Answer:
$3.00
Explanation:
Calaculation of the approximate overhead cost per unit of Product A under activity-based costing:
The first step is to calculate for the Activity 1 allocated to Product A line which is :
$87,000 × 3,000/5,800
=$261,000,000/5,800
=$45,000
The second step is to calaculate for Activity 2 allocated to Product A line which is :
$62,000 × 4,500/10,000
$279,000,000/10,000
=$27,900
The third step is to calculate for Activity 3 allocated to Product A line which is :
$93,000 × 2,500/7,750
=$232,500,000/7,750
=$30,000
The total overhead allocated to Product A
$45,000+$30,000+$27,900
= $102,900
Overhead per unit of Product A: $102,900/Annual production of 34,300 units
= $3.00
Therefore the approximate overhead cost per unit of Product A under activity-based costing will be $3.00
Answer:
The correct answer is a. menu costs
.
Explanation:
Menu costs are those that arise from changes in product prices. In order to implement any sudden change of this type, it is necessary to carry out a very thorough analysis in order to determine if it is profitable for an organization to make changes in prices, this action determines if said increase is enough to cover the costs of that change.
Answer:
-$1,500 more expensive
Explanation:
Calculation for How much cheaper or more expensive would it be to use the stainless-steel pump rather than a new brass pump
Using this formula
Cheaper or more expensive=Brass pump value-( Current pump value+Pump reconfigure extra amount spent)
Let plug in the formula
Cheaper or more expensive =$6,000-($7,000+$500)
Cheaper or more expensive =$6,000-$7,500
Cheaper or more expensive =-$1,500 more expensive
Therefore based on the information given the stainless steel pump will be $ 1500 more expensive than the brass pump.
If his starting balance is the $225.91
then his balance would be
-131.71
