Answer: This is because the marginal rate of technical substitution is the ratio of the marginal product of labour to that of capital and for the output to be constant opportunity cost comes in, one input has to be reduced to increase the other input.
Explanation:
The marginal rate of technical substitution (MRTS) shows the amount by which the quantity of an input can be lowered when an extra unit of another input is utilized on order for the output to remain constant.
The marginal rate of technical substitution is likely to reduce as more capital is substituted for labor because the marginal rate of technical substitution is the ratio of the marginal product of labour to that of capital and for the output to be constant opportunity cost comes in, one input has to be reduced to increase the other input.
Answer:
<em>B. vendor-managed inventory.
</em>
Explanation:
A simplified approach to inventory management and order fulfillment is the Vendor Managed Inventory (VMI).
VMI includes coordination between manufacturers and their customers (e.g. distributors, retailers, OEMs or end users of products) which transforms the conventional purchasing process.
VMI's <em>objective is to harmonize business goals for both suppliers and their customers and streamline supply chain operations.</em>
- Higher Sales.
- Best and Improved Service.
- Improved Inventory Turns
Answer:
$45,800
Explanation:
Coronado Industries
Cost of Equipment $762,00
Accumulated Depreciation
( $762,000 - 45,000 ) /10*9 years
=$717,000/10×9 years
=71,700×9 years
=$645,300
Therefore Dec 31,2012 book value of equipment will be:
= $762,000 - $645,300
= $116,700
Equipment sold $162,500
The gain to be recognize will be
= $162,500 - $116,700
= $45,800
1 January ,2012 to 31 December,2020 will give us 9 years
Answer:
D
Explanation:
WSPT assigns the highest priority to the job with the LOWEST weight/processing time ratio.
Answer: $379,500
Explanation:
Total Sales = <em>Break-even sales + Margin of Safety </em>
The Break-Even sales are therefore = 100% - 20%
= 80% of sales
Total Sales is therefore;
Break-even = 80% * Total Sales
Total Sales = Break-even/80%
= 759,000/0.8
= $948,750
Assuming no fixed costs, actual profit will be Sales less Variable expenses;
=Sales - Variable expenses
= 1 - 60%
Actual profit = 40% * Sales
= 40% * 948,750
= $379,500
