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Vlada [557]
3 years ago
12

Craig Manufacturing Company operates its three production departments within a single facility. Each department produces its own

products and maintains its own production equipment. Although they share a common facility, each department is overseen by a separate supervisor. Which one of the following costs is a direct cost of each department?
a. Lease payment on facility
b. Depreciation on the facility
c. Production supervisor salary
d. Plant manager salary
Business
1 answer:
Rus_ich [418]3 years ago
7 0

Answer:

Craig Manufacturing Company operates its three production departments within a single facility. Each department produces its own products and maintains its own production equipment. Although they share a common facility, each department is overseen by a separate supervisor. Which one of the following costs is a direct cost of each department?

Production supervisor salary

Explanation:

Production supervisor salary serves as the overhead cost that is attribute to the production in the manufacturing company, it is direct cost for each department since every department has a supervisor

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Other things being equal, an increase in the number of sellers of a good will _____ for that good.
Ahat [919]

Answer:

The correct answer is letter "C": decrease equilibrium price and increase equilibrium quantity .

Explanation:

An increase in the number of sellers in a market of a certain good implies the quantity demanded for that good will increase, thus the equilibrium quantity will be higher. According to the demand law, if the quantity demanded goes up, the price is likely to decrease, so, the equilibrium price will be lower.

Thus, <em>the increase in sellers will raise the equilibrium quantity decreasing the equilibrium price.</em>

5 0
3 years ago
You are given the following information about equipment that is required for your business. Assume that the equipment will be re
s2008m [1.1K]

Answer:

Machine B EAC is $17,705.78 more than Machine A EAC.

Explanation:

First find the present values of the cost of both machines.

Machine A:

= 200,000 + (15,000 * Present value of annuity interest factor, 15%, 8 years)

= 200,000 + ( 15,000 * 4.4873)

= $‭267,309.5‬0

Machine B

= 300,000 + (17,500 * Present value of annuity interest factor, 15%, 10 years)

= 300,000 + 17,500 * 5.0188

= $‭387,829‬

Equivalent Annual cost Machine A:

= [(NPV * Required return) / 1 - (1 + Required return) ^–Number of Periods

=[(267,309.50 * 15%) / 1 - 1.15⁻⁸

= $59,569.95

Equivalent Annual cost Machine B:

= (387,829 * 15%) / (1 - 1.15⁻¹⁰)

= $77,275.73

Difference:

= 77,275.73 - 59,569.95

= $‭17,705.78‬

4 0
3 years ago
When a tax is placed on the buyers of cell phones, the size of the cell phone market
bonufazy [111]
When a tax is placed on the buyers of cell phones, the size of the cell phone market <span>and the effective price received by sellers both decrease. When a tax is placed on the buyers of cell phones, the market doesn't really increase or decrease as those needing cell phones are still going to purchase and use them however the price that is received usually decreases because they aren't moving at a fast rate. It is likely that the amount of tax placed on them will have a say in how they increase or decrease within the market. </span>
3 0
3 years ago
AccuroDisk Inc. manufactures external hard disks for $32 per unit, and the maximum price customers are willing to pay is $47 per
Kamila [148]

Answer:

C) AccuroDisk creates a greater economic value than TD Storage.

Explanation:

Economic value can be defined as the value added by a producer of a good and it is measured by the maximum amount that consumers are willing to pay for that good minus the costs of production.

AccuroDisk economic value = $47 - $32 = $15

TD Storage economic value = $50 - $37 = $13

6 0
3 years ago
Economan has been infected by the free enterprise bug. He sets up a firm on extraterrestrial affairs. The rent of the building i
monitta

Answer:

There are two types of profit and costs in nay business, which are accounting costs/profit and the economic costs/profits.

Accounting costs include everything that is tangible or the monetary costs a firm pays, while the economic costs include the cost which is intangible(Opportunity costs) as well as tangible.

Here in this question, the profit of the firm therefore is,

a. From an accountant;s definition = 130000-(6000+42000+7000) = 75000.

b. From an economist's definition = 130000-(6000+42000+7000+65000+6000) = 4000.

Hope this helps you. Thankyou.

7 0
3 years ago
Read 2 more answers
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