Answer:
B) $12,825
Explanation:
In order to calculate the worst case scenario of sales first we need to calculate the worst case for sales of units.
The Company estimates that 5,000 units will be sold with a 10 percent plus-or-minus range. So, let calculate the worst case for the sale of units, in this case being 90% of the 5,000 unit estimate. Calculate 90% of 5,000, and this gives us 4,500 units as the worst case scenario.
To calculate the the worst case scenario for price, lets use the $3.00 per unit estimated by the Company, and apply the same concept, however, taking into account that sales price has a 5 percent plus-or minus range. So we caclulate %95 of $3.00, and this gives us $2.85 as our worst case scenario for price.
Now, we take our worst case scenario for amount of units and price:
4,500 units x $2.85 = $12,825
$12,825 is the total dollar amount for the worst case scenario of this product.
Answer:
b). 72.458 %
a). 24, 213
Explanation:
1). The second option i.e. 72.458% correctly measures the variance percentage brought in the dependent variable(regressed the quantity demanded) by manipulating the independent variable(price elasticity). The first option is wrong as it shows R multiple which is rather the coefficient. The third and the last options are incorrect as they display the intercept employed to determine the quantity and the key error of calculating the standard deviation.
2). The predicted quantity demanded would be 24,213 if the price is fixed at $7.00.
It can be calculated using the formula;
Quantity demanded = Intercept + (Adjusted R squared * Price coefficient)
∵ Quantity Demanded = 56,400.50 + (7 X -4,598.2)
= 24,213
Answer:
$56,900
Explanation:
Compt. Maint. Mixing Packaging
Dept Cost 140,000 115,000
Cost allocation 32941 41177 65882
(Computer)
Cost allocation
(Maintenance) 56900 91041
Total 98077 156923
Workings.
Computer department cost allocation
Maintenance department = 4/17*140000 =32941
Mixing department = 5/17*140000 =41177
Packaging department = 8/17*140000= 65882
Maintenance department cost allocation
Total cost allocated = 147941
Mixing department = 5/13*147941 = 56900
Packaging department = 8/13*147941 =91041
Answer: correct evaluation and medium of exchange etc.
Explanation: The main problem with the barter system is that it would be hard to value the goods or services that the parties are exchanging. In the given case, it would be hard to value how many car washes would be equal to a paint of house.
Also finding someone who is willing to paint house in exchange of car washes is another difficult task.
Explanation:
Consumers buy products for their own use, while businesses buy goods to use in their continuing activities and resell to consumers. Customers appetite and the need for manufacturing supplies force organizations to buy products in greater quantities than people.
