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dmitriy555 [2]
3 years ago
9

Sam can only hire two full-time employees, but he needs even more help to make the two products he sells. Product Alpha has a co

ntribution margin of $750 per unit of limited resource and Product Beta has a contribution margin of $975 per unit of limited resource. He thinks he will be able to afford hiring an extra employee to work 150 hours per month, but he is unsure which product to have the employee work on. Which product would result in the highest contribution margin
Business
1 answer:
blagie [28]3 years ago
8 0

Answer:

Which product would result in the highest contribution margin - Product Beta

Explanation:

Here is a situation where production is limited by a particular resource - Labor Hours.

To determine which product to manufacture, Sam has to rank the Contribution per unit of the limiting factor - labor of Product Alpha and Product Beta

Contribution per limiting factor are already calculated as:

Product Alpha -  $750 per unit of limited resource

Product Beta - $975 per unit of limited resource

The Product with Highest Contribution per limiting factor results in highest contribution margin and must be worked on first

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The correct answer is: type new list.

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7 0
3 years ago
In the context of the 5S principles, _____ means to keep a process going through training, communication, and organizational str
alina1380 [7]

In the context of the 5S principles, <u>sustain </u>means to keep a process going through training, communication, and organizational structures.

<h3>What is 5S principles? </h3>

5s principles can be defined as the principle that help to show the appropriate way a work place or work environment should be or should be arranges .

The 5S principle are:

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  • Sustain

Therefore In the context of the 5S principles, <u>sustain </u>means to keep a process going through training, communication, and organizational structures.

Learn more about 5s principles here:brainly.com/question/10001029

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5 0
2 years ago
Choose and describe a business that would have a significant amount of deferred revenue and share a photo of that business (or c
kondor19780726 [428]

Answer and Explanation:

Deferred revenue refers to payment received before the service or goods are delivered. Consider a subscription service that provide annual subscription such as Netflix. You may take the subscription through annual or monthly payment system. In case of annual payment system you have paid for 12 months but are currently on month 1. As a result, the 11 other months’ payment is considered as deferred revenue for Netflix.

Businesses such as this (Netflix) who sell annual subscription will have significant deferred revenue. The current Netflix subscription charges are $10.99 per month (lowest tier). In case of annual subscriptions they will likely have 11 months of deferred revenue or 11*10.99 = $120.89 as deferred revenue. Their total revenue per customer (in the lowest tier) will be $131.88. This makes their deferred revenue as 91.67% of their revenue.

5 0
3 years ago
Kingbird Company sells 290 units of its products for $18 each to Logan Inc. for cash. Kingbird allows Logan to return any unused
tensa zangetsu [6.8K]

Answer:

Kingbird Company

a. The amount of Net Sales = $5,040.

b. The amount of the estimated liability for refunds = $180

Explanation:

a) Data and Calculations:

Units of products sold to Logan Inc. = 290

Selling price = $18

Sales revenue = $5,220 ($18 * 290)

Cost of each unit = $11

Expected returns = 10/290 = 0.03448

Net sales = $5,220 * (1 - 0.03448)

= $5,040

Estimated liability for refunds = $180 ($5,220 - $5,040)

8 0
3 years ago
14. Suppose that the production of $1 million worth of steel in Canada requires $100,000 worth of taconite. Canada’s nominal tar
VMariaS [17]

Answer:

The effective rate of protection for Canada’s steel industry is 21%

Explanation:

The computation of the effective rate is shown below:

Steel percentage = (Production worth of steel) ÷ (Taconite worth)

                             = ($1,000,000) ÷ ($100,000)

                             = 10%

And the tariff rate for steel is 20%

And the taconite percentage is 10%

So, the effective rate would be equal to

= Tariff rate for steel + taconite percentage × steel percentage

= 20% + 10% × 10%

= 20% + 1%

= 21%

7 0
3 years ago
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