Solution:
Given Information,
Heat input is (
) = 5.5 ×
Btu/h
Combustion efficiency of the boiler (
) = 0.7
Combustion efficiency after turn up (
) = 0.8
Operation Hour (t) = 5200h
Unit cost (c) = 
Calculate heat output from the boiler
=
x 
= 5.5 x
x 0.7
= 3.85 x
Btu/h
Calculate the heat input to the boiler after the tune-up
=
/ 
= 3.85 x
/ 0.8
= 4.8125 x
Btu/h
Calculate the saved energy after the tune-up
=
- 
= 5.5 x
- 4.8125 x
Btu/h
= 0.6875 x
Btu/h
Calculate the annual energy saving (
)
=
x t
= ( 0.6875 x
Btu/h ) ( 5200 hr/yr)
= 3575 x
Btu/h
Calculate the annual cost saving
Annual cost saving =
x Unit cost
= 3575 x
Btu/h x 
= 82225
Answer:
B. Report it as a discontinued operation.
Answer:
The contribution margin per unit is $5.1
Explanation:
The contribution margin per unit is the amount from selling price per unit after deducting all the related variable costs per unit. This is the amount that each product contributes towards covering the fixed costs.
<u />
<u />
<u>Contribution margin per unit:</u>
Selling price per unit 18.7
<u>Less : Variable cost per unit</u>
Direct material (7.05)
Direct labor (3.5)
Variable manufacturing Overhead (1.65)
Sales commission (1.00)
Variable Admin expense <u> (0.40)</u>
Contribution margin per unit 5.1
Answer:
Charge a higher price and produce less output
Explanation:
A monopolistic markets imeans that there is the absence of other suppliers of the same product or service, making them the sole market of the product or service. This can make them charge a premium to their customers. Consumers have no alternatives of options and are forced to pay the price for the goods dictated by the monopolist. ITherd is a tendency for the monopolist to make prices high high prices, it may not necessarily be a monopolistic behavior.
A monopolistic market can restricts output to raise the price leading to less production, which reduces total real social income.
2nd step is the correct answer:(