Expert systems: select one:

Exercise 19-13 Variable cost analysis for a special order LO A1 Grand Garden is a luxury hotel with 160 suites. Its regular suit

zysi [14]

Answer:

If the special offer earns a positive contribution margin, we should accept the special order.

Explanation:

Given that,

No. of suites in luxury hotel = 160

Regular suite rate = $210 per night per suite

Hotel’s cost per night = $135 per suite

Variable direct labor and materials cost = $36

Fixed cost = 99

Total cost per night per suite = $135

Contribution margin per night per suite:

= Room rate per night - Variable cost per night

= $94 - $36

= $58

Contribution margin from special offer:

= Contribution margin per night per suite × Number of nights × Number of suits

= $58 × 3 × 45

= $7,830

Management should accept the special offer.

When the company receives offer, the hotel is running at low season. occupancy rate is 55%

If the special offer earns a positive contribution margin, we should accept the special order.

Room rate is $94 for special order.

8 0

3 years ago

In the context of green marketing, ________ provides strong incentives for redesigning products in ways that make it easier to r

r-ruslan [8.4K]

Answer:

Take-back legislation

Explanation:

In the context of green marketing, take-back legislation provides strong incentives for redesigning products in ways that make it easier to reuse and recycle.

I hope it helps! Have a fantastic day!

Bored~

5 0

2 years ago

Lake Incorporated purchased all of the outstanding stock of Huron Company paying $967,000 cash. Lake assumed all of the liabilit

stich3 [128]

Answer:

Goodwill is $262,800

Explanation:

Goodwill is the excess of purchase consideration over fair value of net assets

Fair value of net assets is the fair value of total assets minus fair value of total liabilities

Fair value of total assets=$124,200+$757,000=$881,200

fair value of total liabilities=$177,000

fair value of net assets=$881,200 -$177,000=$704,200

Goodwill=purchase consideration-net assets

purchase consideration is $967,000

fair value of net assets $704,200

goodwill=$967,000-$704,200

goodwill=$262,800

The correct option is the third option in the multiple choices

3 0

3 years ago

Ireland Corporation obtained a $40,000 note receivable from a customer on June 30, 2011. The note, along with interest at 6%, is

Paul [167]

Answer:

$39,220

Explanation:

The maturity value of the note receivable on June 30, 2012

= Principal + Interest

= $40,000 + $40,000 x 6%

= $40,000 + $2,400

= $ 42,400

The note is discounted on September 30, 2011. Time period remaining to go till maturity as on September 30, 2011

= 12 - 3 months ( July, Aug and Sep)

= 9 months.

Amount of deduction

= $ 42,400 x 10% x 9/12

= $ 3,180

Finally, the Cash received by Ireland will be

= Maturity value - Discount

= $42,400 - $ 3,180

= $39,220

5 0

3 years ago

A buyer submits an offer to purchase to the listing agent. He finds out that more than several offers are coming in for the same

zmey [24]

A buyer submits an offer to purchase to the listing agent. He finds out that more than several offers are coming in for the same property. He can expect that all offers will probably be presented at the same time, and the seller will select among them.

Explanation:

In certain situations buyers have to consider multiple rival purchase deals. Sellers will deal with different deals in several ways.

Sellers should consider the "highest" bid; warn all potential buyers that other deals are "at the table;" they can "compare" one offer by put the another offer on the side pending a counter-offer vote, or they can "fight" one offer and refuse the other.

The various bargaining tactics that you can use in multiple deals agreements are advantages and disadvantages. The low initial bid may lead to the purchase of the property you want for less than the quoted price, or may lead to the acceptance of a higher offer from another bidder.

3 0

3 years ago