, ensure the environment occupied is neat, avoid causing problems for individuals around and refrain using the property for illegal purpose.

The right transferred by lease is an agreement by the tenant (the assignor) to transfer all of his or her rights, title, and interest in the lease to another person (the assignee).

A sublease is the lease of a property by a tenant to a subtenant.

5 0
3 years ago
Jake considers himself to be a follower of Thomas Malthus. Which of the following statements would Jake be most likely to make?
Ber [7]

Answer:

D

Explanation:

The Malthus theory states that population should be controlled because there are no enough resources to please the future needs. This is how it works: in the short-run there is a change in technology that leads to an increase in income. Because people have more income, better life standards, the birth rate increases and exceeds the death rate. In the long-run total income would have to be distributed between more people than before and the economy reaches the equilibrium again, in which the birth rate equals the death rate.

In other words, econmic success becomes a reproductive success.

3 0
3 years ago
Why is understanding the relationship between the cash conversion cycle (CCC) and net working capital important to the contempor
murzikaleks [220]

Answer: To understand how businesses need money and how they can sustain themselves for a period of time to fund bills and still operate

Explanation:

Understanding the relationship between cash conversation cycle and contemporary business executive aims at knowing the business needs funds to operate and building strategic alliances, make money and propose ideas that will sustain and elevate it's strength for some time. Money is vital in running business operations, as organizations will foot bills and do some expenditure and sought out ways to earn more business.

8 0
3 years ago
Ashley Anderson pays her HOA dues of $660 for the calendar year. She then sells her property and closes on June 15. What is the
Alenkinab [10]

Answer:

The amount of the prepaid portion that is due back to Ashley using the 12 month, 360 day proration is=$362.34

Explanation:

<em>Step 1: Determine HOA per day</em>

Use the expression below to determine HOA per day;

T=H×N

where;

T=total HOA dues per year

H=HOA per day

N=number of days in a year

In our case;

T=$660

H=unknown

N=360 days

Replacing;

660=H×360

360 H=660

H=660/360

H=$1.83 per day

<em>Step 2: Determine amount of HOA that is due back</em>

Using the same expression;

T=H×N

but;

T=unknown

H=$1.83 per day

N=(June, 15 days)+(July, 30)+(Aug, 31)+(Sep. 30)+(Oct 31)+(Nov 30)+(Dec 31)

N=(15+30+31+30+31+30+31)=198 days

Replacing;

T=(1.83×198)=$362.34

The amount of the prepaid portion that is due back to Ashley using the 12 month, 360 day proration is=$362.34

5 0
3 years ago
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