Answer:
Fixed and Variable cost:
Fixed cost are the costs which cannot be changed with change in the level of goods and services sold or produced.
Variable cost are the costs which changes with change in the level of output produced and sold.
Product and Period cost:
Product costs are the costs which are incurred for making the product such as direct material, factory overhead and direct labor, etc.
Period costs refers to the cost which are incurred for a certain period of time. It is normally associated with the time period than with any type of transactional event.
Therefore, the classification of items is as follows:
(a) Variable cost - Product cost
(b) Variable cost - Product cost
(c) Fixed cost - Period cost
(d) Fixed cost - Period cost
(e) Fixed cost - Period cost
(f) Fixed cost - Period cost
(g) Variable cost - Product cost
(h) Fixed cost - Period cost
(i) Fixed cost - Period cost
Answer:
Large Medium Small
Unit selling price $184 $160 $100
Unit variable cost 130 120 76
Unit contribution margin $54 $40 $24
Autoclave hours per unit 3 2 1
Total process hours per unit 5 4 2
Budgeted units of production 3,000 3,000 3,000
a. Determine the contribution margin by glass type and the total company income from operations for the budgeted units of production.
- total contribution margin for large safety plate glasses = $54 x 3,000 = $162,000
- total contribution margin for medium safety plate glasses = $40 x 3,000 = $120,000
- total contribution margin for small safety plate glasses = $24 x 3,000 = $72,000
b. Prepare an analysis showing which product is the most profitable per bottleneck hour.
contribution margin per autoclave hour:
- large safety plate = $54 / 3 = $18 per autoclave hour
- medium safety plate = $40 / 2 = $20 per autoclave hour
- small safety plate = $24 / 1 = $24 per autoclave hour ⇒ MOST PROFITABLE PRODUCT PER AUTOCLAVE HOUR (BOTTLENECK)
Answer:
a) Bond rating is done by evaluating and considering all the relevant internal as well as external factors associated with the financial status of a business.
b) Bond rating helps in analysing the risk associated with the bond by analyzing its credit quality and thus helps investors taking decisions related to their investments.
Explanation:
a) Bond-rating is the letter grading system that is used to indicate the quality of the credit-related to the bond of various organizations. Bond-rating is done by evaluating and considering all the relevant internal as well as external factors associated with the financial status of a business. Internal factors may include the financial strength of the organization. External factors may include various networks with interested investors and other government organizations and policies related to the same.
There are three important agencies that analyze the credit quality of a bond. These agencies are Standard & Poor's, Moody's, and Fitch rating Inc.
b) Bond-rating help in analyzing the risk associated with the bond by analyzing its credit quality and thus helps investors taking decisions related to their investments. It helps the investors to study the stability and quality of a bond. Hence, higher-rated bonds are considered to be more stable and appropriate for investment purposes.
1 it could lead you to legal trouble
2 it could lead to bad credit
3 it could effect you being able to get a credit card to help get your credit back up
Answer:
The demand for money falls and the interest rate falls.
Explanation:
Price level can be described as the evaluation of the amount in which goods and services are sold in the market. A change in the price level can greatly affect the demand of a customer either positively or negatively.
A decrease in the price level enables a customer to purchase more products and at the same time save some amount of money, this results in the reduction of interest rates.
When the price level reduces, individuals will need less amount of money to buy the same quantity and type of product.
