Answer:
$480,000
Explanation:
Calculation to determine what total relevant costs to make the part internally are
First step is to calculate Relevant cost per unit:
Relevant cost per unit:
Direct materials $6
Direct labor $24
Variable manufacturing overhead $12
Fixed manufacturing overhead ($15 × 0.40) $6
Relevant manufacturing cost $48
Now let determine the Total relevant costs to make the part internally
Total relevant costs to take the part internally=($48 × 10,000)
Total relevant costs to make the part internally = $480,000
Therefore total relevant costs to make the part internally are $480,000
A competitive institutional advertising is a marketing strategy wherein a company describes itself and where is it located. It is an effective means of advertising because it creates a good image and has its unique philosophy that causes significant attraction to the consumers.
Answer:
True
Explanation:
The actual amount of the decrease in foreign investment is less than 100% therefore, if foreign investment fell by 100%, it would be cut in half. Apparently, a decrease of 200% means that it would be totally eliminated, and a decrease of more than 200% is impossible.The the statement does not mention the initial amount of foreign investment.
Answer:
Effect on income= $4,500 increase
Explanation:
Giving the following information:
Special offer: 9,000 units of product S51 for $20.50 a unit.
Direct materials $ 3.10
Direct labor 1.50
Variable overhead 6.40
The customer would like modifications made to product S51 that would increase the variable costs by $5.00 per unit and that would require an investment of $36,000 in special molds that would have no salvage value.
<u>Because it is a special offer, we will not have into account the fixed costs.</u>
Unitary variable cost= 3.1 + 1.5 + 6.4 + 5= $16
Investment= 36,000
Effect on income= 9,000* (20.5 - 16) - 36,000
Effect on income= 40,500 - 36,000
Effect on income= $4,500 increase