Answer:
Production budget = 835
Explanation:
<em>T</em><em>he production budgeted for a particular period is the expected units to be produced after adjusting the sales budget figures for opening and closing inventories. </em>
Production = Sales budget + closing inventory - opening inventory
Inventory at the end of July = 40%×650= 260
Opening inventory = 75
Sales budget = 650
Production budget = 650+ 260 - 75= 835
Production budget = 835
Answer:
B. preference shares
Explanation:
Option A is wrong because equity shares provide a different rate of dividends to a shareholder. Equity shares are known as ordinary shares. Therefore, option C is wrong.
There are no priority shares in the components of stockholders' equity. Hence option D is wrong.
Investment security does not give any dividends. So option E is wrong.
Option B is correct because preference shares give a fixed rate of dividend.
The right answer for the question that is being asked and shown above is that: "communication" the term that describes a group of firms cooperating with each other in order to avoid competition is that of <span>communication</span>
Answer:
It is cheaper to make the part in house.
Explanation:
Giving the following information:
Harrison Enterprises currently produces 8,000 units of part B13.
Current unit costs for part B13 are as follows:
Direct materials $12
Direct labor 9
Factory rent 7
Administrative costs 10
General factory overhead (allocated) 7
Total $45
If Harrison decides to buy part B13, 50% of the administrative costs would be avoided.
To calculate whether it is better to make the par in-house or buy, we need to determine which costs are unavoidable.
Unavoidable costs:
Factory rent= 7
Administrative costs= 5
General factory overhead= 7
Total= 17
Now, we can calculate the unitary cost of making the product in-house:
Unitary cost= direct material + direct labor + avoidable administrative costs
Unitary cost= 7 + 5 + 5= $17
It is cheaper to make the part in house.
