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mel-nik [20]
3 years ago
11

State Road Fabricators Inc. is considering eliminating Model A02777 because of losses over the past quarter. The past three mont

hs of information for Model A02777 are summarized​ below: Sales​ (1,100 units) ​$370,000 Manufacturing​ costs: Direct materials ​160,000 Direct labor​ ($15 per​ hour) ​80,000 Overhead ​150,000 Operating loss ​($20,000) Overhead costs are​ 75% variable and the remaining​ 25% is depreciation of special equipment for model A02777 that has no resale value. If Model A02777 is dropped from the product​ line, operating income will​ ________.
A. decrease by​ $20,000
B. increase by​ $37,500
C. decrease by​ $17,500
D. increase by​ $20,000
Business
1 answer:
ICE Princess25 [194]3 years ago
6 0

Answer:

Option (C) is correct.

Explanation:

Manufacturing costs:

= Direct Materials + Direct Labor + Variable overhead

= $160,000 + $80,000 + (150,000 × 75%)

= $160,000 + $80,000 + $112,500

= $352,500

Operating income:

= Sales​ (1,100 units) - Manufacturing costs

= $370,000 - $352,500

= $17,500

Therefore, if Model A02777 is dropped from the product​ line, operating income will​ decrease by​ $17,500.

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What is the term baltes & baltes use to designate the ways workers narrow their job tasks to only the most important ones an
navik [9.2K]

The term is "selection".

Paul B. Baltes was a German therapist whose expansive scientific plan was dedicated to building up and advancing the life-span orientation of human advancement. He was likewise a scholar in the field of the psychology of aging. Baltes was born in 1939 and died in 2006 at the age of sixty-seven.

8 0
3 years ago
Which of the following are good choices for your appearance in an interview?
nexus9112 [7]

-dress nicely

-be prepared

-empathize

Where are your options? Anyway, I hope this helps!!! :)

4 0
3 years ago
Read 2 more answers
Suppose that Spain and Denmark both produce jeans and olives. Spain's opportunity cost of producing a crate of olives is 3 pairs
Lyrx [107]

Answer:

b. 6 pairs of jeans per crate of olives; and

c. 4 pairs of jeans per crate of olives

Explanation:

                 Olives       Jeans      Trade off Ratio (Olives:Jeans)

Spain            1               3            1:3 or 0.33:1       (1/3 = 0.33)

Denmark      1              11            1:11 or 0.09:1     (1/11= 0.09)

Spain & Denmark have less opportunity cost & hence comparative advantage than each other,  in Olive & Jeans respectively.

Spain will export Olives to Denmark (importer). Denmark will export Jeans to Spain (Importer). Trade will be gainful if they get exchange ratio better than domestic exchange ratio.

  • '2 jeans pairs per olive crate' not gainful trade ratio for Spain, as it is getting more i.e 3 jeans pair per olive crate at its own domestic ratio.
  • '13 jeans per olive' not gainful for Denmark, as 0.07 = (1/13) olive per jeans is worse than its own domestic ratio i.e 0.09 = (1/11) olive per jeans  

'4 jeans pairs per olive crate'  is gaining trade ratio for:

  • Spain: As it gets 4 i.e more than 3 pairs of jeans per olive crate
  • Denmark : As it gets 0.25 = (1/4) i.e more than 0.09 olive crates per pair of jeans

'6 jeans pairs per olive crate' is gaining trade ratio for:

  • Spain: As it gets 6 i.e more than 3 pairs of jeans per olive crate
  • Denmark : As it gets 0.16 = (1/6) i.e more than 0.09 olive crates per pair of jeans

Both of them are gainful trade ratios, but:

  • 1olive:4 jeans is more gainful for Denmark, as it is gaining relatively more than domestic exchange rate (0.25 is more > 0.09 than 4 > 3).  
  • 1olive:6jeans is more gainful for Spain as it is gaining relatively more than domestic exchange rate (6 is more > 3 than 0.16 > 0.09)  

3 0
3 years ago
You invested in a 3-month certificate of deposit at your bank. Your investment was $1,902, and at the end of the term you will r
Art [367]

Answer and Explanation:

The computation is shown below:

a. Holding period return would be

= Income + (End of Period Value - Initial Value) ÷ Initial Value

= 0 +($2,178 - $1,902) ÷ $1,902

= 0 + $276 ÷ $1,902

= 14.51%

b. The annual percentage rate is

For 3 months, the rate is 14.51%

Now

For 12 months, it is

= 14.51% ÷ 3 ×  12

= 14.51 % × 4

= 58.04%

c. The effective annual rate is

= ( 1 + r ÷ m)^m - 1

= (1 + 58.04% ÷ 4)^4 - 1

= (1 + 0.5804 ÷ 4)^4 - 1

= (1 + 0.1451)^4 - 1

= (1.1451)^4 - 1

= 1.719387079 - 1

= 0.719387079 or 71.94%

8 0
2 years ago
Jessica Marshall, the CEO of ABD Oil Drilling Inc., decides to set aside an amount of $10,000 from the company's annual profits
Travka [436]

Answer:

corporate philanthropy.

Explanation:

Corporate philanthropy refers to an act done by a corporation or business organization with a motive to promote the welfare of a society by charitable donations of funds

Since in the question it is mentioned that the Jessica already aside the amount of $10,000 for the nonprofit organization and already it meets the requirement of government to contribute 4% of the company revenue for the social benefits

So this given situation represents the corporate philanthropy.

3 0
3 years ago
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