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Bezzdna [24]
4 years ago
15

Polar Industries makes refrigerators. Polars management wants to market refrigerators to students in dorm rooms and small apartm

ents by making a compact refrigerator. The competition, led by Walmart, prices small refrigerators at $76 each. The production manager at Polar Industries estimates that the small refrigerator could be produced for the following manufacturing costs.
Direct materials $24
Direct labor 10
Manufacturing overhead 8
Total $42

Polar's management wants to make an operating margin of 10 percent (operating margin equals revenues minus manufacturing costs).

Suppose Polar uses cost-plus pricing, setting the price to manufacturing costs plus 10 percent of manufacturing costs, What price should it charge for the refrigerator?
Business
1 answer:
mote1985 [20]4 years ago
6 0

Answer:

Selling price = $46.2

Explanation:

<em>Cost plus pricing determines the price of the product by adding a given percentage of the cost to the manufacturing cost to arrive at the price.</em>

<em>Selling Price = Manufacturing Cost + (mark-up(%)×  manufacturing cost)</em>

Selling price :

= 42 + (10%× 42)

= $46.2

Selling price  = $46.2

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All of the following are benefits of global business except
fgiga [73]

Answer:

decreased competition

Explanation:

Decreased competition is not a benefit of global business. In fact, smaller competition is a characteristic of economies that are not very integrated to the global economy, because it is easier for a few companies (oligopoly), or a single company (monopoly) to dominate an economic sector in a smaller economies that has barriers to entry to possible foreign competition.

8 0
3 years ago
Which of the following does not represent an asset of a company?
mariarad [96]

Answer:

4. Amounts owed to suppliers

Explanation:

We know that

Balance sheet comprises of assets, liabilities and the stockholder equity

The assets could be classified into current asset, fixed asset, and the intangible assets

While the liabilities are also classified into current liabilities and the long term liabilities  

The account receivable, equipment, supplies have come on the asset side of the balance sheet whereas the account payable or amount owed to suppliers have come on the liabilities side of the balance sheet

So, the most appropriate option is 4.

3 0
3 years ago
Last week Paul, CEO of Quality Furniture in South Carolina, traveled to Europe to visit customers. While overseas, Paul checked
kaheart [24]

Answer:

the global village

Explanation:

Global village is a term used to describe how communication between parties that are far apart is done as a result of interconnectivity and advanced media technology.

An individual does not need to travel from New York for example for a meeting, rather meetings can now be done online.

In this scenario Paul checked his e-mail daily and showed his company's website to customers, explaining how the website will help them place orders and receive merchandise more quickly.

He was able to work with his office and the customers he visited through the use of media.

This shrinking of time and space by use of media is referred to as the global village.

4 0
3 years ago
Which two investment options would be best if you are 20 years old, just starting to save, and want to retire when you are 70? C
nadezda [96]

Answer:

You have not provided any options. However, since this is more of a practical question, the suitable answers are,

  • Mutual Funds
  • Certificate of Deposits
  • High yield bearing Bonds

Explanation:

Mutual funds are a wonderful option to track the share market without exposing yourself to too much market risk. A mutual fund holds a diversified portfolio of stocks that distributes risk among various companies from different industries.

That way, even if the market is poorly performing, as a whole, the fund will be stable. Moreover, in the long term, since you have 50 years until you are 70, compounding your dividends will make you a lot of money to retire.

Besides, mutual funds have a high liquidity, making it easier for you to withdraw your money.

Certificate of Deposits are virtually risk free and provides a descent income through the high interest rates.

The main benefit here is the compounding effect of the interest. Since 50 years is a long time frame, even if you start small, you can eventually end up with a hefty sum to help your retirement. Because the compounding effect will be highly effective in the long term.

7 0
3 years ago
Garza Corporation has two production departments, Casting and Customizing. The company uses a job-order costing system and compu
SCORPION-xisa [38]

Answer:

$57,400

Explanation:

The computation of the estimated total manufacturing overhead for the Customizing Department is shown below:

= Total fixed manufacturing overhead cost + Direct labor-hours × Variable manufacturing overhead per direct labor-hour

= $35,000 + 7,000 direct labor hours × $3.20

= $35,000 + $22,400

= $57,400

All other information that is given in the question is ignored.

7 0
4 years ago
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