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Dennis_Churaev [7]
3 years ago
11

Eagle Corporation solicited bids for various parts it uses in the manufacture of jet engines. Eagle received six offers and sele

cted the offer of Sky Corporation. The written contract specified a price for 100,000 units, delivery on June 1 at Sky's plant, with payment on July 1.On June 1, Sky had completed a 200,000 unit run of parts similar to those under contract for Eagle and various other customers. Sky had not identified the parts to specific contracts. When Eagle's truck arrived to pick up the parts on June 1, Sky refused to deliver claiming the contract price was too low. Eagle was unable to cover in a reasonable time. Its production lines were in danger of shutdown because the parts were not delivered.Eagle would probablyA. Have as its only remedy the right of replevin.B. Have the right of replevin only if Eagle tendered the purchase price on June 1.C. Have as its only remedy the right to recover dollar damages.D. Have the right to obtain specific performance.
Business
1 answer:
Anna71 [15]3 years ago
5 0

Answer:

The answer is: C) Have as its only remedy the right to recover dollar damages.

Explanation:

Since Sky breached its contract with Eagle, Eagle can sue Sky for money damages.  

They can not seek a writ of replevin since the 100,000 units included in the contract were not unique nor identified. They were part of a much larger production lot of 200,000 units intended for various customers.

They also can't seek to obtain specific performance due to the same reasons as before, the units were not specific nor identified and other customers also need them.

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Delish Foods sells jars of special spices used in Italian cooking. The variable cost is $2 per unit. Fixed costs are $9,000,000
Ymorist [56]

Answer:

$3.38 per unit

Explanation:

Total costs:

= Total fixed cost + Total variable cost

= $9,000,000 + (5,000,000 units × $2 per unit)

= $9,000,000 + $10,000,000

= $19,000,000

Target revenue:

= Total costs - Desired profit

= $19,000,000 - ($42,000,000 × 5%)

= $19,000,000 - $2,100,000

= $16,900,000

Sales price per unit = Target revenue ÷ Total units

                                = $16,900,000 ÷ 5,000,000

                                = $3.38 per unit

8 0
3 years ago
Which is an advantage corporations enjoy over partnerships?
Trava [24]
<span>The owners of a corporation don't have to work together to make all of the business decisions.

</span>An advantage of corporations enjoy over partnerships is that the owners of a corporation don't have to work together to make all of the business decisions, while this is true for partnership. Partnership<span> generally has more money to invest in starting or expanding a business.</span>
3 0
3 years ago
Business provided travel services worth R11800 to customers who settled the amount in cash
netineya [11]
That's a statement.

If its T/F, That is true  <span />
3 0
3 years ago
Norton, Inc. has the following information available for September 2020.
bulgar [2K]

Answer: See explanation

Explanation:

a. Prepare a CVP income statement that shows both total and per unit amounts.

CVP INCOME STATEMENT

Per unit. Total

Sales (500 units). 400. 200,000

Variable expense 280 140,000

Contribution margin. 120 60,000

Fixed expense. 48,000

Net operating Income. 12,000

b. Compute Norton's breakeven in units.

Breakeven point = 48000 / 120 = 400

c. Prepare a CVP income statement for the break-even point that shows both total and per unit amounts.

CVP income statement for the break-even point

Per unit. Total

Sales (400 units). 400. 160,000

Variable expense 280 112,000

Contribution margin. 120 48000

Fixed expense. 48,000

Net operating Income. 0

3 0
3 years ago
Brief Exercise 23-1 Lopez Company uses both standards and budgets. For the year, estimated production of Product X is 534,000 un
guajiro [1.7K]

Answer:

a. $6

b.  $3204000

Explanation:

Given:

  • Product X is 534,000 units
  • cost for materials $1,441,800
  • cost for labour: $1,762,200

(a) a standard cost

As we know standard cost is the cost of producing 1 unit and is recorded in a standard cost card. However, the cost of labor, materials and overhead are used to make a single unit, so

standard cost = unit variable cost =  the total cost / the total number of unit.

In this situation, the overheading cost is not gven, so the total cost:

= The cost of labor + materials

= $1,441,800 + $1,762,200

= $3204000

=> standard cost  = $3204000  / 534,000 = $6

(b) a budgeted cost represents the total costs

The total number of units * standard cost

= 534,000 * 6

=   $3204000

6 0
2 years ago
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