Answer:
Explanation:
The following information can be derived from the question above:
The cost of the beginning work in the process inventory = $3,570
The cost of the ending work in the process inventory = $2,860
The cost that is added to the production = $43,120.
In the attached document, it should be noted that the cost of goods that were transferred out was calculated as:
The total cost to be accounted for minus the cost of the ending work in the process inventory. This is:
= 46690 - 2860
= 43830
The cost reconciliation report for the Baking Department for June has been solved and attached.
Answer:
c) $25
Explanation:
<em>The value of a preferred stock is the present value of the constant dividend payable for the foreseeable future discounted at the required rate of return</em>
Price = Constant dividend/ required return
The constant dividend = Dividend rate × par value
Dividend as be given as $5 per share
requited return - 20%
So the price of the stock would be
Price = 5/0.2
= $25
Answer:
Optimal number of donuts = 5 Donuts
Optimal cups of coffee = 2.5 cups.
Explanation:
Optimal numbers of donuts and coffee can be calculated as follow
First, we need to determine the budget constraint as below
M = ( P(D) x D ) + ( P(C) x C )
Placig values in the formula
10 = D + 2C
Now make utility function as:
U(D,C) = D0.5 C0.5
Marginal Utility donuts
MU(D) = 0.5D-0.5C0.5
Marginal Utility Coffee
MU(C) = 0.5D0.5C-0.5
The formula for marginal rate of substitution
(MRSD,C)= MU(D) / MU(C) = 0.5D - 0.5C0.5 / 0.5D0.5C - 0.5 = C/D
Now calculate the optimal consumption level
MRSD,C = P(D) / P(C)
C/D = 1/2
D = 2C (Equation 1
)
Placing the value of D resulted from equation 1, in the budget constraint we as below
10 = D + 2C
10 = 2C + 2C
10 = 4C
C = 10/4 = 2.5
NOw place the value of C in equation 1
D = 2C = 2(2.5) = 5
Optimal number of donuts = 5 Donuts
Optimal cups of coffee = 2.5 cups.
Answer:
<h2>The correct answer here would be less than, minimum or option a. given in the answer options or list.</h2>
Explanation:
- In Microeconomics,in the short run,the firm conventionally shuts down or runs out of business if the price charged by the firm to sell its product or service is at least equal or more than the minimum average variable cost.
- If the price charged by firm to sell its product or service is less than the average variable cost,it essentially implies that the firm is unable to generate enough revenue to cover at least its minimum variable cost or expense or operation or production.
- Therefore, in short run, in this case firm must maintain a price level for its furniture so that to covers at least the minimum variable costs of production in business to prevent shutting down or closing business. Otherwise,if the price is less than minimum average cost then the firm has to shutdown or run out of business.
Answer:
A.Pattern Department 57 per DLH
Cut and Sew Department 78 per DLH
B.Small glove 8.52
Medium glove 10.65
Large glove 12.78
Explanation:
a) Calculation to Determine the two production department factory overhead rates.
Pattern Department = 165,200/2,900
= 56.9 Approximately 57 per DLH
Cut and Sew Department = 273,000/3,500
= 78 per DLH
Therefore two production department factory overhead rates will be :
Pattern Department 57 per DLH
Cut and Sew Department 78 per DLH
b) Calculation of the factory overhead cost per unit
Small glove (57*.04+78*.08)=8.52
Medium glove (57*.05+78*.10)=10.65
Large glove (57*.06+78*.12)=12.78
Therefore the factory overhead per unit for each product will be: Small glove 8.52
Medium glove 10.65
Large glove 12.78
