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Karolina [17]
3 years ago
5

According to finance theory firms should attempt to

Business
1 answer:
svlad2 [7]3 years ago
3 0
Maximize shareholder value.
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Bond Company uses a plantwide overhead rate with direct labor hours as the allocation base. Use the following information to sol
Georgia [21]

Answer:

B. 6.2 DLH per unit of G2

Explanation:

Total cost per unit of G2:

$20 = DM + DL + OH

$20 = $7 + $3.60 + X

$20= $10.6

$20- $10.6

= $9.4

X = $9.4 overhead per unit of G2

Therefore the Plantwide overhead rate is:

$795,000/530,000 DLH = $1.5 per DLH

DLH per unit of G2:

$9.4/$1.5 = 6.26 DLH per unit of G2

7 0
3 years ago
A decline in interest rates is expected to __________.
Softa [21]

A decline in interest rates in expected to increase economic growth.

7 0
3 years ago
Read 2 more answers
Which type of investment typically charges the investor lowest fees
Norma-Jean [14]
The lowest fees for investors are typically found in a type of passive investing called the Index Fund investing.
4 0
3 years ago
A company pays a constant 6.5 dividend on stock. The dividend will maintain for the next 12 years and cease forever. The require
zalisa [80]

Answer:

$46.31

Explanation:

Calculation to determine the current share price

Using this formula

Current share price=6.5*Present value of annuity factor(9.1%,12)

Present value of annuity=Annuity*[1-(1+interest rate)^-time period]/rate

Let plug in the formula

Current share price=6.5*[1-(1+0.091)^-12]/0.091

Current share price=6.5*[1-(1.091)^-12]/0.091

Current share price=6.5*7.124793

Current share price=$46.31

Therefore the current share price will be $46.31

6 0
3 years ago
Radar Company sells bikes for $490 each. The company currently sells 4,300 bikes per year and could make as many as 4,620 bikes
Karo-lina-s [1.5K]

Answer:

Radar's additional income for accepting the order is calculated as follows:

Sales - 320 x $460 = $147,200

less Cost of Sales = 320 x $180 + $48,000 = $105,600

Additional Income = $41,600

Explanation:

The additional income of $41,600 is $147,200 - $105,600, which is the result of deducting cost of sales from Sales.

The cost of sales includes the variable cost per bike, including the incremental fixed costs ($48,000) to make this order.

To make a decision whether to accept an order or not, the company needs to consider all variable costs, including the incremental fixed costs.  The resulting additional income is what is available to offset the fixed costs.

8 0
3 years ago
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