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3 years ago

Inspection costs at one of Iuliano Corporation's factories are listed below:

Business

1 answer:

Ahat [919]3 years ago

8 0

Answer:

The correct answer is D.

Explanation:

Giving the following information:

Units produced - Inspection cost

February: 911 - $16,812

March: 961 - $17,200

April: 917 - $16,865

May: 901 - $16,710

June: 923 - $16,894

July: 908 - $16,780

August: 925 - $16,932

September: 865 - $16,300

October: 904 - $16,738

To calculate the fixed component using the high-low method, first, we need to calculate the unitary variable cost:

Variable cost per unit= (Highest activity cost - Lowest activity cost)/ (Highest activity units - Lowest activity units)

Variable cost per unit= (17,200 - 16,300) / (961 - 865)

Variable cost per unit= $9.375 per unit

Now, we can calculate the fixed costs:

Fixed costs= Highest activity cost - (Variable cost per unit * HAU)

Fixed costs= 17,200 - (9.375*961)

Fixed costs= 8,190.625

Fixed costs= LAC - (Variable cost per unit* LAU)

Fixed costs= 16,300 - (9.375*865)

Fixed costs= $8,190.625

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when sony released the playstation 4, it was reported that sony was taking a loss of $60 on every ps4. however, sony expected to

PolarNik [594]

The loss of Sony on Playstation is covered by the gain on PS+ sales. The profit from PS+ is interdependent on sale of Playstation.

<h3 /><h3>What is interdependence?</h3>

Interdependence is the state of being dependent on a thing. In the scenario provided the sale of PS+ that is the games can only be sole when the Playstation is sold. This makes the sale of PS+ interdependent on the sale of Playstation.

Interdependent goods are dependent on other product for sale and a sale of one would result in the sale for the interdependent good.

The loss made on sale of Playstation of $60 can be recovered easily by the sale of PS+ as all the purchaser of Playstation will be spending a good amount on the purchase of PS+ which makes the loss profitable for Playstation Company.

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2 years ago

An investment with more liquidity would be ideal for

ollegr [7]

Answer:

An investment with more liquidity would be ideal for someone who knows they will nee cash in the near future.

Explanation:

More liquid assets are those that can be turn into cash more quickly than those that less liquid assets.

If one is thinking about investing in a liquid asset, surely is because it will need the cash in the short run. On the contrary, we could invest in other financial instruments less liquid (typically those who offer higher yields and have longer terms), because we are not going to need the money for the moment, and we want to take advantage of that to get a higher yields.

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4 years ago

Preventive stress management has three parts: primary, secondary, and tertiary. What part would you be acting on if you gave one

Nikitich [7]

When a manager gives one of his employees, a permission to set his or her own goals and develop a schedule to accomplish the goals, the manager is said to act secondary preventive stress management.

<h3>What is preventive stress management?</h3>

Preventive stress management is regarded as a function of management wherein an organization prepares strategies before the happening of an event that are in contingency, is known as preventive stress management.

In the given example, the manager is acting as a part of primary stress management, as he has given his employees the authority to establish goals and work on them as per their own will.

Hence, the significance of preventive stress management is aforementioned.

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2 years ago

A company sells two models of a product—basic and premium. The basic model has a variable cost of $75 and sells for $100. The pr

Vesna [10]

Answer:

Beak-even point = 450 units

Explanation:

The break-even point is the level of activity where a business makes no profit or loss. At this level of activity, the total contribution equals the total fixed costs.

To calculate the break even point in a multi product scenario, we use the formula below:

<em>Break-even point = Fixed cost for the period / average contribution per unit</em>

<em>Average contribution per unit = Total contribution in a mix/ units in a mix</em>

We will follow the steps below to work out the Break-even point:

Step 1

<em>Calculate the average contribution per unit</em>

<em>contribution per unit for each product= selling price - variable cost</em>

Basic model = 100- 75 = $25

Premium model = 150 - 100 = $50

<em>Average contribution per unit</em> =<u> ( 5000 × $25) + (2500 × $50)</u>

( 5000 + 2500) units

= $33.33 per unit

Step 2

<em>Calculate the Break-even point</em>

Break even point = $15,000/ $33.33

= 450 units

4 0

3 years ago

Read 2 more answers

Stech Co. is issuing $9 million 12% bonds in a private placement on July 1, 2017. Each $1,000 bond pays interest semi-annually o

STALIN [3.7K]

Answer:

Expected selling price =$ 1,271.81

Explanation:

<em>The price of a bond is the present value (PV) of the future cash inflows expected from the bond discounted using the yield to maturity.</em>

<em>These cash flows include interest payment and redemption value</em>

The price of the bond can be calculated as follows:

Step 1

<em>PV of interest payment</em>

coupon rate - 12%, yield - 8%, years to maturity- 10 years

Semi-annual coupon rate = 12%/2 = 6%

Semi-annual Interest payment =( 6%×$1000)= $60

Semi annual yield = 8%/2 = 4%

PV of interest payment

= A ×(1- (1+r)^(-n))/r

A- interest payment, r- yield - 4%, n- no of periods- 2 × 10 = 20periods

= 60× (1-(1.04)^(-10×2))/0.04)

= 60× 13.59032634

=$815.41

Step 2

<em>PV of redemption value (RV)</em>

PV = RV × (1+r)^(-n)

RV - redemption value- $1000, n- 2×10 r- 4%

= 1,000 × (1+0.04)^(-2×10)

= $456.38

Step 3

<em>Price of bond = PV of interest payment + PV of RV</em>

= $815.41 + $456.38

= $ 1,271.81

Expected selling price =$ 1,271.81

5 0

3 years ago