Answer: Option (A) is correct.
Explanation:
Correct Option: Other assets can also be used to make transactions to buy goods and services.
M1 = Currency with public + check-able/Demand deposits + other deposits with RBI
It includes more than just currency with public because there are some other assets as well which are highly liquefied and helps people in buying goods and services.
Check able deposits is one of the component of M1, other than currency with public. People can withdraw these deposits at any point of time which people generally used make transactions for buying goods and services.
Answer:
$91
Explanation:
Given the following information,
Direct materials per unit = $54
Direct labor per unit = $20
Variable overhead per unit = $6
Fixed overhead for the year = $462,000
For Absorption costing method, it includes all costs associated with production, including fixed and variable cost. The unit product cost is calculated using direct material, direct labor and total unitary manufacturing overhead.
Unitary cost = (Fixed overhead for the year / Units produced) + Direct materials per unit + Direct labor per unit + Variable overhead per unit
Unitary cost = ($462,000 / 42,000) + $54 + $20 + $6
Unitary cost = $11 + $54 + $20 + $6
Unitary cost = $91
Therefore, the product cost per unit is $91
Answer:
Fixed costs that can be avoided by discontinuing the line.
Explanation:
Avoidable costs are those costs which can be eliminated by closing or rejecting a decision under evaluation. These costs are mostly variable coasts which vary with the change in activities. More activity more cost, less activity less cost and no activity no cost.
So fixed costs that can be avoidable by discontinuing the project is the only irrelevant cost between the given options.
Answer:
Required return= 28.87%
Dividend yield= 24.4658%
Capital gains yield= 4.4%
Explanation:
Required return=(D1/Current price)+Growth rate
=(3.93*1.044)/16.77+0.044
=28.8658%(or 0.2887 approx)
Dividend yield=Dividend for next period/Current price
=(3.93*1.044)/16.77
=24.4658%(or 0.2447 approx)
Capital gains yield=Growth Rate
=4.4%(or 0.044)
Answer:
B) $56,750
Explanation:
Direct materials cost $27,500
Direct labor cost$13,000
As manufacturing overhead rate is based on a percentage of direct labor cost so dividing the manufacturing overheads by direct labor costs we get =$1,050,000,/$840,000= 1.25
Multiplying this rate with the actual overheads we get 1.25* 13000 = $16250
The total job cost would be = Direct materials cost+Direct labor cost + budgeted Overheads = $27,500
+$13,000+$16250= $56,750
