Answer:
Cost difference= $64,808 cost decrease
Explanation:
Giving the following information:
Purchasing price= $13
Make in-house:
Variable cost per unit= $11
Fixed cost per unit= $9
Production in units= 32,404
<u>To determine whether it is more convenient to make the part in-house or buy it, we need to take into account only the variable cost per unit. We leave out of the decision the fixed costs because they remain constant in both options.</u>
Buy= 32,404*13= $421,252
Make= 32,404*11= $356,444
Cost difference= $64,808 decrease
Answer:
$40,000
Explanation:
Calculation to determine the amount of dividends received by the common stockholders in 2017
First step is to calculate the preferred stock
Preferred stock=(5,000 shares*$400)*6%
Preferred stock=$2,000,000*6%
Preferred stock=$120,000
Now let calculate the amount of dividends received by the common stockholders in 2017
Dividend Received=($200,000-$120,000)/2
Dividend Received=$80,000/2
Dividend Received=$40,000
Therefore the amount of dividends received by the common stockholders in 2017 will be$40,000
Answer: Resellers
Explanation:
Resellers buy products from other businesses but do not significantly alter the form of the products they buy before selling them.
A reseller is a type of channel partner that acts as an intermediary between companies that make, distribute or provide IT products or services and end customers, which may be businesses or consumers. A key reseller role has been order fulfillment: The customer goes to a reseller to simplify the ordering process and offload procurement and order processing tasks.
Working with a reseller can also streamline product sourcing. A business that needs to purchase multiple technology components can make those purchases through a single reseller versus approaching multiple manufacturers or service providers directly. Competitive pricing may also attract customers to resellers.
The term spillover refers to a market exchange that affects a third party who is outside or external to the exchange
