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aalyn [17]
3 years ago
14

Suppose that a firm makes two products, A and B. The sales mix in units for the period is 70% for A and 30 % for B. If the unit

contribution margin for A is $8.04 and the unit contribution margin for B is $5.92, then the weighted-average unit contribution margin is:
Business
1 answer:
disa [49]3 years ago
6 0

Answer:

The weighted-average unit contribution margin is $7.40

Explanation:

The weighted average unit contribution margin is given by the below formula:

weighted-average unit contribution margin=Wa*Margin of A+Wb*Margin of B

Wa is the weight of product A=70% or 0.70

Margin of product A is $8.04

Wb is the weight of product B =30% or 0.30

Margin of product B is $5.92

weighted-average unit contribution margin=(0.70*$8.04)+(0.30*$5.92)

weighted-average unit contribution margin=$ 7.40  

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Suppose a worker in Peru can produce 11 lamps or 4 dressers in a day and a worker in Canada can produce 15 lamps or 6 dressers i
wolverine [178]

Answer:

4/11 and 6/15 dressers.

Explanation:

Absolute advantage is the ability of a country to produce more of a product given the same resources than another country per unit time. It also applies when a country is able to produce same amount of goods with another country given less inputs.

So a country that produces more goods uses a more efficient process to get more output.

In this scenario a worker in Peru can produce 11 lamps or 4 dressers in a day and a worker in Canada can produce 15 lamps or 6 dressers in a day. Canada has absolute advantage in producing lamps and dressers, so importing these items will not be beneficial.

To get a balance where both countries will benefit a lamp will have to go for a ratio of each countrie's product to the opportunity cost.

That is for Peru to produce 4 dressers it will have opportunity cost of 11 lamps. So the ratio is 4/11.

Also for Canada to produce 6 dressers it will have opportunity cost of 15 lamps. So the ratio is 6/15.

Lamp should trade for between 4/11 to 6/15 dressers for both countries to benefit.

4 0
3 years ago
"Dubas Co. is a U.S.-based MNC that has a subsidiary in Germany and another subsidiary in Austria. Both subsidiaries frequently
OverLord2011 [107]

Answer:

$525,000

Explanation:

The computation of the net inflow or outflow is shown below:

= Total outflow - total inflow

where,

Total outflow = ∈2,000,000 × $1.05 = $2,100,000

Total inflow =  ∈1,500,000 × $1.05 = $1,575,000

Now put these values to the above formula  

So, the value would equal to

= $2,100,000 - $1,575,000

= $525,000

This amount shows a net outflow as total outflow is greater than the total inflow.

3 0
4 years ago
The Nautical Corporation manufactures custom-made wood wall units. The following data pertains to Job X4A: Direct materials plac
Leokris [45]

Answer:

Total Cost of Job X4A:                                             $

Direct material cost  ($9,000 x 500 units)              4,500,000                              

Direct labour cost (300 hrs x $15 x 500 units )       2,250,000

Overhead applied (100 hrs x $22.50 x 500 units)  1,125,000

Total cost                                                                    7,875,000

Explanation:

The total cost of Job X4A is the aggregate of direct material cost, direct labour cost and overhead applied. Overhead is absorbed on the basis of machine hours. Thus, we will multiply the overhead rate by machine hours and number of units produced.          

7 0
4 years ago
A clothing store sends out messages to cell phones of loyal customers informing them about offers. What can be a probable reason
aliina [53]

Answer:

c

Explanation:

8 0
3 years ago
Read 2 more answers
A company sells electronics and with a warranty attached and estimates that they will experience an estimated 5% of sales for wa
eimsori [14]

Answer:

b. debit warranty expense $10,000; credit estimated warranty liability $10,000

Explanation:

The journal entry to record the estimated warranty expense is shown below:

Warranty Expense  Dr $10,000  ($200,000 × 5%)

       To Estimated Warranty Liability $10,000

(being the warranty expense is recorded)

Here the warranty expense is debited as it increased the expense and credited the estimated warranty liability as it also increased the liability

Therefore the option b is correct

7 0
3 years ago
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