Answer: Option (b) is correct.
Explanation:
Given that,
Direct materials = $24
Direct labor = $10
Variable overhead = $8
Fixed factory (allocated) = $18
Overtime premium = $8 per unit
Purchased = 2,000 units at a special price of $48 per unit
Contribution Margin (2000 - 1000 units) = special price per unit - Direct materials - Direct labor - Variable overhead
= 48 - 24 - 10 - 8
= $6 per unit
Contribution margin for units produced during overtime = special price per unit - Direct materials - Direct labor - Variable overhead - Overtime premium
= 48 - 24 - 10 - 8 - 7
= $(-1) per unit
Total contribution = 1000 × 6 + 1000 × -1
= $6000 - $1000
= $4000 Profit
Therefore, additional profit will be generated by accepting the special order is $4000.
Answer:
Just in time inventory system
Explanation:
Just in time inventory system is on that ensures that the amount of a product needed is available to the consumer and no more is stockpiled.
For this inventory style to be successful the business will need to forecast accurately the demand of customers.
Just in time inventory system is aimed at increasing efficiency and reducing cost such as storage cost.
There is little or no delay time and idle-in process and finished goods inventory
<span>The fizz in coca cola cans is made up of carbon dioxide gas that is compressed. The gas is forced into soda can. The pressure is created when the gas molecules are forced into the tight space. When the can is opened the temperature and pressure changes cause the fizzing.</span>
Answer:
d. increases the earnings of some low-skill workers while reducing the employment and training opportunities available to others.
Explanation:
Minimum wage is a form of price floor. It is the lowest amount that should be paid to labour for their services rendered. It is usually set by the government or an agency of government.
Minimum wage causes supply of Labour to exceed demand for Labour. Firms would demand less of Labour because of higher cost of Labour. Decreased demand for Labour would increase unemployment.
Minimum wage isn't a price ceiling but a price floor.
Minimum wage increases the income of Labour.
