Solution:
Given ,
1 Year interest rates in Europe = 4 %
1 Year interest rates in the U.S. = 2 %
You are translating $200,000 and spending $200,000 in French
Current spot rate of the euro = $1.20
a. (2%-4%)/(1+4%)=(S - 1.20) / 1.20
S= $1.1769 one year Euro rate
b. ( $1 / 1.20 )( 1 + 4% )* 1.12 = $.9707 return of -2.93% (loss)
c. ( $1 / 1.20) ( 1 + 4%)* 1.31 = $1.1353 return of 13.53% (gain)
d . ($1 / 1.20) ( 1 + 4%) *S = $1 (1+2%) ;
S=$1.1769
A spot rate of over $1.17697 (this is the same in part A) would be effective.
Answer:
Estimated manufacturing overhead rate= $23.973 per machine-hour.
Explanation:
Giving the following information:
Estimated total machine-hours= 15,000
The estimated variable manufacturing overhead was $7.36 per machine-hour.
The estimated total fixed manufacturing overhead was $249,200.
To calculate the estimated manufacturing overhead rate we need to use the following formula:
Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Estimated manufacturing overhead rate= (249,200/15,000) + 7.36
Estimated manufacturing overhead rate= $23.973 per machine-hour.
Answer:
40%
Explanation:
tasa de interest simple = (valor final - valor inicial) / valor inicial = ($14 - $10) / $10 = $4 / $10 = 0.4 = 40%
La diferencia entre el interest simple y el interes compuesto es que cuando calculamos interes compuesto, el interes ganado previamente gana mas interest por si solo independiente del capital original. En cambio, con el interest simple, el interest ganado previament no gana interes por cuenta propia.
Answer: Sunk Cost
Explanation:
A sunk cost is an expense which a company or entity has already incurred and which cannot be recovered and so should not be considered when making decisions regarding incremental benefits or costs to an investment.
The $48 had already been incurred to produce the defective units and cannot be recovered so it is a sunk cost that should not be considered moving forward.
Answer:
Option (d) is correct.
Explanation:
Given that,
Direct materials = $44,200
Direct labor = $31,800
Manufacturing overhead = $25,200
Selling expenses = $22,100
Administrative expenses = $37,100
Conversion cost:
= Direct labor + Manufacturing overhead
= $31,800 +$25,200
= $57,000
Therefore, the conversion costs during the month totaled $57,000.
