Answer:
1. $6.50 per machine hour
2. $920
3. $ 17.69
4. $21.23
5. <u>Pricing methodology - Cost plus Mark -up</u>
- This ensures that the price charged covers all costs related to the product, which is good for maintaining profits.
- However the price does not consider the market demand and competition which might affect sales volumes
Explanation:
<u>Predetermined overhead rate</u>
Predetermined overhead rate = Budgeted Overheads / Budgeted Activity
= $650,000 / 100,000
= $6.50 per machine hour
<u>Total manufacturing cost assigned to Job 400</u>
Direct material $450
Direct labor cost $210
Overheads Applied ($6.50 × 40) $260
Total manufacturing cost $920
<u>Unit product cost for Job 400</u>
Unit product cost = Total Cost / Number of units completed
= $920 / 52 units
= $ 17.6923
= $ 17.69
<u>Selling price if Moody uses a markup percentage of 120%</u>
Selling price = Unit product cost × 120 %
= $ 17.69 × 120%
= $21.23
Answer: d) The ratio considers differences between the market shares of the top four firms. It is NOT a feature of the four-firm concentration ratio.
Explanation:
The concentration index of a market is the market percentage of a number of companies in that market with respect to its total size. It is used to calculate the domain of one or more companies in their respective market. It is used to calculate the domain of one or more companies in their respective market. Therefore the concentration ratio of 4 companies calculates the total market percentage of these 4 companies and presents with respect to the total market, so it does not take into account the differences between the market shares of the four main companies.
Answer:
B
Explanation:
Opportunity cost refers to the benefit of something forgone in choosing an alternative.
the opportunity cost of 50 cars equals one airplane
the pairs of points that could be on the United States; production possibilities frontier is 200 airplanes , 12500 cars and 150 airplanes, 15 000 cars.
since 50 airplanes reduction = 50 × 50 cars increment = 2500 cars
$5000 is the GDP
Explanation:
GDP calculates the value of final goods and services produced in a given year. The value of goods and services produced is included in GDP measurement and not the value of goods and services sold.
GDP is the largest quantitative measure in the overall economic output of any country.In fact, GDP measures the monetary value of all goods and services produced over a given period within a country's geographical boundaries.
The GDP per capita ratio to the entire region's population is the average standard of living.