Answer:
E. He is not accounting for the new consumers who will benefit from being able to consume the product.
Explanation:
With the increase in price of product, Demand equals Supply i.e., no shortage exists in the market. Thus, the equilibrium level is achieved at price of $ 10. Further, The most important advantage of increasing the price in the given question is that shortage which exists earlier no longer remains now which will benefit all the consumers including some new consumers as they will able to get the sufficient number of quantities of product for the consumption now. Financial Head of Firm is ignoring the new consumers who will benefit from able to consume the product.
Therefore, He is not accounting for the new consumers who will benefit from able to consume the product.
Answer:
Option D
Explanation:
We can calculate the equivalent taxable yield of investor facing a 38% marginal tax rate investment as follows
DATA
Tax rate = 38%
After tax yield = 4.25%
Solution
Let's suppose the equivalent taxable yield is x then
x(1-0.38)=4.25
x(0.62)= 4.25
x = 6.85%
Option D would be the correct answer
Answer:
The equivalent units of material in September were: 63,000
Explanation:
<em>Step 1 Calculate the Units Completed and Transferred to Finished Goods</em>
Units Completed and Transferred to Finished Goods = Units Started - Units in Closing Work In Process
= 63,000-6,300
= 56,700
<em>Step 2 Calculate equivalent units of material in September</em>
Note : All materials are added when the process is first begun. This means that BOTH the <em>Units Completed and Transferred to Finished Goods </em>and <em>Units in Closing Work In Process </em>are 100 % complete in terms of materials
Materials :
Units Completed and Transferred to Finished Goods = 56,700
Units in Closing Work In Process = 6,300
Total = 63,000
Answer:
45%
Explanation:
Contribution margin ratio = Contribution margin / Sales
Where;
Contribution margin = Sales - Variable cost
= $820,000 - $451,000(55% of sales)
= $369,000
Contribution margin ratio = $369,000 / $820,000 × 100
= 45%
Answer:
The correct answer is $15.69.
Explanation:
According to the scenario, computation of the given data as follow:-
We can calculate the cupcake sold by the dozen by using following formula:-
Cost for a dozen cupcake = Direct material + Direct labor + Factory OH
Where,
Direct material = 4.25 × $0.56 = $2.38
Direct labor = 1.10 × $8.30 = $9.13
Factory overhead = 1.10 × $3.80 = $4.18
By putting the value in the formula, we get
= $2.38 + $9.13 + $4.18
= $15.69