Answer: company’s direct labor budget = $320000
Explanation:
Given that,
Standard hourly labor rate in the Cutting Department = $12
It takes 30 minutes of direct labor time to cut the lumber
Tables take one hour to assemble
Standard hourly rate in the Assembly Department = $10
Lunchco’s production budget = 20,000
Cutting Department = production budget × direct labor time × Standard hourly labor rate
= 20000 × 0.5 hours/unit × $12/unit
= $120000
Assembly Department = production budget × Tables take one hour to assemble × Standard hourly labor rate
= 20000 × 1 hour/unit × $10/unit
= $200000
Therefore,
company’s direct labor budget = Assembly Department + Cutting Department
= 200000 + 120000
= $320000
Answer:
R(pref) = 12.73%
Explanation:
Hi, there is several things here that will only get you confuse, first, there is no use for the market rate of return, we need to find how much issuing this preferred stocks costs to the company.
Second, preferred stocks are not tax deductable therefore there is no point into mentioning the tax-rate of the company.
i think it should be relevant for this type of exercises to mention that a "7% preferred stock outstanding" means that the company is paying 7% of $100 as a fixed payment for every preferred stock.
For all of the above, the answer to this question can be found by using the following formula.
Best of luck.
1. = A
2. = B
3. = D
4. = E
5. = C
Probably....