Answer:
Explanation:
Fixed costs per hour = 163,800/3900 = $42 per hour
Allocation rate = fixed cost per hour + variable cost per hour = $42+$33 = $75
Cost allocated to departments = $75 * 420 = $31,500
So the answer is B - $ 75 an hour for a total of $ 31 comma 500
Answer: 11.5%
Explanation:
Annual Percentage Rate (APR) can be defined as the annual rate of percentage earned via investment or charged for borrowing a particular loan.
APR=(( Fees+Interest/principal) /n)×365)×100
where:
Interest=Total interest paid over life of the loan
Principal=Loan amount
n=Number of days in loan term
Using the formulae, if properly calculated, the annual percentage rate (APR) of the loan to the nearest one-half of a percent would be 11.5%
Economist refer to this as the demand.
Answer: Make Components as it is cheaper by $2 to do so
Explanation:
I see there are no multiple choice options and I could not seem to find any.
However I have a feeling what the answer could be.
It will probably be asking what the company should do. Should it buy the product for $10 or make it itself.
To solve this we would have to calculate the cost of making each unit of the component.
= Direct Labour + Direct Material + Overhead
25% of Overhead is said to be Incremental. This means that 25% of Overhead is the Marginal Cost of production. i.e, the cost per unit.
= 25% * 4
= 1
We would charge $1 per unit to overhead costs.
The total cost per unit is therefore,
= 2 + 5 + 1
= $8
Since it will cost $8 to product the component themselves, they should produce it instead of buy it for $10
Accounts receivable.
AR is the outstanding debt that a company will collect from customers.