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3 years ago

When nations increase production in their area of _________________ and trade with each other, both sides can benefit.

Business

1 answer:

Elenna [48]3 years ago

7 0

Answer:

comparative advantage

Explanation:

Comparative advantage in finance is crucial for production because it helps nation to manufacture their goods with low opportunity cost compare to their co- partner in that production line.

Production which is an essential aspect in economics is a process of turning raw materials into finished goods are very crucial in each nation of the world and for economic process to be completed.

It should be noted that When nations increase production in their area of comparative advantage and trade with each other, both sides can benefit from it.

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The Dorilane Company specializes in producing a set of wood patio furniture consisting of a table and four chairs. The set enjoy

marin [14]

Answer:

1.COST BEHAVIOUR

Variable Fixed

$321,000 $182,000

SELLING OR ADMINISTRATIVE

Cost $197,000

PRODUCT COST

Direct Indirect

$212,000 $94,000

2. $153 per set

3. I would expect the average product cost per set to increase.

Explanation:

1. Calculation to Enter the dollar amount of each cost item under the appropriate headings

COST BEHAVIOUR

VARIABLE FIXED

Direct labor $118,000 $0

Advertising $0 $50,000

Factory supervision $0 $40,000

Property taxes, factory building$0 $3,500

Sales commissions$80,000 $0

Insurance, factory $0 $2,500

Depreciation, administrative office equipment$0 $4,000

Lease cost, factory equipment$0 $12,000

Indirect materials, factory $6,000 $0

Depreciation, factory building $0 $10,000

Administrative office supplies (billing) $3,000 $0

Administrative office salaries $0 $60,000

Direct materials used (wood, bolts, etc.)$94,000 $0

Utilities, factory $20,000 $0

TOTAL COSTS $321,000 $182,000

SELLING OR ADMINISTRATIVE

COST

Direct labor $0

Advertising $50,000

Factory supervision $0

Property taxes, factory building $0

Sales commissions $80,000

Insurance, factory $0

Depreciation, administrative office equipment $4,000

Lease cost, factory equipment $0

Indirect materials, factory $0

Depreciation, factory building $0

Administrative office supplies (billing) $3,000

Administrative office salaries$60,000

Direct materials used (wood, bolts, etc.) $0

Utilities, factory $0

TOTAL COSTS $197,000

PRODUCT COST

DIRECT INDIRECT

Direct labor $118,000 $0

Advertising $0 $0

Factory supervision $0 $40,000

Property taxes, factory building$0 $3,500

Sales commissions $0 $0

Insurance, factory $0 $2,500

Depreciation, administrative office equipment $0 $0

Lease cost, factory equipment$0 $12,000

Indirect materials, factory$0 $6,000

Depreciation, factory building $0 $10,000

Administrative office supplies (billing) $0 $0

Administrative office salaries $0 $0

Direct materials used (wood, bolts, etc.)$94,000 $0

Utilities, factory$0 $20,000

TOTAL COSTS $212,000 $94,000

Therefore the dollar amount of each cost item under the appropriate headings will be :

COST BEHAVIOUR

Variable Fixed

$321,000 $182,000

SELLING OR ADMINISTRATIVE

Cost $197,000

PRODUCT COST

Direct Indirect

$212,000 $94,000

2. Computation to determine the average product cost of one patio set.

Using this formula

Average product cost of one patio set =(Direct costs +Indirect costs)/Capacity set per year

Let plug in the formula

Average product cost of one patio set=($212,000+$94,000)/2,000 sets

Average product cost of one patio set =$306,000/2,000 sets

Average product cost of one patio set = $153 per set

Therefore The Average product cost of one patio set will be $153 per set

3. In a situation were the production drops I Would expect the average product cost per set to INCREASE, reason been that the fixed costs would extend over few units which will inturn cause the average cost per unit to increase.

3 0

3 years ago

Harley signs a check payable to Pro Accountants, P.C., and gives it to Pro, leaving the amount blank but authorizing the firm to

Evgen [1.6K]

Answer:

The correct answer to the following question is option C) $15,000 .

Explanation:

Harley signed and gave a blank check to the Pro accountants , and giving them them the authority to fill the amount by themselves but she had already came to an agreement with Pro accountant that the amount they would fill is $10,000 . But Pro accountants didn't do that, instead they filled the check for $15,000 , and gave the check to valley bank , now the valley bank has the full authority to enforce the full $15000 amount .

4 0

3 years ago

Which of the following is a characteristic of the 529 plan that makes it different from the Coverdell Education Saving Account?

BARSIC [14]

A: There is no age limit for disbursement of funds

3 0

3 years ago

Read 2 more answers

Santa Fe Company was started on January 1, Year 1, when it acquired $9,000 cash by issuing common stock. During Year 1, the comp

Nitella [24]

Answer:

All of the options are false.

Explanation:

The net income is an element that increases the owners' equity while dividend paid reduces it. Both are elements of the cash flows for operating and financing activities respectively.

Considering the information given;

Acquired $9,000 cash by issuing common stock - This is an inflow of cash and forms the owner's equity balance at the start of the year.

During Year 1, the company earned cash revenues of $4,500, paid cash expenses of $3,750 - These are elements of the income statement and will result in a net income of $500 ($4,500 - $3,750 - $250).

and paid a cash dividend of $250 - This is a reduction in the owner's equity and is a cash outflow.

Now a review of all the options;

a. The 2016 statement of cash flows would show net cash inflow from operating activities of $2,450. - Net cash flow from operating activities is $750 (($4,500 - $3,750). Hence this is false.

b. The 2016 income statement would show a net income of $1,300. - As shown in the consideration, this is false.

c. The 2016 statement of cash flows would show a net cash flow from financing activities of $9,700. - Net cash flow from financing is

= $9000 - $250 = $8750

d. The December 31, 2016 balance sheet would show total equity of $15,750 - Total equity

=$9000 + $4,500 - $3,750 - $250 = $9,500

Hence all of the options are false.

7 0

3 years ago

In a team, constructive criticism should focus on what particular team members are doing wrong and how those mistakes hurt the t

kondaur [170]

Answer:

False

Explanation:

Constructive criticism should not only focus on what people are doing wrong, that is just to criticize someone, there is nothing constructive about that. Constructive criticism is about letting other team members know what they are doing well, and what they are doing not so well (or simply wrong), but it should also include how they can use their abilities and capabilities to correct their mistakes.

4 0

3 years ago