Answer:
Present Value
Stream A $1,251.247
Stream B $1,300.316
Explanation:
<em>The present value of a future sum is the amount that would be invested today at the prevailing interest rate to have the sum</em>
Stream A
(100 × 1.08^9-1) + (400× 1.08^-2) + (400× 1.08^-3) + (400× 1.08^-4) + (300× 1.08^-5) = $1,251.247
Stream B
(300 × 1.08^9-1) + (400× 1.08^-2) + (400× 1.08^-3) + (400× 1.08^-4) + (100× 1.08^-5) = $1,300.316
Present Value
Stream A $1,251.247
Stream B $1,300.316
Answer:
The answer is $36.00
Explanation:
Contribution margin per unit is when variable cost per unit is subtracted from selling price per unit. Contribution is that part of revenue that was not used by variable costs and was used to cover fixed costs
selling price per unit = $76.00
variable cost per unit = $40.00
Therefore, contribution margin per unit is $76.00 - $40.00
= $36.00
The answer to this question is "Moral Hazard". Hence I<span>f an individual and companies believe they can pursue rewards without facing the risks that should be attached to those pursuits, they are more likely to engage in irresponsible and even unethical behavior. this situation is known as a MORAL HAZARD. This is a belief of a company that they can pursue rewards without facing a problem or any issue.</span>
Answer and Explanation:
From the diagram in the picture (please find attached) we see that the competitive price and quantity lies at the marginal cost( which the producer cannot go below). The consumer surplus lies just below the demand curve(the downward sloping curve with) and the producer surplus is above the marginal cost. Note the producer surplus is the difference between what the supplier is willing to sell and how much he actually sells, the marginal cost is the lowest the supplier would want to sell. This applies to the consumer surplus too
The producer surplus region was indicated with vertical strokes in the diagram attached
Answer:
Department M
Manufacturing overhead rate = $600,000/200,000 hrs = $3/hr
Department A
Manufacturing overhead rate = $400,000/800,000 hrs = $0.5/hr
Manufacturing overhead cost allocated:
Department M = $3 x 8,000 = $24,000
Department A = $0.5 x 12,000 = $6,000
Total manufacturing cost allocated = $30,000
Explanation:
This relates to overhead absorption. The manufacturing overhead rate is calculated as budgeted manufacturing overhead divided by budgeted direct labour hour.
Manufacturing overhead allocated = manufacturing overhead rate x actual labour hour for each department for the job.
