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Katen [24]
4 years ago
5

Pine Street Inc. makes unfinished bookcases that it sells for $62. Production costs are $36 variable and $10 fixed. Because it h

as unused capacity, Pine Street is considering finishing the bookcases and selling them for $70. Variable finishing costs are expected to be $6 per unit with no increase in fixed costs. Prepare an analysis on a per unit basis showing whether Pine Street should sell unfinished or finished bookcases. (Round answers to 2 decimal places, e.g. 15.25. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)
Business
1 answer:
Gelneren [198K]4 years ago
3 0

Answer:

They should continue production to finished bookcases.

Explanation:

Giving the following information:

Pine Street Inc. makes unfinished bookcases that it sells for $62. Production costs are $36 variable and $10 fixed. Because it has unused capacity, Pine Street is considering finishing the bookcases and selling them for $70. Variable finishing costs are expected to be $6 per unit with no increase in fixed costs.

Unfinished bookcases profit= 62 - 36 - 10= $16

Finished bookcases profit= 70 - 46 - 6= $18

They should continue production to finished bookcases.

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Sally has seen such great interest in her scented candles that she has decided to start her own small business selling them. Sal
Svetradugi [14.3K]

Answer: True

Explanation:

Sally by taking her business to the internet can now be able to reach a global customer base, therefore this increases her business scope.

This implies she can now reach the same wide range of distribution of customers with a her small business as large companies could, by simply creating a website for her business and placing it on the world wide web.

5 0
3 years ago
McLin, Inc., is a calendar year S corporation. Its AAA balance is zero. Determine the tax aspects of the following transactions.
S_A_V [24]

Answer:

$10,000

Explanation:

Given that:

McLin holds $90,000 of AEP,  this implies what is salary is made of;

Tobias, the sole shareholder, has an adjusted basis of $80,000 in his stock.

Tobias is paid a $90,000 salary income.

Ignore the 20% QBID

We are to determine the  tax aspects of the  transactions

Since the company receives a  $90000 for salary expense. Thus Tobias basis is zero, then :

The tax aspect of the transaction  is : ($90000 - $80000)

The tax aspect of the transaction = $10,000

7 0
3 years ago
What is a contributing factor to the varied levels of economic development across the eastern mediterranean sub-region?
mamaluj [8]

The biggest aspect that limits farming in the Eastern Mediterranean is the split of tectonic plates.

<h3>Why have many economies of the Eastern Mediterranean sub-region been slowly developing?</h3>

They don't have much oil. They lean on agriculture, very small deposits of minerals, and manufacturing. Give illustrations of successful human intervention to rescue the environment of the Eastern Mediterranean sub-region.

Differentiate the conditions of coastal and inland subregions of Eastern Mediterranean nations. a. Coastal subregions include a Mediterranean climate, while inland areas have semi-arid steppe and/or arid desert circumstances.

To learn about the Eastern Mediterranean sub-region visit the link

brainly.com/question/20910410

#SPJ4

3 0
1 year ago
An investment property with 10 residential units rents for $2,000 per unit per month. The rate of vacancy and collection loss is
irinina [24]

Answer:

$1,815,000

Explanation:

First we must determine the gross income = $2,000 x 10 units x 12 months = $240,000

minus the vacancy rate = $240,000 x 5% = $12,000

minus the annual expense = $10,200

net income = $240,000 - $12,000 - $10,200 = $217,800

to calculate the maximum amount that the investor should pay we must divide the net income by the expected rate of return = $217,800 / 12% = $1,815,000

When you are calculating a project's price (buying this asset is an investment project), depreciation and debt service are not included in the calculations.  

5 0
3 years ago
Which quote best represents a person performing a cost-benefit analysis​
sergiy2304 [10]
I need help on that too
4 0
3 years ago
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