Answer:
Burns Industries
Using an incremental analysis approach, Burns should consider accepting this special order only if the price per unit offered by Allen is at least:
above $38 (the variable cost per unit).
Explanation:
a) Data and Calculations:
Monthly production and sales units = 18,000
Production capacity per month = 33,000 units
Costs at the 18,000-unit-per-month level of production:
Variable costs = $38
Fixed costs = 23
Total per unit = $61
Selling price per unit = $78
Special offer for 4,800 saws per month, without changing the fixed manufacturing costs.
b) Incremental analysis approach is a management decision technique that specifies that only relevant, marginal, or differential costs should be taken into account. It rules out the inclusion of sunk or fixed costs, which do not change between alternatives.
The difference between a divine command view and authoritarian view is that the authority figure is different-Yes the statement holds true
Explanation:
<u>In a Divine Command of View</u>
we often come across statement like -"I would do what God or the scriptures say is right'
As per this point of view the right and wrong are determined by a supernatural supreme being, whose will we discern from sacred texts and divinely inspired messengers.
<u>Authoritarian View</u>
An example of Authoritarian view is sentence like " I would follow the advise of an authority"
According to this view the right and wrong is decided by the authorities.The power of taking decision rest in the hands of a particular authority.
Downside of this view is that : authorities do not always reflect wisdom and not all authorities agree.
As you can see that the difference between the two view point is the authority figure.So the answer is True
Answer:
Fixed price contract
Explanation:
A fixed price contract states that price for services rendered is fixed as mentioned in the contract irrespective of time taken and resources used.
Price cannot be revised in case effort and time has increased more than expected. In this case, Mister Plow cannot ask for more money as service contracts are fixed price contracts and terms of contract including price cannot be changed.
Answer:
Weighted average cost per unit = $10.10
Explanation:
We know,
Under weighted average unit cost, the cost for purchased inventory = Total inventory costs ÷ total inventory in units
Given,
Total inventory in units = 205 + 310 = 515 units
Total inventory costs = (205 units × $9.50) + (310 units × $10.50)
= $1,947.50 + $3,255 = $5,202.50
Therefore,
Weighted average cost per unit = $5,202.50 ÷ 515 units
Weighted average cost per unit = $10.10
Therefore, the company will use this cost per unit to determine cost of goods sold and ending inventory.
Answer:
b. Only Emerald Corporation's current ratio will be increased.
Explanation:
Given that
Emerald current ratio is
= 0.5 i.e. = 0.5 ÷ 1
now in case when the current liability is doubles , so the current assets is
= 0.5 + 1 = 1.5
And, the cuurrent liabilities is
= 1 + 1
= 2
so new ratio is
= 1.5 ÷ 2
= 0.75
Now
Ruby current ratio is
= 1.5
i.e. = 1.5 ÷ 1
Now in case when the current liability is doubled,
the current assets is
= 1.5 + 1
= 2.5
And, current liabilities is
= 1 + 1
= 2
Now new ratio is
= 2.5 ÷ 2
= 1.25
Therefore the emerald current ratio is rised from 0.5 to 0.75
And, the Ruby's ratio has decline from 1.5 to 1.25
