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avanturin [10]
3 years ago
14

Rowan Quinn Company manufactures kitchen appliances. Currently, it is manufacturing one of its components at a variable cost of

$40 and fixed costs of $15 per unit. An outside provider of this component has offered to sell Rowan Quinn the component for $45. Determine the best plan and calculate the savings assuming fixed costs are unaffected by the decision.
Business
1 answer:
nika2105 [10]3 years ago
6 0

Answer:

It is cheaper to make the component in house. It will save $5 per component.

Explanation:

Giving the following information:

Currently, it is manufacturing one of its components at a variable cost of $40 and fixed costs of $15 per unit. An outside provider of this component has offered to sell Rowan Quinn the component for $45.

First, we need to calculate the total unitary cost:

In house:

Total unitary cost= unitary fixed cost + unitary variable cost

Total unitary cost= 15 + 40= $55

Buy:

Total unitary cost= 15 + 45= $60

It is cheaper to make the component in house. It will save $5 per component.

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Answer:

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Explanation:

Data provided in the question:

The marginal propensity to consume in Frugalia, MPC = 0.60

Increase in spending = $10 million

Now,

The total increase in income

= \frac{\textup{1}}{\textup{1-MPC}}  × Increase in spending

on substituting the respective values, we get

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or

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or

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The answer is option (c) $25 million

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if dan's baseball card collection is stolen after he entered in to an agreement to sell the cards, the contract must be because
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If dan's baseball card collection is stolen after he entered into an agreement to sell the cards, the contract must be discharged, because of the impossibility of performance.

What is the agreement?

A contract between two or more people to do something is referred to as an agreement. Two or more parties must agree to the terms of the agreement in order to create a legally binding commitment.

The baseball card collection entered into an agreement to sell the cards, the contract must be discharged, and the performance is impossible. The credit card was taken. This is the primary reason for the performance's impossibility.

As a result, the agreement of the discharge of the contract.

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it empowers you with basic knowledge of investment options, financial markets, capital budgeting, etc. Understanding your money mitigates the danger of facing a fraud-like situation. ... Basic knowledge of financial literacy will help people with foreseeing the risks and argue/justify with anyone learned and well-informed

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