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musickatia [10]
3 years ago
11

Aircraft Products, a manufacturer of aircraft landing gear, makes 1,000 units each year of a special valve used in assembling on

e of its products. The unit cost of producing this valve includes variable costs of $70 and fixed costs of $60. The valves could be purchased from an outside supplier at $77 each. If the valve were purchased from the outside supplier, 40% of the total fixed costs incurred in producing this valve could be eliminated. Buying the valves from the outside supplier instead of making them would cause the company's operating income to: 2.85 points a. Increase by $26,000. b. Increase by $17,000. c. Decrease by $9,000 d. Decrease by $29,000
Business
1 answer:
Sedaia [141]3 years ago
4 0

Answer:

b. Increase by $17,000

Explanation:

For computing the change in the operating income, first we have to determine the cost by make and buy options

Make options:

= Variable cost + fixed cost

= $70 + $60

= $130

Buy options:

= Outside supplier cost + fixed cost × remaining percentage

= $77 + $60 × 60%

= $77 + $36

= $113

So, the difference of cost would be

= $130 - $113

= $17

And, the operating income would be

= Number of units make in each year × cost difference

= 1,000 units × $17

= $17,000

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रचनात्मक र नविन्तम अबधारण लेख्नुहोस। नयाँ ब्यब्साय विभिन्न विधि हरु ब्य्ख्य गर्नुहोस​
dem82 [27]

Answer:

लेख्नुहोस। नयाँ ब्यब्साय विभिन्न विधि हरु ब्य्ख्य गर्नुहोस​

Explanation:

4 0
3 years ago
Problems with (or leakages from) the money creation process would include an increase in the reserve requirement. unwillingness
mart [117]

Answer:

The correct answer is unwillingness of borrowers to obtain loans from banks to invest in factories or expansion of the firm.

Explanation:

Solution

<em>Given that:</em>

Leakage problem occurs or happens within an economy when the money goes out of the economy, which leads to a loss in the economic value of goods and services, and also leads to loss in profits making.

This would lead to an unwillingness of borrower's to obtain loans from banks in the expansion of the firm or to invest in factories.

4 0
2 years ago
You have set a par value of 25 chicken cutlets. Your inventory says you have 10 on hand from last night. How many should you ord
alina1380 [7]
15? since you have 10 left on hand after last night's inventory check you should get 15 if you don't know the rate at which each are sold.
3 0
3 years ago
If the lowest-paid employee earned $15,000 a year, what would the maximum salary be for the highest-paid manager under the 7-to-
romanna [79]

Under the 7-to-1 rule, the maximum salary that would be paid to the highest-paid manager is $105,000.

Data and Calculations:

Lowest-paid employee's annual earnings =$15,000

Maximum-Minimum Salary Rule = 7-to-1

The maximum salary paid to the highest-paid manager = $105,000 ($15,000 x 7).

Thus, the maximum salary paid to the highest-paid manager under the company's 7-to-1 rule is $105,000.

Learn more: brainly.com/question/3854368

4 0
2 years ago
Reece is trying to increase the number of products he sells every week so he will get a promotion this year. What are accurate w
gizmo_the_mogwai [7]

Answer:

intermediate goal

career goal

Explanation:

A goal is a desired result am individual wants to achieve in the future. Goals are usually time bound, that is they are meant to be achieved in a given time frame.

In the given instance Reece is trying to increase the number of products he sells every week so he will get a promotion this year.

With regards to duration goals can be short term, intermediate, or long term.

His goal of increasing weekly sales is an intermediate one.

Career goals are those that are measured by level of achievement on one's job. Reece is looking at getting a promotion in this year.

5 0
3 years ago
Read 2 more answers
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