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german
4 years ago
12

A company incurs costs of $75 ($67 variable and $8 fixed) to make a product that normally sells for $120. A customer offers to b

uy 4,200 units at $70 each. Assuming the company has adequate manufacturing capacity, it should? *
Business
1 answer:
elena-14-01-66 [18.8K]4 years ago
3 0

Answer:

C : accept the offer because it will produce net income of $12,600.

Explanation:

In this question we have to compare the cost which is presented below:

In the first case

The variable cost would be

= Number of units buys × variable cost per unit

= 4,200 units × $67

= $281,400

And, the selling cost would be

= Number of units sold × selling price per unit

= 4,200 units × $70

= $294,000

So, the difference would be

= $294,000 - $281,400

= $12,600

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Dean is conducting his job search by committing four hours every day to responding to online job advertisements. Miguel is using
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Answer: Job search increases their chances of getting a job.

Explanation:

Job search involves an individual dedicating time and resources to get a job, through actual search and job application. The job search would increase the chances of both Dean and Miguel to secure a job, though Miguel stands a higher chance because he is using various means to job search.

8 0
3 years ago
Read 2 more answers
The following events took place at a manufacturing company for the current year: (1) Purchased $96,300 in direct materials. (2)
andrezito [222]

Answer:

$90,139.00

Explanation:

ending Work in process inventory = Beginning WIP + Direct Materials + Direct labor + Material Overhead - Cost of goods manufactured

Beginning Work In Progress = 0

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Direct labor = $57,300

Material Overhead = indirect labor + other manufacturing head

                                = $14,900 + $108,300

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= (0 + $77,040 + $57,300 + $123,200)*0.35

= 257,540*0.35

= $90,139

Therefore, The value of the ending Work-in-Process Inventory is $90,139.

3 0
3 years ago
Why do you think it's better to invest in a variety of stocks, rather than in just one?
xeze [42]
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4 0
3 years ago
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Assume you are the new Product Manager in our Amazon Prime business and are in charge of Pricing. The VP would like to lower the
vaieri [72.5K]

Answer:

Provided in Explanation

Explanation:

This is a very general question however I’ll try to answer it to the best of my knowledge.

If I use my own assumptions then these will be the Projections:

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Cost of Sales/unit $40.00  Cost of Sales/unit $40.00

Expenses/unit $15.00  Expenses/unit $15.00

   

Demand @ $79.99 1000 Demand @ $69.99 1200

   

Sales         $79,990.00  Sales         $83,988.00

Cost of Sales $40,000.00  Cost of Sales $48,000.00

Expenses $15,000.00  Expenses $18,000.00

Profit        $24,990.00        Profit         $17,988.00

The final decision however relies on the Price Elasticity of the Product. If the Product is Price elastic then lowering the Price will lead to a significant rise in Demand. However if the Product is Price inelastic then lowering the Price will not lead to a significant rise in Demand and thus profit margins will be lowered. If the Product is Price inelastic then it is better to increase prices in order to gain more profits. In the case of Unit Elasticity the change in Demand will be at the same proportion as price change so it won’t be of any use to change the Price.

3 0
3 years ago
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The title of the job you are seeking should be placed </span>in the first paragraph of a cover letter. <span> Job Title and Accomplishments is the most </span>effective way to start out a cover letter. 
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