Answer:
Fixed costs= 510
Explanation:
Giving the following information:
Month Maintenance Expense Machine Hours
1 $ 3,480 2,380
2 3,670 2,480
3 3,850 2,580
4 3,980 2,610
5 3,980 2,460
6 4,400 2,620
7 3,970 2,600
8 3,780 2,570
9 3,500 2,390
10 3,120 2,260
11 2,960 1,650
12 3,240 2,250
To calculate the fixed costs, we need to use the following formulas:
Variable cost per unit= (Highest activity cost - Lowest activity cost)/ (Highest activity units - Lowest activity units)
Variable cost per unit= (4,400 - 2,960) / (2,620 - 1,650)
Variable cost per unit= $1.484536
Fixed costs= Highest activity cost - (Variable cost per unit * HAU)
Fixed costs= 4,400 - (1.484536*2,620)
Fixed costs= $510
Fixed costs= LAC - (Variable cost per unit* LAU)
Fixed costs= 2,960 - (1.484536*1,650)
Fixed costs= 510
the answer is D, demand for food is inelastic
Answer:
4.90
Explanation:
Given: Year 2 year 1
net sales: $652,000 $583,800
Cost of goods sold: $389,400 $360,930
Ending inventory $78,600 $80,280
We know, Inventory turnover= 
First, lets find out the Average inventory.
Average inventory= 
∴ Average inventory= 
Hence, Average inventory= is 79440.
Now, finding the inventory turnover for year 2.
Inventory turnover= 
∴ Inventory turnover= 4.90
Hence, Inventory turnover for year 2 is 4.90
Answer:
To qualify, the goods exported must have <u>50</u> percent U. S. content. This results in a tax reduction of <u>15</u> percent.
Explanation:
Foreign sales corporations (FSC) no longer exist. The FSC corporation had to be set up in the US, but it had to operate in foreign countries that complied with information agreements with the US government (IRS). It helped exporting companies to lower taxes, but they ceased to exist in year 2000.
Answer:
1. The firm does not have excess capacity.
Minimum transfer price on full capacity = Variable Cost + Contribution to be Lost
Minimum transfer price on full capacity = $360 + ($600 - $360)
Minimum transfer price on full capacity = $360 + $240
Minimum transfer price on full capacity = $600
Transfer Price = $600 per Unit (Market price per unit).
2. The firm does have excess capacity. Minimum transfer price on excess capacity = $360 per Unit (Standard Variable Manufacturing cost per unit).
