The answer would be convenience
Answer:
$35
Explanation:
Given:
Variable cost per unit = $35
Fixed cost per unit = $10
Sale price = $70
Computation:
Minimum Transfer price = $35
Company working on full capacity So, variable cost per unit is considered as the minimum transfer price.
6,700(1+0.052)^x that’s your formula, you will only have to plug in 3 into x to find how much you saved.
Answer:
The answer is 5%
Explanation:
Solution
Given that:
A stock with a beta =2.0
The expected rate of return =21%
Market return turnout = 8%
Now,
Rf = risk free return
Rp = risk premium =Rm -Rf
β = 2.0
Thus
The expected return R = Rf +β *Rp
= Rf +β * (Rm -Rf)
R = Rf +2.0 (Rm -Rf)
=Rf + 2 times risk premium
So,
The market turns by 8%
R = Rf +2.0 (Rm -8%-Rf)
=Rf + 2 Rm-16%-2Rf
Then
The expected return is reduced by 16%
Hence,
21% -16% =5%
Therefore the expected rate of return on the stock is 5%
Answer:
a. $1,375
b. $1,240
Explanation:
FIFO method
FIFO assumes that the inventory to arrive first will be sold first. Inventory values depend on earlier purchases
Inventory = 185 x $5 + 75 x $6
= $1,375
LIFO method
LIFO assumes that the inventory to arrive last will be sold first. Inventory values depend on recent purchases
Inventory = 130 x $7 + 55 x $6
= $1,240
