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3 years ago

Economies of scale give an advantage to what type of company?

Business

1 answer:

Mashutka [201]3 years ago

7 0

Answer:

Explanation:

Economies scale is reduction in average cost which is achieved by bigger companies by producing and selling the products at large scale

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Tomorrow is my interview in Lucknow Public School for admission for 9th standard. Can anyone help me by giving some tips and tri

castortr0y [4]

Remain calm, keep eye contact, don’t seem nervous they’ll notice that, practice your interview by yourself don’t wait till your there in person to do it or you might slip up

5 0

3 years ago

Determine the amount of depletion expense that would be recognized on the Year 1 income statement for each of the two reserves,

emmasim [6.3K]

Answer:

Kindly check the explanation section.

Explanation:

STEP ONE: calculate or Determine the depletion expense per unit. .

For oil reserves, the depletion expense = 1376000 - 0/ 257000 - 12000 = $5.76.

For timber, the depletion expense = 2080000 - 112000/ 1770000 = $1.11.

For silver mine, the depletion expense = 1840000 - 0/ 131000 = $14.05.

For Gold mine, the depletion expense = 3070000 - 0/63000 = $48.73.

STEP TWO : Determine or calculate the total depletion expense.

For the year 2018, the total depletion expense for; (a). silver mine= 14.05 × 14800 = $ 207,940.

(b). Timber = 1.11 × 51000 = $566100.

For 2019, the the total depletion expense for; (a). silver mine= 14.05 × 29000 = 407,450

(b). Timber = 1.11 × 370,000 = 410,700.

(c). Gold mine = 48.73 × 4200 = 204,666.

(d). Oil reserve = 5.76 × 83,000 = 478,080.

STEP THREE:

SILVER MINE: 1840000

- Accumulated depletion = ($ 407,450 + $ 207,940) = 615,390.

(1). Thus, 1840000 - 615,390 = 1,224,610.

GOLD MINE = 3070000.

Accumulated depletion = 204,666.

(2). Therefore, we have 3070000 - 204666 = 2,865,334.

TIMBER: 2080000.

Accumulated depletion = ( $566100 + 410,700) = 976,800.

Residual value of land = #112000.

(3). Therefore, (2080000 - 976,800) - 112,000 = 991,200.

OIL RESERVES: 1376000.

Accumulated depletion= 478,080.

(4). Therefore, 1376000 - 478,080 = 897,920.

Hence, we have the total natural resources = (1) + (2). + (3). + (4). =

1,224,610 + 2,865,334 + 991,200 + 897,920 = $ 5,979,064.

Therefore, 5,979,064 - 112,000 = $ 5,867,064.

6 0

4 years ago

Gena Manufacturing Company has a fixed cost of $259,000 for the production of tubes. Estimated sales are 153,400 units. A before

blondinia [14]

Answer:

$2.51

Explanation:

Gena Manufacturing Company calculation for contribution margin unit

Using this formula

Fixed cost + Tax profit/Estimated sales units

Let plug in the formula

Where:

Fixed cost =$259,000

Tax profit=$126,034

Estimated sales units=153,400

Hence:

(259,000 + 126,034) / 153,400

=$385,034/153,400

= $2.51

Therefore the contribution margin that is required to attain the profit target will be $2.51

8 0

3 years ago

A product's purchase cost plus the discounted cost of maintenance and repair less the discounted salvage value gives the _______

CaHeK987 [17]

<span>I believe the answer for you question would be life-cycle</span>

4 0

4 years ago

The president believes that a $6,200 increase in the monthly advertising budget, combined with an intensified effort by the sale

nirvana33 [79]

<u>Solution and Explanation:</u>

calculating the increase in the net operating income is as follows:

S.no Particulars and explanation Amount

1. Sales ( $268000 + 84000 ) 352000

2. Contribution ( 1 multiply with 40 percent) 140000

3. Fied expense ( $119200 plus $6200 ) 125400

4. Net operating income ( 2 step minus 3 step) $14600

therefore, net operating income increased by $ 14600 plus $12000

Note: the sales were not given, so i have taken or assumed. Please change the figure if there is different figure of sales in the question given.

3 0

3 years ago