There are two main different methods of pricing. One is cost based pricing and the other is the market based pricing. The cost based pricing involves adding a profit margin (Mark-up) to the costs. In the given the case, mark up is $0.50 per item and the cost is $1.25 per item. Hence the selling price of the sports drink would be $1.75 ($1.25+$0.5)
Answer:
Results are below.
Explanation:
<u>First, we need to determine the standard production costs:</u>
Direct materials= 9.6*4.55= $43.68
Direct labor= 1*15.80= $15.8
Variable manufacturing overhead rate= 3.40*1= $3.4
Predetermined fixed manufacturing overhead rate= 6*1= $6
<u>Finally, the standard cost per unit:</u>
Total unitary cost= 43.68 + 15.8 + 3.4 + 6= $68.88
Answer:
The answers is: 3. A new technology like the Internet has just been introduced, and it increases investment opportunities.
Explanation:
Given there is higher demand for investment opportunities, borrowers in the economy will compete for funding while there is no change in the supply of funding, moreover, inflation rate has been constant which will finally lead to the increase in nominal interest rates.
1. Households reduce their consumption and increase their savings is not correct because higher saving will decrease interest rate as there is higher supply of funding.
2. There is a decrease in expected inflation is not correct as nominal interest rate is most likely to go down to keep real interest rate constant.
4. The economy falls into a recession is not correct as the situation will stimulate more saving and less consumption, less investment. Moreover, the Central Bank may also implement loose monetary policy which will decrease Nominal Interest rate.
5. The Federal Reserve decides to try to stimulate the economy is not correct as Federal Reserve will inject money into the economy, subsequently, nominal interest rate will go down.
Answer:
I have attached an Excel Sheet that identifies all the events that need to be accounted for. If you have any queries regarding the Journal Entries, please free to ask me that.
B) The Balance of Accounts Receivable at Year End is $3,000.
Explanation:
Hardy Merchandising Company made Sales of $27,000 on account, out of which $24,000 were collected during the year. So, at the year end the Balance Sheet will show a figure of $3,000 for Accounts Receivable.
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Answer:
The correct answer is (B)
Explanation:
Nominal group technique is an efficient decision-making method. The employees and group members make a decision collectively by discussing every possible scenario. In the nominal group technique, the members and employee write down their ideas and possible solution to the problems, and after comprehensively discussing they chose the best idea. It is considered as a good method of brainstorming.