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dedylja [7]
3 years ago
8

Company A manufactures a moderately priced set of lawn games that sells for $125. The company currently manufactures and sells 2

,000 sets per year. The manufacturing costs include $40 for direct materials and $15 for direct labor per set. The overhead charge per set is $12, which consists entirely of fixed costs. Company A is considering a special purchase offer from a large retail firm, which has offered to by 500 sets for two years at a price of $110 per set. Company A has the available plant capacity to produce the order and expects no other orders or profitable alternative uses of the plant capacity. What is the total relevant cost per unit to produce the units requested by the retail firm
Business
1 answer:
AfilCa [17]3 years ago
5 0

Answer:

$27,500

Explanation:

As mention in the question the company selling the 2000 seats

also the manufacturing cost is =$40

Direct labor cost =$15

As the seat company  A =500 seats

So the Direct Material Cost= seat company  A allotment *manufacturing cost

=500*40

=$20,000

Also the Direct labor cost =seat company  A allotment *direct labor cost

=$500*$15

=$7500

Therefore the total relevant cost of the firm is

=Direct Material cost +Direct labor cost

=$20,000+$7500

=$27,500

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Determinants of market interest rates
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Answer:

1. Real risk-free rate.

2. Nominal risk free-rate.

3. Inflation premium.

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5. Liquidity risk premium.

6. Maturity risk premium.

Explanation:

Market interest rates can be defined as the amount of interests (money) paid by an individual on deposits and other financial securities or investments. The factors that typically affect the market interest rate known as the determinant of market interest rates are;

1. This is the rate on short-term U.S. Treasury securities, assuming there is no inflation: Real risk-free rate r*

2. It is calculated by adding the inflation premium to r*: Nominal risk free rate.

3. This is the premium added to the real risk-free rate to compensate for a decrease in purchasing power over time: Inflation premium.

4. This is the premium added as a compensation for the risk that an investor will not get paid in full: Liquidity risk premium.

5. This premium is added when a security lacks marketability, because it cannot be bought and sold quickly without losing value: Liquidity risk premium.

6. This is the premium that reflects the risk associated with changes in interest rates for a long-term security: Maturity risk premium.

7 0
3 years ago
The shortest possible time an activity can be completed realistically is called ___________ time.
alexira [117]
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6 0
3 years ago
An individual is at a restaurant with two other people and they are trying to determine the tip for their check total which came
wariber [46]

Answer: $10.00

Explanation:

The individual and the other two are trying to pay an 18% tip so the amount they should tip can be calculated by:

= Check total * 18%

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5 0
3 years ago
There are four resources and four jobs to be done. Assume there must be one-to-one matching between jobs and resources. The time
choli [55]

Answer:

1 → A ; 2 → C ; 3 → D ; 4 → B

Explanation:

From the given information, the table can be better structured as follows:

                       Job (Hours)

Resource               A                B               C                  D

1                              5                8                7                   7

2                             4                9                5                   9

3                             6                9                8                   7

4                             7                 6                6                   9

From the table, the allocation of resources is based on the minimum number of jobs i.e. time(hours) required to do all four tasks appropriately.

These are 1 → A ; 2 → C ; 3 → D ; 4 → B

Then, the time taken by this process is = (5 + 5 + 7 + 6)

= 23 hours

3 0
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Which new password is the strongest alternative to the weak password: "ilovedogs"?
pickupchik [31]
D. because you Have Caps on all, a symbol, A lower case, and a number
3 0
3 years ago
Read 2 more answers
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