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1 year ago

The difference between total revenue and total cost is

1 answer:

4 0

The revenue is defined as the total income a business receives from selling a good or service to its customers. The cost is defined as the total expenses that are incurred in the production of goods or services by any individual or organisation.

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Ma Barker Company has a job-order costing system and uses a predetermined overhead rate based on direct labor-hours to apply man

Sophie [7]

Answer:

Job 334 total cost: $ 8,400

Unit cost: 8,400 / 200 = $ 42

Explanation:

Total cost: Material + Labor + Overhead

Material: 5,000

Labor: 2,400

Overhead:

$\frac{Cost\: Of \:Manufacturing \:Overhead}{Cost \:Driver}= Overhead \:Rate$

We distribute the expected cost over the expected base:

expected cost: 100,000

cost driver: 40,000 labor hours

cost per hour: 100,000 / 40,000 = 2.5 predetermined overhead

Now we multiply this rate by the hours of the job to know Applied Overhead:

job labor hours x overhead rate:

Job #334 had 2,400 labor cost / $6 rate per hour = 400 hours

400 x 2.5 = 1,000

Total cost: 5,000 + 2,400 + 1,000 = 8,400

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3 years ago

A manufacturing department has 50,000 EUP for units completed and transferred out and 4,500 EUP for units in ending inventory. M

ludmilkaskok [199]

Answer:

Value of closing inventory = $ 28,125.00

Explanation:

To value inventory, we multiply the cost per equivalent unit of production (cost per EUP) by the the number of equivalent units(EUP) for each of the cost element.

So the value of the closing inventory, is determined as follows:

Value of inventory = cost per E.U.P × number of E.U.P

Material = $2.50 × 4,500 = 11,250.00

Labour and overhead= $3.75 × 4,500 = 16,875.00

Total amount of work in progress

= 11,250 + 16, 875

= $ 28,125.00

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4 years ago

The overall concept or model that guides the firm as it weaves various marketing elements together into a coherent strategy is c

Arturiano [62]

Answer:

D. Strategic focus

Explanation:

Strategic focus or focus strategy is is when a company concentrates its resources in a narrowly defined part of the market (market segment). It allows businesses compete on basis of low cost, differentiation and rapid response against much larger businesses which also in turn has larger resources.

It's usually employed where the company or the firm knows the segment of the market and has products to competitively satisfy it's needs focusing on that narrow aspect of the market to build a strong competitive advantage.

4 0

3 years ago

Based on this model, households earn income when firms __________ purchase goods and services ___________in markets for factors

allochka39001 [22]

Answer and Explanation:

Market for Factors of Production:

Antonio earns $275 per week working for Spotless Car Wash.

Market for Goods and Services:

Caroline spends $10 to get her car washed.

Antonio spends $150 to purchase a necklace from Classy's Jewelry Store.

Which of the elements of this scenario represent a flow from a household to a firm?

The $150 Antonio spends to purchase a necklace from Classy's Jewelry Store

The actual economy is more complicated than the one illustrated in the previous circular-flow diagram of a simple economy - false

The circular flow of income represents the flow of economic exchanges between economic agents in the economy. If a household provides the labor factor of production, it is paid and uses the same money to purchase from the same firms that produce goods and services. This is a cycle and actually doesn't get more complex than this in real life, only involves alot more firms or economic agents.

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3 years ago

Suppose the price of Vanilla Coke increases by 9% and quantity demanded falls by 13% overall, but only 4% for loyal Coca-Cola cu

Gennadij [26K]

Answer: A) several substitutes; necessity; loyal Coca-Cola customers

Explanation:

SEVERAL SUBSTITUTES

Substitute goods are goods that are similar and so can be used in place of the other. Generally when the price of a good with a substitute increases, people switch to their substitutes if their price remain the same. The demand for vanilla coke dropped when it's prices rose signifying that people switched to the substitutes.

NECESSITY GOODS

These are also known as normal goods and increase in relation to income. That is if income increases, they increase as well but at a lower rate. Since we are assuming that the income of coke loyalists did not change but rather the prices rose and the demand reduced at a rate less than the increase in price we can safely assume that vanilla coke is a necessary good to Coca-Cola loyalists.

LOYAL COCA-COLA CUSTOMERS

Because the reduction in demand for Vanilla coke amongst Coca-Cola loyalists is less than the increase in price as opposed to the general public where the reduction in demand is more than the increase in price, we can say that an increase in total revenue is only coming from the loyal coke customers.

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3 years ago