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3 years ago

How do organizations calculate various costs, and what do these calculations mean to business?

Business

1 answer:

QveST [7]3 years ago

8 0

Answer:

See the explanation section

Explanation:

Organizations calculate various costs with the help of the weighted average cost of capital. It is a significant cost measurement system through which organizations can calculate the cost of debt after tax, cost of new equities, cost of existing equities, and cost of preferred shares. WACC can be a benchmark for the organization. A firm needs to know those costs because it can make sure that whether those projects are running smoothly to continue or running worse to reject.

Another significant cost measurement method is the net present value. With the help of NPV, a business can make sure about a project to accept it or reject it.

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Which of the following situations may qualify a taxpayer to claim an education credit on their tax return? g

mihalych1998 [28]

Answer:

The correct answer is letter "B": The taxpayer paid education expenses for their dependent child at an eligible educational institution for a degree.

Explanation:

Taxpayers can take educational credits for themselves, their spouse, and dependents who during the tax year have been enrolled in or attended an eligible post-secondary school. In the case of dependents, they must be claimed as such in the taxpayer's return and cannot appear in any other filing.

6 0

3 years ago

Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor-hour

Xelga [282]

Answer:

Results are below.

Explanation:

Giving the following information:

Direct materials: 5 pounds at $8.00 per pound $40.00

The planning budget for March was based on producing and selling 25,000 units.

a)

The material cost included in the planning budget is the standard cost multiplied for the budgeted production.

Direct material requiered= 25,000*5= 100,000 pounds

Standard cost per pound= $5

Direct material budget= 100,000*5= $500,000

The raw material's flexible budget adapts to the actual production level.

Direct material flexible budget= standard cost*actual material used in production

Direct material flexible budget= 5*160,000

Direct material flexible budget= $800,000

c)

To calculate the direct material price variance, we need to use the following formula:

Direct material price variance= (standard price - actual price)*actual quantity

Direct material price variance= (5 - 7.5)*160,000

Direct material price variance= $400,000 unfavorable

6 0

3 years ago

A grocery store has three open checkout lanes. On average, 45 shoppers arrive at these lanes per hour. The coefficient of variat

nadya68 [22]

Answer:

0.833

Explanation:

m = 3

Arrival rate, ra = 45 per hour

Service rate, re = 18 per hour per lane

Utilization factor = ra/(m.re)

= 45/(3*18)

= 0.833

Therefore, The utilization factor of the system is 0.833

6 0

3 years ago

Based on current dividend yields and expected capital gains, the expected rates of return on portfolios A and B are 9.1% and 12.

podryga [215]

Answer:

A.) ALPHA

Portfolio A = 8.5%

Portflio B = 13.5%

B.) Sharpe measure

Portfolio A = 0.1519

Portflio B = 0.1479

Explanation:

T- bill rate (Rf) =5%

S&P 500 index ( Rm) = 10%

Portfolio A;

Expected rate of return = 9.1%

Beta (B) = 0.7

Standard deviation (s) = 27%

Portfolio B;

Expected rate of return = 12.1%

Beta (B) = 1.7

Standard deviation = 48%

Required rate of return for both portfolios;

Rf + B × (Rm - Rf)

Portfolio A :

5% + 0.7 ×(10% - 5%) = 5% + 0.7 × (5%)

5% + 3.5% = 8.5%

Portfolio B :

5% + 1.7 ×(10% - 5%) = 5% + 1.7 × (5%)

5% + 8.5% = 13.5%

A) Alpha(A) of Portfolio A and B ;

A = Expected return - Required return

Alpha of portfolio A :

9.1% - 8.5% = 0.6%

Alpha of Portfolio B:

12.1% - 13.5% = - 1.4%

B.) Sharpe measure for portfolio A and B;

Sharpe ratio = (Expected rate of return - Rf) / s

Portfolio A = (9.1% - 5%)/27% = 0.1519

Portfolio B = (12.1% - 5%)/48% = 0.1479

I will choose Portfolio A

8 0

3 years ago

When preparing a speech introduction, you should usually?

Scrat [10]

When preparing a speech introduction, you should usually preview the main points to be discussed in the body, gain the attention and interest of your audience, and establish your credibility on the speech topic. This means that the correct answer is all of the above.
It is important that your introduction is interesting, presents everything you want to talk about, and convinces your audience why they should believe you.

3 0

4 years ago