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Answer:
Indirect labour cost is the cost of workers who assist in or supervise the manufacturing process not linked to specific units of product.
The correct answer is C
Explanation:
Indirect labour cost is the cost of labour that is not directly traceable to a cost unit or cost center such as factory supervision cost.
Answer:
C. an increase in earnings of $0.20 per share, with no change in the multiple, would result in a market price increase of $2.40 per share.
Explanation:
The P/E ratio (also sometimes called "the multiple") is simply the current price per share divided by the earnings per share. (Price / Earnings = P/E) If you multiply both sides of that equation by Earnings, you get Price = P/E * Earnings.
So if you have P/E = 12 and Earnings = $2.50/share, the price would be 12 * 2.50/share = $30/share. That means a) and b) are both wrong.
It also means that 12 times the change in earnings will tell you the change in price (if the P/E multiple doesn't change). So a 0.20 rise in earnings will raise the stock price by 12 times that amount or $2.40/share. So c) is the correct answer.