Answer:
D. a carve-out
Explanation:
According to my research on different business strategies, I can say that based on the information provided within the question this scenario exemplifies a carve-out. This term refers to when a company diversifies a business unit in order for the parent company to sell a minority interest of that specific child company to outside investors in order to raise funds. Which like mentioned in the question is exactly what Arocare International is doing with it's child company - Miracle hospital unit.
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Answer: D. All of the above.
Explanation:
Question Completion:
The manufacturing overhead charge per hour is $24.
Answer:
The manufacturing overhead that would be charged to 16 portraits using the cumulative average approach is:
$336.
Explanation:
a) Data and Calculations:
Time taken by new employee to make the first portrait = 8 hours
Time taken by employee to make the second portrait = 6 hours
Unit Hours Cumulative Hours Cumulative Average
1. 8.0 8.0 8.0
2. 6.0 14.0 7.0
Learning curve percentage = cumulative average/ hours for 1st unit = 7/8 hour * 100) = 0.875
This means that every unit produced, the time used reduces by 12.5% (1 - 0.875)
Therefore, the time to produce 16 units = 16 * 0.875 = 14 hours
Manufacturing overhead = 14 * $24 = $336