Answer:
d.$72 per machine hour
Explanation:
Predetermined overhead rate = Budgeted Overheads ÷ Budgeted Activity
therefore,
Predetermined overhead rate = $11,742,000 ÷ 164,000
= $71.598 or $72
The predetermined overhead rate based on machine hours is $72 per machine hour.
Answer: B. The firm would install the filter at a cost of $ 300,000.
Explanation:
If the community owns the property rights, they would be able to demand that the firm pay the external cost of $500,000 per year.
If on the other hand the company installed a filter, it would cost them $300,000 but then they would not have to pay the community the $500,000.
The lower cost option would be to install the filter for $300,000 which is what the firm would do.
A contract known as an option grants the buyer the right, but not the duty, to purchase or sell an underlying asset (such as a stock or index) at a given price on or before a particular date (listed options are all for 100 shares of the particular underlying asset).
<h3>What is an option? Explain.</h3>
An option is a contract that grants the buyer the right, but not the responsibility, to buy the underlying asset (in the case of a call) or sell it (in the case of a put) at a certain price on or before a specific date.
Options are used by people for revenue, speculation, and risk hedging.
Because they draw their value from an underlying asset, options are classified as derivatives.
A stock option contract normally entails 100 shares of the underlying stock, but other underlying assets, such as bonds, currencies, or commodities, are also acceptable.
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Answer:
$90
Explanation:
The formula and the computation of the contribution margin per unit are presented below:
Contribution margin per unit = Selling price per unit - variable cost per unit
= $150 - $60
= $90
If we deduct the variable cost per unit from the selling price per unit, then the contribution margin per unit can arrive
We only considered the selling price and the variable cost per unit
Answer: Counter trade
Explanation: In simple words, counter trade or bilateral trade refers to the situation when two entities exchange goods or services with one another without using any money. This kinds of trade does not use money but can be valued in monetary terms.
In the given case, Large co were trading their product for the product of other company. Both the products have their own market value.
Hence from the above we can conclude that they were engaged in counter trade.