Answer: The elasticity of demand will determine the degree to which quantity demanded rises.
Explanation:
Acc. to the law of demand, demand for a normal good is negatively related to its price. When price of the good falls, quantity demanded rises.
Price elasticity of demand shows us the magnitude of change in quantity demanded to a change in the price of the good.
So, when price falls, elasticity will show us by the degree to which quantity demanded rises.
Answer:
$1.25
Explanation:
With regards to the above and given that;
Direct material = $510 310
Direct labor = $410 $670
Manufacturing overhead?
Work in process = Direct material + Direct labor + manufacturing overhead
$3,250 = $820 + $1,080 + MOH
$3,250 - $1,900 = MOH
MOH = $1,350
Overhead rate = MOH/Direct labor hour
= $1,350/1080
= $1.25
Answer:
Option E It is multiplied by the material unit cost to calculate the per unit carrying cost.
Explanation:
The reason is that the carrying cost which is also known as holding cost is the cost of holding a unit material for a year and this can be calculated as:
Holding Cost is also given in percentage of material price and is calculate by multiplying it with the material unit cost to calculate the holding cost per unit per year.
So the option E is correct.
The line on a production possibilities curve that shows the amounts of goods produced is called production possibilities frontier.
Answer:
The answer is: $14.76
Explanation:
To calculate the factory overhead rate per direct labor hour we must divide the total factory overhead cost over the total amount of direct labor hours.
Factory overhead rate = $15,5000,000 / 1,050,000 direct labor hours
Factory overhead rate = $14.76 per direct labor hour