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chubhunter [2.5K]
3 years ago
13

It costs Waterway Industries $28 of variable costs and $14.40 of allocated fixed costs to produce an industrial trash can that s

ells for $72. A buyer in Mexico offers to purchase 3000 units at $39 each. Waterway Industries has excess capacity and can handle the additional production. What effect will acceptance of the offer have on net income?
Business
1 answer:
Georgia [21]3 years ago
7 0

Answer:

Special request income 33,000

Explanation:

special request:

3000 units x $39 = 117,000

variable cost:

3000 units x $28 = 84,000

<u>Contribution margin 33,000</u>

special cost:              <em>none</em>

additional fixed cost:   <em>none</em>

Special request income 33,000

Notice:

Non additional shipping or setup cost is request for the order.

Non increase in fixed cost due to excess capacity.

If any of this concept do inccur in additional cost, it should be relevant as well in the calculations.

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Tina and Bob formed the TB Partnership four years ago. Because they decided the company needed some expertise in multimedia pres
borishaifa [10]

Answer:

$25,000 will be an ordinary income(FMV)

Explanation:

Kate received an offer of unrestricted partnership capital interest for the expertise services. so, Kate recognizes it's an "ordinary income"which should be booked at the fair market value of the partnership interest so offered.

i.e $25,000 is ordinary income (FMV)

6 0
2 years ago
What would you say is the key difference between a nft and an art print?.
djverab [1.8K]

NFT art differs from traditional art in that it is entirely digital and can only exist in digital wallets on a specific blockchain. An art print, on the other hand, is an image on paper that does not exist on the digital wallets.

<h3>What is NFT?</h3>

A non-fungible token (NFT) is a non-transferable data unit that may be sold and traded on a blockchain, which is a sort of digital ledger.

Cryptocurrencies and physical money are both "fungible," meaning they may be traded or exchanged for one another.

In fact, anyone can make an NFT and sell it on a marketplace for NFTs.

Thus, NFT is the digital wallets and art print is the non digital wallet

For further details about NFT, click here:

brainly.com/question/24977458

3 0
1 year ago
Which statement regarding competitive advantages is true? Select one: a. With an overall cost leadership strategy, firms need no
kifflom [539]

Answer:

Letter b is correct.<u> If several competitors pursue similar differentiation tactics, they may all be perceived as equals in the mind of the consumer.</u>

Explanation:

This statement is the most appropriate to answer this question about competitive advantages, because a competitive advantage can be described as a certain advantage that an organization has in relation to its competitors. Some of these advantages may be greater access to raw materials, more qualified labor, barriers to entry, geographic location, differentiation of products and services, etc.

Therefore, when several competitors adopt similar differentiation tactics, the consumer does not have enough attributes to differentiate one brand from another, so all competitors can be perceived as equal in the consumer's mind.

6 0
3 years ago
Kinsi Corporation manufactures three different products. All five of these products must pass through a stamping machine in its
Rom4ik [11]

Answer:

D) generates the highest contribution margin per stamping machine hour

Explanation:

Since the stamping machine is Kinsi's constrained resource, or bottleneck resource, in order to maximize its profit, the company should manufacture the products that maximize the utility of the stamping machine. The product that maximize the utility are the one that have the highest contribution margin. Therefore Kinsi must produce the products that have the highest contribution margin per stamping machine hour.

8 0
3 years ago
Charles Schwab in 1971 was determined to build a stock brokerage firm that would be different. He cited that he was disturbed by
Alecsey [184]

Answer:

D) The Agency Problem

Explanation:

The agency problem refers to a conflict of interests between the principal and his/her agent. Agents have a fiduciary duty to act on the best interest of their principal, but sometimes agents place their own personal interest before the interests of their principal.

in this case, the brokers should act on behalf of their clients to make them earn the largest possible profits, but instead they focus on convincing them about transactions that increased the broker's profit and not the clients'.

4 0
3 years ago
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