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ahrayia [7]
3 years ago
12

Strong company applies overhead based on machine hours. at the beginning of 20x1, the company estimated that manufacturing overh

ead would be $500,000, and machine hours would total 20,000. by 20x1 year-end, actual overhead totaled $525,000, and actual machine hours were 25,000. on the basis of this information, the 20x1 predetermined overhead rate was:
Business
1 answer:
Andrej [43]3 years ago
7 0
Hi there

predetermined overhead rate =
estimated manufacturing overhead ÷
estimated machine hours
So
predetermined overhead rate =
500,000÷20,000=25 per machine hour

Good luck!
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3 years ago
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Answer:

The correct option is increase; decrease; increase

Explanation:

First, we will define the following terms:

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  • Producer surplus
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<u>Consumer surplus</u> refers to the difference between the price that consumers pay and the price that they are willing to pay. Consumer surplus always increases as the price of a good falls and decreases as the price of a good rises. Therefore, in this scenario, as the country exports wheat, more wheat will be available in the market, leading to a fall in price, thereby leading to an increase in consumer surplus.

<u>Producer surplus</u> refers to the difference between how much a producer would be willing to accept for given quantity of a good against how much they can receive by selling the good at the market price. The difference or surplus amount is the benefit the producer receives for selling the good in the market. When prices rise, producer surplus increases, and when price falls, producer surplus decreases. There a decrease in price spurred by more wheat in the market will lead to a decrease in producer surplus.

<u>Total surplus</u> in a market refers to the measure of the total well-being of all participants in a market. Therefore, with more wheat in the market, there will be a drop in price, and consumers will be able to buy more, leading to more supply. This will lead to an increase in total surplus.

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Therefore from the scenario ,it is very obvious that Frank and Carole did not really know what they wanted or probably have not made up their mind concerning their decision on the property.

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dsp73

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