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Y_Kistochka [10]
3 years ago
15

A foreign exchange student bought a used car for $10,000 and resold it one year later for $6,500. Insurance, license, and operat

ing costs for the year were $1,500. What was his economic cost of owning and operating the car for the year if the market rate of interest was 10 percent?
Business
1 answer:
lidiya [134]3 years ago
7 0

Answer:

$6000

Explanation:

Break up of the economic cost of owning and operating the car for the year is mentioned below:

Car Bought -                                                     10,000

Add: Insurance, license and operating cost - 1,500

Add: Interest (10,000 * 10%) -                           1,000

Less: Car resold -                                             (6,500)

Total -                                                                6,000

Therefore, economic cost of owning and operating the car for the year was $6,000.

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Fedor, Inc. has prepared the following direct materials purchases​ budget: Month Budgeted DM Purchases June $ 69 comma 000 July
cricket20 [7]

Answer:

C) $77,090

Explanation:

June 69000 (40% in July, 50% in AUgust)

July 80000 (40% in August, 50% in Sepetember)

August 77500 (40% in September, 50% in October)

September 77900 (40% in October)

October 71800 (10% in October)

Total budgeted cash payments in October = 71,800 x 10% + 77,900 x 40% + 77,500 x 50% = 77,090

6 0
4 years ago
Jack Spratt is the production manager for a manufacturing firm that produces wizzy-gadgets and other items. The annual demand fo
Assoli18 [71]

Answer:

200 units      

Explanation:

For computing the number of units produced each time we need to applied the economic order quantity formula which is shown below:

= \sqrt{\frac{2\times \text{Annual demand}\times \text{Ordering cost}}{\text{Carrying cost}}}

where,

Annual demand is 1,600 units

Ordering cost per order is $25

And, the carrying cost or holding cost per unit per year is $2

Now placing these values to the above formula

So, the economic order quantity is

= \sqrt{\frac{2\times \text{1,600}\times \text{\$25}}{\text{\$2}}}

= 200 units          

8 0
4 years ago
Roger inherited 100 shares of Periwinkle stock when his mother, Emily, died. Emily had acquired the stock for a total of $60,000
Serjik [45]

Answer:

Please see attachment

Explanation:

Please see attachment

4 0
3 years ago
Simply selling state-owned assets to private investors is not enough to guarantee economic growth.
Olenka [21]
The answer is true because consumers wouldn't have the same success in this economy and it needs growth and change in order for it to maintain stability
7 0
3 years ago
Speaker City designs and manufactures high-end home theater speakers. Speaker City uses a standard overhead rate of 2.0 hours pe
olya-2409 [2.1K]

Answer:

$18,100 unfavorable

Explanation:

The computation of the total variable overhead variance is shown below:

Total variable overhead variance = Standard variable overhead cost - Actual variable overhead cost

where,

Standard variable overhead cost is

= 2 hours × 400 units × $8 per hour

= $6,400

And, the actual variable overhead cost is $24,500

So, the  total variable overhead variance is

= $6,400 - $24,500

= $18,100 unfavorable

Since the actual variable overhead cost exceeds then the standard variable overhead cost so it reflects the unfavorable variance

8 0
3 years ago
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