Answer:
The employees in Mexico can either produce 2 cars or 50 bushels of wheat.
This means that the opportunity cost of producing 50 bushels of wheat is 2 cars.
For 1 bushel of wheat therefore;
= 2/50
= 0.04 cars
Opportunity cost of producing a car in Mexico will be;
= 50/2
= 25 bushels of wheat.
The opportunity cost of producing a car in Mexico is 25 bushels of wheat, and the opportunity cost of producing a bushel of wheat in Mexico is 0.04 cars.
Answer:
E) Annuity B has a smaller present value than annuity A.
Explanation:
A fix Payment for a specified period of time is called annuity. The discounting of these payment on a specified rate is known as present value of annuity and Compounding of these values is known as the future value of annuity.
Annuity paid at the start of each period is advance annuity and paid at the end of each period is ordinary annuity.
While Calculating the present value of the annuity, the Present value of advance annuity is higher than the present value of ordinary annuity.
Answer:
Alpha Technology
Outstanding Computer's consumption ratio for setup hours is:
b. 0.48
Explanation:
a) Data and Calculations:
Overhead activities and costs:
Setting up equipment $3,000
Machining $15,000
Excellent Outstanding
Laptops Computers
Direct Labor $25,000 $10,000
Direct Materials $20,000 $5,000
Expected Production in Units 3,000 3,000
Machine Hours 850 2,000
Setup Hours 80 75
Total setup hours = 155 hours
Outstanding Computer's consumption ratio for setup hours = 75/155 * 100
= 48%
Answer:
Is irrelevant in decision making
Explanation:
Since the suck cost is the cost that no longer is recovered so it should not be a factor to consider when making a decision. For example, you have bought a cinema ticket for this evening, but it is heavily rainy so you may get sick if you go to the cinema. The fact that you have paid for this ticket should not consider whether to go or stay home since you can not get this amount of money no matter what happens.
I believe it’s b I’m sorry if I’m wrong
