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4 years ago

A fixed cost is a cost which

Business

1 answer:

ale4655 [162]4 years ago

4 0

Answer:

The answer is c. remains constant in total with changes in the level of activity.

Explanation:

In a cost structure of a firm, for decision-making purpose, it is usually divided into fixed cost and variable cost.

Variable cost is the type of costs which will increase following an additional production of an extra unit of product/service, that is, level of activity has been risen up given the production is taken place. A good example of these cost are material cost, labeling cost.

Fixed cost, as it name may tell, is costs that are unchanged regardless of a firm's activities level. That is, regardless of how many product/service is produced, these costs remain the same. A good example of these cost are depreciation cost, rental cost.

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Magno Cereal Corporation uses a standard cost system for its "crunchy pickle" cereal. The materials standard for each batch of c

Mandarinka [93]

Answer:

Material Quantity Variance = $18,000 Favorable

Explanation:

Material Quantity Variance = (Standard Quantity - Actual Quantity) $\times$ Standard Rate

Provided information

Here, Standard Rate = $3.00 per pound of raw material

Standard Quantity for Actual Output of 60,000 batches = 60,000 $\times$ 1.4 pound = 84,000

Actual Quantity = 78,000

Material Quantity Variance = (84,000 - 78,000) $\times$ $3.00

= 6,000 $\times$ $3.00 = $18,000

Since standard quantity is more than actual it is a favorable variance.

6 0

4 years ago

Plz, help ASAP!!!!!!!

Ulleksa [173]

Answer:

The correct answer is letter "D": 2%.

Explanation:

In 2019, the highest Average Percentage Yield (APY) banks offered in a traditional savings account was 0,01%. The situation is unlikely to change exponentially for 2020. However, the best option is choosing an online savings account since they are offering an APY of up to 2% (HSBC).

4 0

3 years ago

PCB Corporation manufactures a single product. Monthly production costs incurred in the manufacturing process are shown below fo

Colt1911 [192]

Answer:

Total Variable cost is $9 per unit

Varibale cost of Utilities is $0.5 per unit

Varibale cost of Maintainance $0.3 per unit

Explanation:

First calculate Fixed and Variable cost separately.

Fixed costs = Property taxes + Supervisory Salaries + Depreciation + Fixed utilities cost + Fixed Maintenance costs

Fixed Cost = $1,280 + 2,304 + $3,072 + $384 + $256 = $7,296

Variable costs to produce 3,840 units = Direct materials + Direct labor + Indirect labor

Variable costs to produce 3,840 units = $9,600 + $19,200 + $5,760 = $34,560

Variable cost per unit = Total Variable cost / Number of units

Variable cost per unit = $34,560 / 3,840 = $9 per unit

Variable cost portion of mixed cost= Total cost – Fixed portion

Utilities

Variable cost = $2,304 – $384 = $1,920

Variable cost per unit = $1,920 / 3,840 units = $0.5 per unit

Maintainance

Variable cost = $1,408 – $256 = $1,152

Variable cost per unit = $1,152 / 3,840 units = $0.3 per unit

5 0

4 years ago

Explain the monopolist Describe and/or analyze graphically the firm’s profit-maximizing,Break-even, and shut-down conditions Des

Lina20 [59]

Answer:

The overview of the given scenario is described in the explanation segment below.

Explanation:

The monopoly seems to be the owner and manager of the sole business that operates on either the marketplace (Industry).

The monopolist becomes making an extraordinary income. Balance requirements become MC = MR, MC reductions MR from underneath the.

The breakeven point would be where the expense of Average is equivalent to the value (Average Revenue-AR)

Closing down portion would be when the company is unable to cover the AR Cost i.e.

⇒ AR < AVC.

The normal monopoly would be when it has a large competitive edge over all the future entrants as either a barrier to the entrance of just about any new company, which prohibits any new installment including its company into the sector. It may even be attributable to someone's power over manufactured goods or perhaps the possession of environmental assets.

The limits of monopoly power are given below:

This power is limited to something like the possibility of competitors.
If alternatives are present mostly on the market, it's been difficult to retain the monopoly.
Law facilitates the possibility of monopoly power.

7 0

3 years ago

As a new controller, reply to this comment by a plant manager: "As I see it, our accountants may be needed to keep records fo

fiasKO [112]

Answer: Accountants play major role in firms in handling financial records and auditing. Managers know financial information based on either background knowledge or learning on the job

Explanation:

The accountants are valuable to the organization because they monitor the monetary information that concerns the firm, they handle how cash come in and keep track of how they are spent, all these makes them valuable even to the extent of auditing information as regarding the firm. Managers might understand financial information either based on how they monitor what occurs in the organization or what they learnt in from college. But it's unsafe for the managers to handle financial situation without the aid of a professional accountant.

6 0

3 years ago