Answer:
The variable cost per unit is $15.6
Explanation:
In this question, we are asked to calculate the variable cost per unit assumed in the Parents for better schools analysis
Mathematically, the Breakeven point can be calculated through the following formula:
Breakeven point = Fixed Cost/( Selling price per unit - Variable cost per unit)
From the question, we can identify the following;
The selling price per unit is $20
The Breakeven point = 800 books
Fixed cost = Amount invested = $3,600
Substituting these in the above written formula;
800 = 3,600/(20 - VC)
0.2222 = 1/(20-VC)
0.222(20-VC) = 1
4.44 - 0.22VC = 1
3.44 = 0.22VC
VC = 3.44/0.22 = 15.64
This is $15.6 to the nearest cent dollar per unit
Answer:
The correct answer is:
100,000 equivalent units (c.)
Explanation:
The equivalent units of production refers to all the units completely produced during the period, and this includes;
units completed and transferred out = 85,000 units
30% of ending work in process inventory = 30% of 50,000
= 30/100 × 50,000 = 0.3 × 50,000 = 15,000 units
∴ Equivalent units of production = (units completed and transferred out) + (30% of ending work in process inventory)
= 85,000 + 15,000 = 100,000 units.
Answer:
a. $65,000.
Explanation:
since the price index for year 20x0 is 1, then the inventory balance using dollar value LIFO = $65,000 / 1 = $65,000.
Dollar value LIFO works in cost layers, or pools of inventory.
E.g. the 20x1 inventory would be worth:
($126,000 / 1.05) = $120,000
($120,000 - $65,000) x 1.05 = $57,750
value of 20x1 inventory = $65,000 + $57,750 = $122,750
Answer:
PV= $1,876.87
Explanation:
Giving the following information:
Rosalie wants to have $7,500 in 18 years. Use the present value formula to calculate how much Rosalie should invest now at 8% interest.
We need to use the following formula:
PV= FV/(1+i)^n
PV= 7,500/(1.08^18)= $1,876.87