(d.) ECONOMIES OF SCALE
Economies of scale is achieved when the average goods and services decrease whereas the volume of the goods and services increases.
Diseconomies of scale is achieved when the average unit cost of goods and services increases with the increase in the volume of goods and services.
Answer:
D. 13,000.
Explanation:
The computation of the equivalent units of direct materials for April month is given below
= Number of units completed + ending units remained in production × completion percentage
= 9,000 units + 4,000 units × 100%
= 9,000 units + 4,000 units
= 13,000 units
All the other information that is mentioned is not relevant. Hence ignored it
Answer:
e. Working to ensure that all variances are favorable.
Explanation:
the steps in effective management of variance analysis
Identifying questions and their explanations
Preparing standard cost performance reports
Taking corrective and strategic actions
Computing and analyzing variances
So the option is E.
Working to ensure that all variances are favorable.
<span>Guiding, teaching, and supervising employees are activities associated with leading.
If a person is guiding someone or a group of people, he acts as a leader so that is why it is associated with leading. Similar is the case with teaching and supervising employees, a person acts as a leader for other.</span>
Answer:
the lowest operating cost is achieved when mine 1 is operated for 0 hours and mine 2 is operated for 2 hours.
Explanation:
Mining hours of mine 1: M1
mining hours of mine 2: M2
Objective function: Minimize operating cost < 200M1 + 160 M2
Explicit constraints:
6M1 + 2M2 ≥ 12
2M1+ 2M2≥ 8
4M1+ 12M2 ≥ 24
Implicit constraints:
M1> 0
M2>0
See the attachment for feasible region
The coordinates of feasible region are (0,0), (2,0),(0,2),(1.5,1.5)
To maximize cost substitute each of these coordinates in objective function
for(0,0)
cost=0 (neglect this cost since M1>0 and M2 >0)
for(2,0)
cost= 320
for (0,2)
cost= 400
for (1.5,1.5)
cost= 540
the lowest operating cost is achieved when mine 1 is operated for 0 hours and mine 2 is operated for 2 hours
