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3 years ago

The performance evaluation of a profit center is typically based on its

Business

1 answer:

Deffense [45]3 years ago

5 0

Answer: The performance evaluation of a profit center is typically based on its segment margin.

Explanation: The segment margin is the amount of net profit or loss that is generated by a set portion of a business. When a business conducts segment margin analysis, they are able to determine which parts of the business are thriving and which parts of the business need help.

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Mickley Company’s plantwide predetermined overhead rate is $18.00 per direct labor-hour and its direct labor wage rate is $12.00

ipn [44]

Answer:

Results are below.

Explanation:

Giving the following information:

Predetermined overhead rate= $18.00 per direct labor-hour

Direct labor wage rate= $12.00 per hour.

Job A-500

Direct materials $220

Direct labor $60

First, we need to calculate the direct labor hours:

Direct labor hours= 60/12= 5

Now, we can allocate overhead:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Allocated MOH= 18*5

Allocated MOH= $90

Finally, the unit cost:

Total cost= 220 + 60 + 90= $370

Unit cost= 370/60

Unit cost= $6.17

5 0

3 years ago

The money left over after all of the business costs are subtracted is called the __________.

Ulleksa [173]

the awnser is B.Net profit

6 0

4 years ago

Marketing manager Ricki Stephens reviewed her marketing information system to learn who was buying her company's products and at

Rudik [331]

Answer:

Letter A is correct. Data warehouse.

Explanation:

Data warehouse acts as a digital data warehouse of the company, whose main purpose is to store relevant information about the organization so that through history it can provide reports that help the company in the decision making process according to the facts found.

The biggest benefits found in the database system are greater flexibility and control of information and research, and the creation of standards that correct data and coordinate and optimize system data to ensure greater effectiveness.

7 0

3 years ago

Machines A and B are mutually exclusive and have the following investment and operating costs. Machine A has a life of 3 years w

olganol [36]

Answer:

$-1081.01

$-2536.89

Explanation:

Equivalent annual cost method is a capital budgeting method used to choose between two projects with an unequal life span

The decision rule is to choose the product with the higher Equivalent annual cost

Equivalent annual annuity method is better for making this decision because if net present value is used, the project with the higher useful life would be chosen. this does not mean it is more profitable

EAA = $\frac{r(NPV)}{1 - \frac{1}{(1+ r)^{n} } }$

Net present value is the present value of after-tax cash flows from an investment less the amount invested.

NPV can be calculated using a financial calculator

Machine A

Cash flow in year 0 = - $5,000

Cash flow in year 1 = $800

Cash flow in year 2 = $900

Cash flow in year 3 = $1,000

I = 9%

NPV A = -2736.35

Machine B

Cash flow in year 0 = -$6,000

Cash flow in year 1 = $850

Cash flow in year 2 = $900

I = 9%

NPV B = -4462.67

EAA =

(0.09 x -2736.35) / ( 1 - (1.09)^3) = $-1081.01

(0.09 x -4462.67) / ( 1 - (1.09)^2)= $-2536.89

3 0

3 years ago

Pick Industries produces plastic toothpicks that it sells to distributors in the Southwest. During the early 1990s, the price of

Cerrena [4.2K]

Answer:

Other things equal, the fall in the price of plastic would shift Pic's marginal cost curve to the right. To maximize profits, Pic should increase its output. Since other firms in the industry do not enjoy the reduction in marginal costs, the market supply curve would not change and the market price of toothpicks would remain unchanged. Pic Industries would enjoy higher profits in the short-run

4 0

3 years ago