Remainder part of the question:
This turned out to be a very poor growth strategy because
A. the capital stock was increasing less rapidly than technology.
B. the amount of labor per unit of capital was increasing.
C. there were diminishing returns to capital.
D. the amount of capital per hour worked was decreasing
Answer:
Option C There were diminishing returns to capital.
Explanation:
The reason is that the investment gave diminishing returns which didn't covered its cost of capital (the cost that we pay to finance providers). This diminishing returns limited the investment in the forthcoming period and as result we see the fall of Soviet Union. So this option provides a better insight to the poor growth strategy. The investment must be in projects that generates greater value to the organization.
It's C for sure because according to the question cause theirs an opening in any wall
Answer:
This method encourages the selling division to operate efficiently.
Explanation:
Absorption cost transfer pricing is very essential to determine the right amount in which goods and services will be sold in the market. It involves setting a price for a particular product with inclusion of all its variable costs.
Absorption cost transfer pricing enables an organization to maximise profit this is because all the different cost incurred during production are added to the price of the product.
Answer:
$218,400
Explanation:
The computation of contribution margin is here below:-
Units Cost per unit Total
Sales 6,000 $88 $528,000
Less:
Variable production cost 6,000 $40.8 $244,800
Variable selling and
administrative costs 6,000 $10.8 $64,800
Contribution margin $218,400
Therefore the we multiplied the sale unit with cost per unit, in the similar way we multiplied the Variable production cost unit with cost per unit and Variable selling and administrative costs with cost per unit to reach the contribution margin.
Answer:
Annual deposit= $188,842.66
Explanation:
Giving the following information:
Williamsburg Nursing Home is investing in a restricted fund for a new assisted-living home that will cost $6 million.
n= 15 years
i= 10%
We need to use the following formula:
FV= {A*[(1+i)^n-1]}/i
A= annual deposit
Isolating A:
A= (FV*i)/{[(1+i)^n]-1}
A= (6,000,000*0.10)/[(1.10^15)-1]
A= $188,842.66