Answer:
Break-even point in dollars= $36,364
Explanation:
Giving the following information:
A firm is selling two products, chairs and bar stools, each at $50 per unit. Chairs have a variable cost of $25, and bar stools $20. The fixed cost for the firm is $20,000.
To calculate the break-even point in dollars for the firm, we need to use the following formula:
Break-even point (dollars)= Total fixed costs / [(weighted average selling price - weighted average variable expense)/ weighted average selling price]
weighted average selling price= (selling price* weighted sales participation)= $50
weighted average variable cost= (variable cost* weighted sales participation)
weighted average variable cost= (25*0.5 + 20*0.50)= $22.5
Break-even point in dollars= 20,000/ [(50 - 22.5)/ 50]= $36,364
Answer:
858,085 shares must be sold
Explanation:
Net amount to be raised $ 13,000,000
Add: floatation expenses 165,000
Amount to be available after
payment of underwriting compensation 20,165,000
No of shares to be issued at 23.50 $ = 20,165,000/23.50 = shares, rounded off to 858,085 shares.
858,085 shares must be sold
$60, because 4 percent of 300 is 12, and 12*5 years is $60 earned through interest.
The answer is 60.
Answer:
a. Overhead Allocation Rate = $40.00
b.Overhead Allocation Rate = $120.00
Explanation:
Please see attachment.
Answer:
a. 0.0124
b. 12
c. 0.0054
d. 5
e. advantage of reducing process variation is that probability of defect item is decreased
Explanation:
mean = 6
SD = 0.1
a)probability of a defect = 1 - P(5.75 <X <6.25)
= 1 - P(-2.5<Z <2.5)= = 1 - 2(0.9938-0.5) = 2(1-0.9938) = 2*0.0062 = 0.0124
b)In a production run of 1000 parts,number of defects would be found = 1000*0.124 = 12.4 = 12
c)1 - P(5.75 <X <6.25) = 1- P(-0.25/0.09 <Z < 0.25/0.09) = 1- P(-2.777 <Z<2.777)= 1 - 2 (0.9973 -0.5)
= 2 ( 1 - 0.9973) = 2*(0.0027) =0.0054
d)In a production run of 1000 parts,number of defects would be found = 1000*0.0054 = 5.4 = 5
e) advantage of reducing process variation is that probability of defect item is decreased.
