Answer:
branily plus will help a lot better trust me
Explanation:
The amount that the company is willing to pay is $12.50.
<h3>What is
CM per pounds?</h3>
CM per pounds means the Contribution margin per pounds that we will calculate below.
Particulars Amount
Selling price $125
Less: Variable cost
Material $40
Labor $22.5
Variable cost <u>$12.5</u>
CM per unit $50
Divide: Pounds used <u>$4</u>
CM per pound <u>$12.5</u>
In conclusion, the amount that the company is willing to pay is $12.50.
Read more about Contribution margin
<em>brainly.com/question/15684424</em>
A cash reserve is a money that your company has in the bank in case of unexpected financial needs or in case the sales slow down. This money will help the company sustain all the needed expenses during the time that the COmpany is going through a financial issue.
Answer:
The correct option is C) $1600 cost increase.
Explanation:
COST OF BUYING WOULD BE = 4000 UNITS X $8
= $32,000
COST FOR MANUFACTURING THE PART WOULD BE =
4000 UNITS X $9 - 4000 UNITS X $.60
here we are subtracting the fixed cost from the total cost of manufacturing,a s only the variable cost would be taken in to account.
= $36,000 - $2400
= $33,600
So the difference between making product and buying product is $1600, therefore there would be increase of cost by $1600.