Answer and Explanation:
The computation of the incremental net income is shown below:
<u>Particulars Sell Process Further Incremental Net income
</u>
Sales $20,000.00 $50,000.00 $30,000.00
(10,000 units × $2) (10,000 × $5)
Less:
Additional
Processing cost $18,000.00 $18,000.00
Total $20,000.00 $32,000.00 $12,000.00
Answer:
Detailed step wise solution is given below:
Answer:
Value added
Explanation:
Value-added - it is the total difference that comes out between the product value in the market and the cost of producing that product. cost of a product is based on the survey which gives the idea that how much cost may be assigned to the product.
The value of this difference help to determine the profit on products.
Higher the value of add, higher will be the charges of product and higher will be the revenue collected.
P - principle of the loan
FC - finance change or total interest
N - number of months the loan is force
FC = ($1,000 x .06 x 1)
FC = $60
Finance charge is $60.