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shepuryov [24]
3 years ago
10

Privott, Inc., manufactures and sells two products: Product Z9 and Product N0. The company is considering adopting an activity-b

ased costing system with the following activity cost pools, activity measures, and expected activity: EstimatedExpected ActivityActivity Cost PoolsActivity MeasuresOverhead CostProduct Z9Product N0TotalLabor-relatedDLHs$324,0186,4003,0009,400Product testingtests 45,747400500900Order sizeMHs 471,1084,0004,3008,300 $840,873 The activity rate for the Labor-Related activity cost pool under activity-based costing is closest to:____________
A. $91.49 per DLH
B. $934.30 per DLH
C. $34.47 per DLH
D. $114.37 per DLH
Business
1 answer:
german3 years ago
6 0

Answer:

Activity rate per labour hour= $34.47 per hour

Explanation:

<em>Activity-based costing is a form of absorption costing where overheads are charged to product using cost drivers. Under this method, overheads are first analyzed and categorized by the activities responsible for them and then charged to product based on the amount of benefits enjoyed using cost drivers. </em>

Activity rate is calculated as:

Activity cost for the period / Total cost drivers for the period

In this question, the appropriate cost driver is direct labour hours

= $324,018/(6,400 +3,000) labour hours

=  $324,018/9000 labour hours =

= $34.47 per hour

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Eduardwww [97]

Answer:

the fastest we could drop your price before your monthly revenue starts to drop is $2,000

Explanation:

Data provided in the question:

Cars sold per month, Q =  70 cars

Price of each car, P = $35,000

Rate of increase in demand, \frac{dQ}{dt} = 4 cars per month

Now,

Revenue, R = Price(P) × Quantity (Q)

Thus,

When monthly revenue starts to drop i.e \frac{dR}{dt} < 0

⇒ \frac{dR}{dt} = \frac{d(PQ)}{dt} < 0

or

⇒ P\frac{dP}{dt}+Q\frac{dQ}{dt} < 0

or

⇒ 70\times\frac{dP}{dt}+35,000\times4 < 0

or

⇒ 70\times\frac{dP}{dt} < - 140,000

or

\frac{dP}{dt} < - 2,000

Hence,

the fastest we could drop your price before your monthly revenue starts to drop is $2,000

7 0
3 years ago
Which of the following statements accurately brings out the difference between a perfectly competitive industry and a monopolist
rewona [7]

Answer:

its d

Explanation:

industry has the freedom to raise prices

5 0
4 years ago
Lois has a balance of $970 on a credit card with an APR of 24.2%, compounded monthly. About how much will she save in interest o
Aleks04 [339]

Answer:

Lois will save $152.51 when she wil transfer her balance.

Explanation:

Amount to be paid in 1 year for original credit card is given as

P_1^{'}=P*(1+r_1)^t

Here P^{'}_1 is the amount to be paid after P is the balance which is 970, r_1 is the APR for first credit card which is 24.2% and t is compounding frequency which is 12 so

P_1^{'}=P*(1+r_1)^t\\P_1^{'}=970*(1+\dfrac{24.2}{12}\%)^{12}\\P_1^{'}=970*(1.0207)^{12}\\P_1^{'}=970*1.2707\\P_1^{'}=\$1232.61

Similarly for the second one the values are calculated as

P_2^{'}=P*(1+r_2)^t\\P_2^{'}=970*(1+\dfrac{10.8}{12}\%)^{12}\\P_2^{'}=970*(1.108)^{12}\\P_2^{'}=970*1.1135\\P_2^{'}=\$1080.10

The differnce of the two values is calculated as

P_1'-P_2'=1232.61-1080.10\\Difference=\$ 152.51

The difference is $152.51 which she could save.

7 0
3 years ago
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When you learn that a coworker is pregnant, you must show her respect and use caution. You should merely express gratitude to the worker for informing you. Offer pregnancy prejudice your support and assure her that, if necessary, you would make accommodation's that are reasonable in nature for her.

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5 0
2 years ago
Balance sheet data for Alvarez Company on December 31, the end of two recent fiscal years, follow: Current Year Previous Year Cu
IceJOKER [234]

Answer:

Answer in Attachment

Explanation:

Download xlsx
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