3300 units of q - drive.
To get the break even units of q drive you need to get the weighted average contribution margin of the two products
To get it, simply multiply the sales mix ratio to its contribution margin per product and add the two to get the wacm.
Q-drive cm=$120-60=60*30%
Q-drive plus cm= $165-75*70%
the wacm=$81
then divide the fixed cost by the wacm
$891000 / $81=11000 units
then to get the break even units of q-drive simply multiply the sales mix ratio to the break even units
11000 units*30% =3300 units.
The statement which states that a management contract is an arrangement in which one firm contracts with another to <em>produce products</em> to its specifications is false
According to the given question, we are asked to show whether a management contract is one where there is an arrangement between two firms to <em>produce its goods </em>to its specifications.
As a result of this, we can see that a management contract is one where one firm gives its management skills <em>in part or in full</em> to another firm.
With this in mind, we can see that contract manufacturing is one where there is an arrangement in which one firm contracts with another to <em>produce products</em> to its specifications but is in charge of the marketing.
Therefore, the correct answer is false.
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Answer:
Arthur’s recognized gain or (loss) = $0
Ned’s basis in the land = $105,000
Explanation:
As the adjusted basis for Arthur was $145,000 and he sold it for $105,000 hence, there is no gain. Ned basis is the fair market value at which he purchased the tract of land.
All of the above (Cost of switching factories due to a violation of social compliance, and Travel cost to ensure delivery and quality)
<h3>What is indirect cost?</h3>
Indirect costs are business expenses that aren't immediately associated with a specific grant, contract, project function, or activity but are nonetheless important for the organization's overall operation and the performance of its activities.
When reviewing your financial statistics, you should keep in mind that staff salaries are an indirect cost. Even while it's inevitable that your staff will change, you want to keep onto the people that make your business profitable and useful to your clients.
Although fixed and variable costs have different effects on the business, both are crucial to its profitability.
To learn more about indirect cost refer to:
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