Answer:
$185,400
Explanation:
Price of next best alternative = $150,000
Expected crash system saving:
= (Probability of crash × cost of a system crash) - (Probability of machine will crash × cost of a system crash)
= [(15% × 500,000) - (5% × 500,000)]
= $75,000 - $25,000
= $50,000
Added operating cost true economic value:
= (Number of hours in 365 days × machine cost per hour) - (Number of hours in 365 days × Next best alternative cost per hour)
= [(2,920 × $20/hr) - (2,920 × $15/hr)]
= $58,400 - $43,800
= $14,600
True economic value (TEV) of the machine:
= Price of next best alternative + Expected crash system saving - Added operating cost true economic value
= $150,000 + $50,000 - $14,600
= $185,400
Answer:
B) Anticipatory Grief
Explanation:
As Khalid has found out that his friend Jason is terminally ill. This has made him feel sad and lonely at the thought of living life without his friend. Khalid's feelings best represent the concept of anticipatory grief which refers to the feeling of sadness and grief occurring before the actual happening of that loss. We become sad and emotional even before the actual happening of some incident. For example, when our dear friend is in hospital after a sever accident, then we start feeling this anticipatory grief that the chances are more that he will be dead soon so we feel more grief and sadness.
Answer:
The effect that will happen on the net income is an increase in $6,000.
Explanation:
For this product, we have:
Price: $90.
Variable cost: $28
Allocated fixed cost: $18
There is an opportunity to sell 3,000 units at $30, and the firm has excess capacity.
As the allocated fixed cost only counts for the existing level of production (before accepting the 3,000 additional units), they don't matter in the decision.
With excess capacity, the firm only incurs in the variable cost of $28 per unit. If the price is $30, the variation in the net income will be:
The effect that will happen on the net income is an increase in $6,000.
Answer:
Shirley receive 2,126.16 dollars for each pay period.
Explanation:
the saving are considered part of his net earnings. The employeer gives a certain amount and from there, Shirley makes a save.
gross pay: 2,327
insurance premium 22.82
Socal Security (6.2%) 144.274
medicare (1.45%) 33.7415
Total deductions 200.8355
Net pay: 2,126.1645 ≈ <em>2,126.16</em>
Answer:
Economies of scale
Explanation:
Economies of scale is described as the cost benefit or advantage which is experienced through the firm, when it rises the output level. Under economies of scale, the fixed costs did not vary or change with decreases or increases in the units of the production volume and the variable costs are dependent with rise in the output.
So, in this case, when the circumference is doubled of the oil pipeline, more than the volume doubles. This technique is selected through the large firms or business as it will result in the economies of scale.
