<u>Solution and Explanation:</u>
The data of SAG of special order is given below:
Cost per unit = $3.50
, Allocated fix cost = $1.50
, Number of units in order = 15000
<u>Calculated the total cost of the special order as follows:
</u>
Incremental cost per unit = Cost per unit-Allocated fix cost =$(3.50 minus 1.50) =$2
Incremental cost per unit=cost per unit-allocated fix cost =$(3.50 minus1.50) =$2
Total incremental cost 15000 unit = number of units in order x Incremental cost per unit =15000 multiply $2 =$30000
Therefore, total cost of the special order is $30000
b) Offering price by ETU = $35000. Hence, the offer made by ETU would affect the short term of the special order.
Contribution cost = $(35000 minus 30000) =$5000
Answer:
employees may understate sales budgets and overstate expenses.
Explanation:
A budget is a financial plan used for the estimation of revenue and expenditures of an individual, organization or government for a specified period of time, often one year. Budgets are usually compiled, analyzed and re-evaluated on periodic basis.
The first step of the budgeting process is to prepare a list of each type of income and expense that will be integrated or infused into the budget.
A potential negative outcome of budgeting is that employees may understate sales budgets and overstate expenses. Thus, this would go a long way to alter or affect the budget plan.
Answer:
3. a smaller opportunity cost of investment and so planned investment spending increases.
Explanation:
Opportunity cost is defined as the foregone alternative when a person undertakes an activity. For example going to work is the opportunity cost of staying at home to rest.
Opportunity cost is weighed against activity to be undertaken.
In this instance the opportunity cost of investment is the alternative foregone by investors.
As interest rate decreases it makes investment attractive because the cost of doing business decreases. This make other alternatives less attractive (smaller opportunity cost).
Investment now increases.
The monetary regulation agencies use interest rate a tool to either boost or reduce investment. The higher the interest rate th lower investment, and vice versa
Do you agree that the employer usually has the upper hand when it comes to establishing the employment relationship?
Employer has control over creation of job, specifications of job, location of job, job retention and termination.
When might the employee have maximum power over the employer?
Employee has control, when a short supply of skill the employee possess the power.
Placed in reality, employee relations' (ER) is the term that defines the connection between employers and personnel. ER focuses both on individual and collective relationships in the place of business with an increasing emphasis on the connection among managers and their crew participants.
What is tremendous employment relationship?
The intention of nice worker family members is to create a culture in which body of workers and managers can be assertive in the context of a shared information and wonderful commitment to the enterprise approach and their rights and responsibilities.
Why is employment members of the family vital?
A fantastic employee members of the family climate and excessive ranges of worker engagement have the potential to bring higher enterprise outcomes as well as better fitness and well being for employees.
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