1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
elena-14-01-66 [18.8K]
3 years ago
10

Tex's Manufacturing Company can make 100 units of a necessary component part with the following costs: Direct Materials $120,000

Direct Labor 25,000 Variable Overhead 45,000 Fixed Overhead 30,000 If Tex's Manufacturing Company can purchase the component externally for $190,000 and only $5,000 of the fixed costs can be avoided, what is the correct make-or-buy decision?
Business
1 answer:
Thepotemich [5.8K]3 years ago
3 0

Answer:

Is better to continue the production of the component as currently is taking allocated overhead from other department. Buying will inccur in a financial disadvangate of 25,000

Explanation:

<u>Make</u>

Direct cost:

DM                   120,000

DL                      25,000

VMO            <u>      45,000  </u>

Total Variable:  185,000

Tracable fixed cost: 5,000

Total cost:   190,000

<u>Buy option:</u>

purchase 190,000

unavoidable cost: (30,000 - 5,000) = 25,000

Total cost: 215,000

You might be interested in
Which cause of poverty would explain why low-skilled workers are hired when the economy is expanding but are the first to be lai
4vir4ik [10]

Lack of education and degree among these individuals. 

These type of workers are exposed only in physical labor which sometimes lack mental exertion. Intellectual skills are also required by most employers which most people who are unfortunate are not able to attain. Thank you for your question. Please don't hesitate to ask in Brainly your queries. 
5 0
3 years ago
Read 2 more answers
In the process of reconciling its bank statement for January, Maxi's Clothing's accountant compiles the following information:
Troyanec [42]

Answer:

$4,469

Explanation:

Calculation for what The adjusted cash balance per the books on January 31 is

Using this formula

Adjusted cash balance = cash balance per books -bank service charges - EFT automatically deducted - NSF Check

Let plug in the formula

Adjusted cash balance= $5325 - $31 -$500 -$325

Adjusted cash balance= $4,469

Therefore The adjusted cash balance per the books on January 31 is $4,469

5 0
3 years ago
50 - 3 = i bored wanna talk :)
Softa [21]
It’s 47, and what do you wanna talk about?
8 0
3 years ago
Read 2 more answers
You're trying to save to buy a new $220,000 Ferrari. You have $33,000 today that can be invested at your bank. The bank pays 4.0
Flura [38]

Answer:

The answer is 48.37

Explanation:

Future value (FV) = $220,000

Present value(PV) = $33,000

Interest rate(i) = 4 percent.

Number of years(N)= ?

Using the Texas BA II Plus financial calculator:

FV = 220,000; PV = - 33,000; I/Y= 4;

CPT N= 48.37

Therefore, the number of years is 48.37 years. It will take him 48.37 years to invest $33,000 today at a 4 percent rate in order to buy the car at a cost of $220,000

3 0
3 years ago
If you had a put option on the first of the month with an exercise price of $18 and if the option also expires on the first, the
zaharov [31]

If you had a put option on the primary of the month with an exercise rate of $18 and if the option also expires on the first, the fee of the choice might be: increase

A put option offers you the proper, but no longer the responsibility, to promote an inventory at a specific rate (known as the strike charge) by way of a particular time – at the choice's expiration. For this right, the put buyer can pay the seller an amount of cash referred to as a premium.

An instance of a put option: by purchasing a positioned option for $five, you now have the right to promote 100 shares at $a hundred in step with share. If the ABC organization's stock drops to $80 then you may exercise the option and sell a hundred shares at $100 according to proportion resulting in a complete profit of $1,500.

A put option is an agreement that offers its holder the proper to promote a number of fairness shares at the strike price, earlier than the option's expiry. If an investor owns stocks of stock and owns a placed choice, the option is exercised while the stock fee falls under the strike price.

Learn more about put option here: brainly.com/question/4490636

#SPJ4

6 0
2 years ago
Other questions:
  • The tv commercial claimed that the dodge brothers over a century ago believed that driving was a holy endeavor. the dodge brothe
    5·1 answer
  • Bauer Software's current balance sheet shows total common equity of $5,125,000. The company has 490,000 shares of stock outstand
    14·1 answer
  • In the context of the environment, globalization critics argue that Select one: A. manufacturing enterprises are put at a compet
    14·1 answer
  • Under market organization, individuals can communicate their preferences to other decision makers directly, through communicatio
    11·1 answer
  • For each transaction, indicate the transaction's effect on the company's accounting equation by selecting either increase, decre
    12·2 answers
  • Banks use your deposits to make loans to other individuals. true or false
    6·1 answer
  • What is a company doing if it requires customers to buy multiple products from that company to obtain the one product that the c
    5·2 answers
  • 3 tips you give someone who is about to invest their money<br> for the first time
    9·1 answer
  • A potentially huge hurricane is forming in the Caribbean, and there is some chance that it might make a direct hit on Hilton Hea
    13·1 answer
  • Amelia expects her friends to always be supportive of her no matter what they have going on and to understand when she is too bu
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!