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Igoryamba
4 years ago
7

Using ABC to compute product costs per unit

Business
1 answer:
Vladimir [108]4 years ago
8 0

Answer:

Instructions are below.

Explanation:

Giving the following information:

Activity Allocation Rate Mid–Fi Hi–Fi

Setup $1,700/per setup 39 setups 39 setups

Inspections $ 400/per hour 45 hours 15 hours

Machine maintenance $ 10/per machine 1,900 machine 1,200 machine

<u>First, we need to allocate indirect costs using the following formula:</u>

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

<u>Mid-Fi:</u>

Allocated MOH= 1,700*39 + 400*45 + 10*1,900= $103,300

<u>Hi-Fi:</u>

Allocated MOH= 1,700*39 + 400*15 + 10*1,200= $84,300

<u>Now, we can calculate the unitary cost.</u>

<u />

<u>Mid-Fi:</u>

Unitary indirect costs= 103,300/200= $516.5

Unitary cost= 400 + 400 + 516.5= $1,316.5

<u>Hi-Fi:</u>

Unitary indirect cost= 84,300/250= $337.2

Unitary cost= 1,300 + 300 + 337.2= $1,937.2

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Answer:

B. value proposition.

Explanation:

The value proposition is the value of the firm's offering, as explained to the target market.

It is also a belief from the customer about how value will be delivered, experienced and acquired because it is an innovation, service, or feature intended to make a company or product attractive to customers. Promotion is responsible for communicating this value proposition via a variety of media.

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3 years ago
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Jake serves on a committee of employees who were charged with selecting three co-workers to honor at the holiday banquet. One em
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B) How does the action I am proposing to take make me feel about myself?

Explanation:

According to Norman Peale (the ideologist of positive thinking), decisions that affect or solve ethical dilemmas should be evaluated against three questions:

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  2. Is the decision balanced and fair?
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4 years ago
Recall that trading by arbitrageurs (smart investors) tend to make prices better reflect fundamental value. We know that institu
uranmaximum [27]

Answer:

Yes, the prices of large capitalization stocks tend to be more efficient.

Explanation:

Large capitalization stocks are much more liquid than small capitalization stocks since they belong to well established companies that are generally industry leaders. A lot of investors trade their stocks every single day, which results in thousands of them being sold every trading day. That also lowers the opportunity for arbitrage, since a large of investors must be wrong and a single (or a few) arbitrator must be right.

Large capitalization stocks generally have more stable prices and tend to pay consistent dividends. Their sustainable growth rate is lower than most small capitalization stocks but it is much more steady. This also results in lower potential returns when investing in large capitalization stocks since they pose a very low risk. On the other hand, small capitalization stocks pose a larger risk and one of them is that they are not valued correctly (which allows arbitrators to step in).

8 0
3 years ago
Compute the modified duration of a 9% coupon, 3-year corporate bond with a yield to maturity of 12%.
iragen [17]

Answer:

C. 2.45

Explanation:

Pv of cash flow

1000x9%/(1+0.12)

= 90/1.12

= 80.36

Weight = 1

Weighted pv of cash flow = 80.36

Pv of cash flow

= 1000x9%/(1+0.12)²

= 90/1.2544

= 71.75

Weight = 2

Weighted pv of cash flow = 71.75x2

= 143.5

Pv of cash flow

= (1000+1000*9%)/(1+0.12)³

= 1090/1.404928

= 775.84

Weight = 3

Weighted pv of cash flow

= 775.84x3

= 2327.52

Total pv of cash flow = 80.36+71.75+775.84

= 927.95

Total weight of cash flow pv =

80.36+143.5+2327.52

= 2551.38

Duration = weighted pv/pv

= 2551.38/927.95

= 2.75

Modified duration =

Duration/1+0.12

= 2.75/1.12

= 2.45

6 0
3 years ago
A risk-free, zero-coupon bond with a face value of $1,000 has 15 years to maturity. If the YTM is 5.8%, which of the following w
Jet001 [13]

Answer:

price = $429.25

so correct option is d. $429

Explanation:

given data

face value = $1,000

time = 15 year

rate = 5.8 % = 0.058

to find out

price of bond

solution

we get here price that is express as

price = \frac{face\ value}{(1+rate)^{time}}    ........................1

put here value we get price

price = \frac{1000}{(1+0.058)^{15}}

price = $429.25

so correct option is d. $429

8 0
3 years ago
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