Answer:
$ 3,085
Explanation:
Given that;
The present value(PV) ------ ???
Future payment (F) ---- $5,000
The annual effective rate are 4%, 5% and 5.5% respectively, which can be illustrated as;
r = 0.04, 0.05 and 0.055 respectively.
The present value formula is given as:


PV = 5000 × (1.04)⁻³(1.05)⁻²(1.055)⁻⁵
= $ 3,084.814759
≅ $ 3,085
Answer:
Toyosan's air bag was defective because it did not meet the expectations of a reasonable consumer.
Explanation:
Since the airbag was not as effective as it was expected by the customers, a suit against the car manufacturers from product liability may see the court conclude that the air bag was defective since it did not meet the expectations of a reasonable consumer which would have been protecting her head from hitting the steering wheel which still occured even tho the air bag was deployed.
1. Piecework
2. Salary
3. Hourly
4. Commission
Answer:
For the special order the company will not incur any additional fixed cost as the special order is within the normal range of production.
Sales ( 10000 * 5 ) 50000
(-) Direct materials ( 10000 * 1.75 ) 17500
(-) Direct labor ( 10000 * 2.50 ) 25000
(-) Variable overhead ( 10000 * 1.50 ) 15000
Income / (loss) (7500)
Required 1 :
Answer : Reject
Required 2 :
Answer : Decrease by 7500
Answer: Economies of Scale
Explanation:
Economies of scale refers to the tendency of costs to reduce per unit as the number of units produced increases. This is because the producer is able to share the costs amongst all the units produced.
George was getting those ingredients to make a single burger so the produce he used were small in quantity and cost him more. The companies that make sandwiches in large numbers buy and produce the ingredients in bulk which reduces their prices.
For example, George went to Minneapolis to get salt for one burger, those companies would go and get salt for 10,000 burgers at the same time which would reduce the cost by dividing it across the 10,000 burgers.
This cost saving from economies of scale enables the local deli to sell products at a cheaper rate than if we had to make them ourselves.