300 X $690 = $207,000
432 X $590 = $254,880
Hope this helps!
STSN
Answer:
1. Firms are operating in the short run - relatively inelastic
2. Firms would have a hard time storing their goods - relatively inelastic
3. Firms have a large amount of excess capacity - relatively elastic
4. Firms can easily relocate from one location to another - relatively elastic.
Explanation:
The price elasticity of supply is less in the short run than in the long run. In the short run supplier does not have enough time to adjust the production level so supply is inelastic. The firms facing hard to store their goods then the supply is inelastic. If the firm has spare capacity available then the supply is relatively elastic because supplier can produce more if the demand is greater. The mobility factor also effects elasticity, if firm can easily relocate itself then the supply is elastic.
Answer:
The correct word for the blank space is: lower; buyers to offer higher prices.
Explanation:
In a market driven by supply and demand laws, shortages are caused because of excess in demand as a result of lower prices. Thus, that price is lower than the equilibrium price. Besides, if there is a need to push that price to its equilibrium level, sellers will have to increase the price implying buyers will have to offer higher prices.
Answer:
$8000
Explanation:
Given: Budgeted Overhead $240,000
Budgeted Labor Hrs 60,000
Actual Labor Hrs for Job B25 200
Actual labor cost for B25 $2,200
Direct Material cost for B25 $5000
Standard/ Budgeted overhead absorption rate = Budgeted Overheads/ Budgeted labor hours = $240,000/60,000 = $4 per labor hours
Budgeted overheads for actual 200 labor hours = 200 × $4 = $800
Labor cost and material cost incurred for Job B25 = $2200 + $5000 = $7200
Add: Budgeted overhead cost for 200 labor hours = $800
Cost of Job B25 = $7200 + $800 = $8000
