Answer:
$0 cost or savings per unit
Explanation:
Cost to Buy
Purchase Price $31.40
and,
Costs to Make
Direct materials $9.10
Direct labor $13.10
Variable overhead $2.10
Fixed Overheads $7.10
Total $31.40
therefore
The net incremental cost or savings of buying the component is $0 cost or savings per unit
Answer: $730.2
Explanation:
Let the total cost of cleaning clothes = X
Other variables include:
Total cost of boxes = $6×120
=$720
Ordering cost =$3
Holding costs = (10/100 ×6)12
=$7.2
Total costs of cleaning clothes =
The cost of boxes+ordering cost+holding cost
=720+3+7.2 = $730.2
Answer:
1. estimate the quantity of raw materials to be purchased.
2. ending raw materials inventory for the last period.
Explanation:
A budget is a financial plan used for the estimation of revenue and expenditures of an individual, organization or government for a specified period of time, often one year. Budgets are usually compiled, analyzed and re-evaluated on periodic basis.
The first step of the budgeting process is to prepare a list of each type of income and expense that will be part of the budget.
The final step by the management of an organization in the financial decision making process is making necessary adjustments to the budget.
The benefits of having a budget is that it aids in setting goals, earmarking revenues and resources, measuring outcomes and planning against contingencies.
1. The purpose of preparing a direct materials budget is to estimate the quantity of raw materials to be purchased. This includes the raw materials that would be used for the manufacturing of finished goods.
2. In a direct materials budget, the desired ending raw materials inventory for the year is equal to the ending raw materials inventory for the last period.
Answer:
D) Sinking fund
Explanation:
A sinking fund is an account established to be used in the settling of debts. The corporate or institution that creates a sinking fund deposits money regularly as a way of saving it for future debt payments. A sinking fund, is in away a savings account that accumulates funds for repaying large and future debts.
Municipal authorities use sinking funds to pay their bond expenses when they mature. The municipal contributes funds in the years leading to the bond's maturity. Sinking funds gives confidence to investors that the municipal will not default on its payments.
