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sashaice [31]
4 years ago
5

QS 23-11 Sell or process further LO A1 A company has already incurred $5,200 of costs in producing 6,100 units of Product XY. Pr

oduct XY can be sold as is for $31 per unit. Instead, the company could incur further processing costs of $8 per unit and sell the resulting product for $35 per unit. Should the company sell Product XY as is or process it further?
Business
1 answer:
andrew-mc [135]4 years ago
5 0

Answer:

It is more profitable to sell te products as-is.

Explanation:

Giving the following information:

Sell as-is:

Selling price= $31

Continue processing:

Selling price= $35

Unitary incremental cost= $8

Units= 6,100

<u>The firsts $5,200 is a sunk cost, this means that the cost will remain the same in both options. It is irrelevant to the decision-making process.</u>

Sell as-is:

Effect on income= 6,100*31= $189,100

Continue processing:

Effect on income= 6,100*(35-8)= $164,700

It is more profitable to sell te products as-is.

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The UpTowner just paid a $3.45 annual dividend. The company has a policy of increasing the dividend by 4.5 percent annually. You
Basile [38]

Answer:

$41.74

Explanation:

For computing the price, first , we need to calculate the current price which is shown below:

= Last dividend × ( 1 + growth rate)  ÷ (Required rate of return - growth rate)

= $3.45 × ( 1 + 0.045) ÷ (14.8% - 4.5%)

= $3.60525 ÷ 10.3%

= $35

Now the price would be

= Current price × ( 1 + growth rate) ^ years

= $35 × ( 1 + 0.045) ^ 4 years

=  $35 × 1.1925

= $41.74

8 0
3 years ago
Personal consumption expenditures (C) $10,417.1 Gross private domestic investment (I) $1,818 Government consumption expenditures
ANEK [815]

Answer:

GDP = $14,755.1 and expenditure approach

Explanation:

The formula to compute the GDP is shown below:

GDP = Personal consumption expenditures + Gross private domestic investment + Government consumption expenditures and gross investment  + Net exports

where,

Net exports = Exports - imports

                    = $1,935.3 - $2,435.5

                    = -$500.2

So, the GDP is

= $10,417.1 + $1,818 + $3,020.2 - $500.2

= $14,755.1

And, the summing of all this items which are shown above while calculating the GDP is known as expenditure approach

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4 years ago
Read 2 more answers
Merck, a pharmaceutical company, has taken thousands of drugs through the federal approval process and so can do it more cost ef
melomori [17]

Answer:

learning effects

Explanation:

Learning effects: In economics, the term "learning effects" is described as the process through which specific education is considered as increasing productivity and therefore results in producing higher wages. It gives an insight to the company to develop some competitive advantage by decreasing some of the production costs. However, the employees are focused on working more efficiently, decrease in the number of wastes and defects on several products.

In the question above, the given statement signifies the leaning effects.  

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MrRissso [65]

Answer:

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Explanation:

Shunto is a word used by the Japanese and it literally means wages, labor or livelihood.

Basically, it refers to the annual wage bargaining (negotiation) sessions between the Japanese Enterprise (labor) Union and employers each requesting for an increment in their wages.

Hence, the enterprise-level consultation and bargaining by the Japanese Enterprise (labor) Union are complemented by an annual wage negotiation process called Shunto.

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3 years ago
Companies need to select the best employees who apply because the cost of employees who leave is very high.
Fofino [41]

Companies need to select the best employees who apply because the cost of <u>replacing</u> employees who leave is very high

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Replacement Employee is defined as a worker hired by the employer on a full-time or part-time basis for at least two calendar months to cover the absence of another worker who is out on an extended leave.

<h3>What is the replacement policy?</h3>

When a Removed Policy expires or is canceled, a Replacement Policy—which is one offered or issued by the insurer on its own policy forms—comes into force.

<h3>How company work?</h3>

The legal existence of a firm is distinct from that of its owners, managers, operators, employees, and agents. A firm has the same rights and privileges as an individual, including the ability to own and sell property, bring legal action and be sued, and enter into contracts.

To know more about company work visit:

brainly.com/question/14555664

#SPJ4

I understand that the question you are looking for is :

Companies need to select the best employees who apply because the cost of ___________ employees who leave is very high

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