Answer:
The statement is: True.
Explanation:
Motivation is what drives individuals or organizations to achieve their objectives. Leaders must find ways to keep their subordinates constantly incentivized so their productivity level remains at their highest level possible. In some other cases, reaching personal goals is what drives people. In such scenarios <em>pride, self-interest, </em>and <em>success</em> boost individuals' morale pushing them to their limits.
Complete Question:
BrainTrust company produces and sells educational toys for children. In pricing its product, the company needs to make sure it properly estimates its costs. The company can safely estimate that transportation is what percentage of total distribution cost?
a. 50%
b. 75%
c. 30%
d. 100%
Answer:
a. 50%
Explanation:
In this scenario, BrainTrust Company produces and sells educational toys for children. In pricing its product, the company needs to make sure it properly estimates its costs. The company can safely estimate that transportation is 50% of total distribution cost.
In supply chain management, the total distribution cost can be defined as the overall expenses incurred by a manufacturer in the process of delivering finished goods and services from the production stage to the final consumer. The total distribution cost can either be direct or indirect expenses incurred on insurance, handling, storage, shipping, packing and logistics.
<em>Generally, the total amount spent on the movement of goods and services from one location to another, usually accounts for half (50%) of the overall expenses incurred in total distribution cost. </em>
Answer:
Cost of merchandise sold = $ 28
Gross profit = $ 13
The ending inventory under the LIFO method = $ 18
Explanation:
Given:
October 5,
Purchased units = 1
Unit cost = $5
on October 12,
Purchased units = 1
Unit cost = $ 13
On October 28,
Purchased unit = 1
Unit cost = $ 15
Total cost of the 3 units purchased = $33
Now, the unit sold on October 31 will be the unit purchased in the end i.e on October 28
thus,
Cost of merchandise sold = $ 28
Gross profit = Selling price of the unit - Unit price of purchase
or
Gross profit = $ 28 - $ 15 = $ 13
now, the ending inventory under the LIFO method = $ 5 + $ 13 = $ 18
Answer:
The indifference point is 1,410 units
Explanation:
Giving the following information:
Machine A:
Fixed costs= $160,000
Unitary variable cost= $80
Machine B:
Fixed costs= $270,000
Unitary variable cost= $2
<u>First, we need to structure the total cost formula for each machine:</u>
Machine A= 160,000 + 80x
Machine B= 270,000 + 2x
x= number of units
<u>Now, we equal both formulas and isolate x:</u>
160,000 + 80x = 270,000 + 2x
78x = 110,000
x= 110,000/78
x= 1,410 units
The indifference point is 1,410 units
Answer:
Cost of equity = 11.7%
Explanation:
<em>The capital asset pricing model is a risk-based model. Here, the return on equity is dependent on the level of reaction of the the equity to changes in the return on a market portfolio. These changes are captured as systematic risk. The magnitude by which a stock is affected by systematic risk is measured by beta.</em>
Under CAPM, Ke= Rf + β(Rm-Rf)
Rf-risk-free rate,-4%, β= Beta-1.10, (Rm-Rf) = 7% ,Ke = cost of equity
Using this model,
Ke=4% + 1.10×7%
= 11.7 %
Cost of equity = 11.7%
