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
kow [346]
3 years ago
12

An economy is employing 2 units of capital, 5 units of raw materials, and 8 units of labor to produce its total output of 640 un

its. Each unit of capital costs $10; each unit of raw materials, $4; and each unit of labor, $3.
If the per unit price of raw materials rises from $4 to $8 and all else remains constant, the per unit cost of production will rise by about:

A) 50 percent.
B) 30 percent.
C) 40 percent.
D) 100 percent.
Business
1 answer:
fgiga [73]3 years ago
6 0

Answer:

B 30 percent

Explanation:

Initial cost of production = (2×$10) + (5×$4) + (8×$3) = $20+$20+$24 = $64

New cost of production = (2×$10) + (5×$8) + (8×$3) = $20+$40+$24 = $84

% rise in cost of production = (new cost - initial cost)/initial cost × 100 = (84 - 64)/64 ×100 = 20/64 × 100 = about 30%

You might be interested in
On November 1, Bahama National Bank lends $3.8 million and accepts a six-month, 6% note receivable. Interest is due at maturity.
babymother [125]

Answer and Explanation:

The journal entries are shown below:

a. Note receivable Dr $3,800,000

        To Cash $3,800,000

(Being the acceptance of the note is recorded)

For recording this we debited the note receivable as it increased the assets and credited the cash as it decreased the liabilities

b. Interest receivable Dr  $38,000

                 To Interest revenue  $38,000

(Being the interest revenue is recorded)

For recording this we debited the interest receivable as it increased the assets and credited the interest revenue as it increased the revenue

The computation is shown below:

= $3,800,000 × 6% × 2 months ÷ 12 months

= $38,000

,

7 0
2 years ago
Markley Manufacturing calculated its predetermined overhead rate to be 120% of direct labor cost. During June, the company incur
Nana76 [90]

Answer:

Applied Manufacturing Overheads are $102,000

Overapplied Manufacturing overheads are $18,000

Explanation:

Under or over applied manufacturing overhead can be determined by comparing the actual and applied manufacturing overheads.

Applied overheads can be calculated by multiplying pre-determined overhead rate and actual level of quantity. Predetermined overhead rate is calculated using estimated overhead and estimated activity on which overheads are applied.

In this question the predetermined overhead rate is 120% of direct labor cost.

Applied overhead = Direct labor cost x 120% = $85,000 x 120% = $102,000

Actual overheads incurred = $84,000

Overapplied Manufacturing overheads = $102,000 - $84,000 = $18,000

3 0
3 years ago
Using the fixed-order quantity model, which of the following is the total ordering cost of inventory given an annual demand of 3
Gennadij [26K]

Answer:

E) $2,400

Explanation:

optimal order quantity = sqrt{(2*D*S)/H}

                                     = sqrt{(2*36,000*$80)/$4}

                                     = $1,200

number of orders per year = $36,000/$1,200

                                             = $30

total ordering cost = $30*$80

                               = $2,400

Therefore, The total ordering cost of inventory is $2,400.

3 0
2 years ago
A bond with a face value of $1,000 that sells for $1,000 in the market is called a _____ bond.
sleet_krkn [62]
Have any answers to the question
6 0
3 years ago
Read 2 more answers
Select all the reasons to keep your money in a financial institution.
mr_godi [17]
All of them :) All those reasons.

5 0
2 years ago
Read 2 more answers
Other questions:
  • Ramona owns a small coffee shop, where she works full-time. Her total revenue last year was $100,000, and her rent was $3,000 pe
    15·1 answer
  • L Corporation produces and sells 15,100 units of Product X each month. The selling price of Product X is $21 per unit, and varia
    7·1 answer
  • How do u maintain your allowance
    10·1 answer
  • What has the U.S. government done to create economic growth, stability, full employment, freedom, security, equity, and efficien
    9·1 answer
  • When several hurricanes hit Florida in 2004, a number of local governments imposed price controls that prevented sellers from ra
    11·2 answers
  • Isle Co. owned a copy machine that cost $5,000 and had accumulated depreciation of $2,000. Isle exchanged the copy machine for a
    12·1 answer
  • Below is budgeted production and sales information for Flushing Company for the month of December. Product XXX Product ZZZ Estim
    5·1 answer
  • The following information pertains to Rik Co.'s two employees: Name Weekly salary Number of weeks worked in 2005 Vacation rights
    14·1 answer
  • The daily cost of producing pizza in New Haven is C(Q) = 4Q + (Q2/40); the marginal cost is MC = 4 + (Q/20). There are no avoida
    11·1 answer
  • Suppose the economy of the large country of Hendrix is currently experiencing economic growth and has a trade deficit. Consider
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!