Interpreting Graphs

Business

1 answer:

olya-2409 [2.1K]4 years ago

5 0

Answer:zz

Explanation:

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Haver Company currently produces component RX5 for its sole product. The current cost per unit to manufacture the required 65,00

balandron [24]

Answer:

1. The total incremental cost of making 65,000 units of RX5

Total Direct Material + Total direct Labour + Variable Overhead cost

Total Direct Material = 65,000 units * $5 = $325,000

Total Direct Labour = 65,000 units * $9 = $585,000

Variable Overhead cost = $65,000 * 10 = $650,000. $650,000 *(1- 80%) = $650,000 *20% = $130,000

Hence, The total incremental cost of making = $325,000 + $585,000 + $130,000 = $1,040,000

2. The total incremental cost of buying 65,000 units of RX5 =

The cost to buy the units = 65,000 units * $18 = $1,170,000

3. The company should be making the RX5 because the total cost of making the 65,000 unit of RX5 is lesser than cost of buying the 65,000 units of RX5

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4 years ago

In 1 or 2 sentences, define an externality and explain how the government makes companies take responsibility for negative exter

tamaranim1 [39]

In economics an externality is the cost or benefit that affects someone who did not choose this. It is the true cost of a product that can be both positive or negative. Pollution can be an example of this. An educated labor force producing more is a positive example of this. The government rewards positive externality and punishes negative externality. Rewards can be surpluses and taxes can be punishments.

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3 years ago

The Whistling Straits Corporation needs to raise $70 million to finance its expansion into new markets. The company will sell ne

viktelen [127]

Answer:

2,557,065 shares

Explanation:

Offer price = $30 per share

Underwriters Charge : 8%

If the company's underwriters sells new shares at the $30 per share issue price, Whistling straits corporation will receive:

offer price x (1 - underwriters charge)

= $30 × (1 - 0.08) = $27.60