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weqwewe [10]
2 years ago
5

Classify each cost as being either variable or fixed with respect to the number of units produced and sold.

Business
1 answer:
charle [14.2K]2 years ago
7 0

Answer:

Explanation:

There are primarily two types of costs, i.e. variable costs and the fixed costs. The variable cost is the cost that varies when the level of output changes, while the fixed cost is the cost that remains constant whether the level of production changes or not. The variable cost includes indirect inventory, indirect labor and factory supplies.

And, the fixed cost includes supervision, taxes ,and depreciation expense.

As we know that, the product cost would be a mix of Direct materials cost +  Direct labor cost + manufacturing overhead cost

where,

Manufacturing overhead = Factory utilities + Factory machinery depreciation + Factory building property tax + Indirect factory work + Indirect materials + Factory repairs + Factory manager salary

And, the selling and administrative cost is the cost which is incurred for selling the product. example - advertising, etc

So, the categorization is shown below:

1. Hamburger buns in a Wendy's outlet. = Variable and product cost

2. Advertising by a dental office.  =  Fixed and Selling and Administrative cost

3. Apples processed and canned by Del Monte.  = Variable and product cost

4. Shipping canned apples from a Del Monte plant to customers.  = variable and Selling and Administrative cost

5. Insurance on a Bausch & Lomb factory producing contact lenses.  = fixed and product cost

6. Insurance on IBM's corporate headquarters.  = fixed and Selling and Administrative cost

7. Salary of a supervisor overseeing production of printers at Hewlett-Packard.  = fixed and product cost

8. Commissions paid to automobile salespersons.  = variable and Selling and Administrative cost

9. Depreciation of factory lunchroom facilities at a General Electric plant.  = fixed and product cost

10. Steering wheels installed in BMWs. = variable and product cost

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A small business group assigned a member the task of "Devil's Advocate." What is this member's primary duty?a. To encourage grou
Nataliya [291]

Answer:

(b). To prevent groupthink by automatically opposing whatever idea any group member proposes

Explanation:

Groupthink is a situation that occurs in a group where group members settle for an idea proposed by a group member without trying to come up with better alternatives.

This sometimes happens because the group members want to preserve harmony within the group.

A member assigned the role of devil's advocate in a group <u>has a responsibility to prevent the group members from settling for a proposed easy solution, </u><em><u>by opposing any idea a group member proposes</u></em><u>, so as to generate some argument and push the group to reach a better solution if possible.</u>

3 0
3 years ago
present value calculation) Dowling Sportswear is considering building a new factory to produce aluminum baseball bats. This proj
STALIN [3.7K]

Answer:

The NPV is $534,819.11

Explanation:

The computation of the Net present value is shown below

= Present value of all yearly cash inflows after applying discount factor - initial investment

The discount factor should be computed by

= 1 ÷ (1 + rate) ^ years

where,

rate is 9%

Year = 0,1,2,3,4 and so on

Discount Factor:

For Year 1 = 1 ÷ 1.09^1 = 0.9174

For Year 2 = 1 ÷ 1.09^2 = 0.8417

For Year 3 = 1 ÷ 1.09^3 = 0.7722

For Year 4 = 1 ÷ 1.09^4 = 0.7084

For Year 5 = 1 ÷ 1.09^5 = 0.6499

For Year 6 = 1 ÷ 1.09^6 = 0.5963

For Year 7 = 1 ÷ 1.09^7 = 0.5470

For Year 8 = 1 ÷ 1.09^8 = 0.5018

So, the calculation of a Present value of all yearly cash inflows are shown below

= Year 1 cash inflow × Present Factor of Year 1 +  Year 1 cash inflow × Present Factor of Year 1 +  Year 1 cash inflow × Present Factor of Year 1 +  Year 1 cash inflow × Present Factor of Year 1 +  Year 1 cash inflow × Present Factor of Year 1 +  Year 1 cash inflow × Present Factor of Year 1 +  Year 1 cash inflow × Present Factor of Year 1 +  Year 1 cash inflow × Present Factor of Year 1

= $1,000,000 × 0.9174 + $1,000,000 ×  0.8417 + $1,000,000 ×  0.7722 + $1,000,000 × 0.7084 + $1,000,000 × 0.6499 + $1,000,000 ×  0.5963+ $1,000,000 × 0.5470 + $1,000,000 × 0.5018

= $917,431.19  + $841,679.99  + $772,183.48 + $708,425.21  + $649,931.39  + $596,267.33  + $547,034.24  +$501,866.28

= $5,534,819.11

So, the Net present value equals to

= $5,534,819.11  - $5,000,000

= $534,819.11

We take the first four digits of the discount factor.

6 0
3 years ago
Complete the factorization to express these numbers as product of ONLY prime numbers:<br>​
marin [14]

Hello there I hope you are having a great day :)

Your question, Complete the factorization to express these numbers as product of ONLY prime numbers:

45 = 5 and 9 and 3 and 3

24 = 3 and 8 and 2 and 4 and 2 and 2

36 = 2 and 18 and 3 and 6 and 3 and 2

40 = 5 and 8 and 4 and 2 and 2 and 2 and 2

Hopefully that helps you :)

7 0
2 years ago
1. Strategy defines what an organization needs to do, and _______ defines how it will do it.
xz_007 [3.2K]
The answer will be D
3 0
2 years ago
There is a 20% chance we will get a 16% return, a 30% chance of getting a 12% return, a 40% chance of getting a 8% return, and a
Setler [38]

Answer:

SD = 0.03666 or 3.666%

Explanation:

To calculate the standard deviation of the investment, we must first calculate the expected or mean return of the investment. The expected or mean return can be calculated as follows,

r = pA * rA  +  pB * rB  +  ...  +  pN * rN

Where,

  • pA, pB, ... represents the probability of return A, return B and so on

r = 0.2 * 0.16  +  0.3 * 0.12  +  0.4 * 0.08  +  0.1 * 0.04

r = 0.104 or 10.4%

The formula to calculate the standard deviation of a stock/investment is as follows,

SD = √pA * (rA - r)²  +  pB * (rB - r)²  +  ...  +  pN * (rN - r)²

SD = √0.2 * (0.16 - 0.104)²  +  0.3 * (0.12 - 0.104)²  +  0.4 * (0.08 - 0.104)²  +  0.1 * (0.04 - 0.104)²

SD = 0.03666 or 3.666%

4 0
2 years ago
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