Answer:
$60,000
Explanation:
The movement in finished goods balance between the beginning and end of a period is due to the cost of goods sold and goods manufactured. This may be expressed mathematically as;
Opening balance + manufactured goods - cost of goods sold - other write-offs = closing balance.
where there are no other write-offs,
$10,000 + $200,000 - cost of goods sold = $150,000
Cost of goods sold = $10,000 + $200,000 - $150,000
= $60,000
C. can be difficult to maintain, even when cooperation would make both players of the game better off.
The Prisoner's Dilemma is a paradox that attempts to explain why two rational decision makers working in their own best interest might not cooperate with someone else even if it ultimately would be better for both of them.
Answer:
The parties should use the one-year exchange rate to disclosure the contract in their books.
Explanation:
The spot rate is used when the exchange of pounds for dollars occurs immediately. For the current scenario, this rate is not appropriate.
The parties should use the one-year exchange rate to disclosure the contract in their books.
At the time of payment, they will use the spot rate of that date and made the adjustment needed.
The British firm should purchase 1 million forward to seal the exchange rate, and not incur currency risk.
Answer:
7,800 units
Explanation:
Contribution margin per unit = 60,000 / 6,000 units
Contribution margin per unit = $10 per unit
Number of Units = (Target Profit + Fixed Expense) / Contribution margin per unit
Number of Units = ($24,000 + $54,000) / $10
Number of Units = $78,000 / $10
Number of Units = 7,800
So, the number of units that must be sold to achieve a target profit of $24,000 is 7,800 units
