Answer:
It is a disadvantage to continue processing QI. The lost on profit is= $5500
Explanation:
Product QI has been allocated $18,300 of the total joint costs of $39,000.
A total of 2,500 units of product QI are produced.
Product QI can be sold at the split-off point for $14 per unit.
It can be processed further for an additional total cost of $10,500 and then sold for $16 per unit.
<u>Split-off point:</u>
Sales= 2500q*$14=$35000
Total cost=$18300
Profit=$16700
<u>Post-split-off:</u>
Sales=2500*16=$40000
Cost previous split-off=$18300
Added cost= $10500
Profit=$11200
Comparing profits (16700>11200) it is not beneficial to continue processing QI products.
Answer:
b. the U.S. price level to rise and real GDP to fall.
Explanation:
A recession can be regarded as macroeconomic term which is used to describe significant decline that occur in general economic activity within a designated region. It can be regarded as economic decline of two consecutive quarters which is been reflected by GDP along with some monthly indicators, this indicators could be a rise in unemployment.
For, instance Recessions in China and India would cause the U.S. price level to rise and real GDP to fall.
Answer:
Dollar return of US Bancorp = $7.69
Explanation:
A Dollar return of US Bancorp = $36.19 - $29.89 + $1.39 = $7.69
Total Dollar return of US Bancorp = $7.69 * 200 = $1,538
Percentage return of US Bancorp percentage return = ($7.69/$29.89) * 100 = 25.72%
B Dollar loss of Hilton Hotels = $13.12 - $13.31 = - $0.19
Total Dollar loss of Hilton Hotels = - $0.19 * 300 = - $57.00
Percentage loss of Hilton Hotels = (-$0.19/$13.31) * 100 = 1.43%
C Dollar return of Hilton Hotels = $34.90 - $24.11 + $0.16 = $10.95
Total Dollar return of Hilton Hotels = $10.95 * 250 = $2,737.50
Percentage return of Hilton Hotels = ($10.95/$24.11) * 100 = 45.42%