1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Andrej [43]
3 years ago
13

Clemente Inc. incurs the following costs to produce 10,000 units of a subcomponent:

Business
1 answer:
Sergeeva-Olga [200]3 years ago
8 0

Answer:

Option (A) is correct.

Explanation:

Total Cost of Manufacturing:

= Direct Material + Direct labor + Variable overhead + Fixed overhead

= $8,400 + $11,250 + $12,600 + $16,200

= $48,450

Variable Cost Per Unit = ($8,400 + 11,250 + 12,600) ÷ 10,000

                                     = 32,250 ÷ 10,000

                                     = 3.225

Offer from Outside Supplier = $2.85 Per Unit

Difference = 3.225 - 2.85

                  = $0.375 Per Unit

Total Difference = 0.375 x 10,000

                           = $3,750

The Increase in net Income from accepting the offer is $3,750.

You might be interested in
________________ focuses on explaining the differences between planned and actual contribution margins. a.Contribution margin an
Usimov [2.4K]

Answer: A.) Contribution Margin analysis

Explanation: The contribution margin analysis could be explained as an analytical tool in accounting which helps managers in observing variation or differences in the budgeted and actual contribution margin of a product. The contribution margin is used to determine the revenue made on a product after deducting the fixed cost incurred in it's production. It is also used to evaluate the performance of individual product derived from the amount of residual profit after deducting necessary production cost.

5 0
3 years ago
A small firm intends to increase the capacity of a bottleneck operation by adding a new machine. Two alternatives, A and B, have
Ronch [10]

Answer:

Alternative A : 7,800 units

Alternative B: 5,250 units

Explanation:

\frac{Fixed\:Cost}{Contribution \:Margin} = Break\: Even\: Point_{units}

Were:

Sales \: Revenue - Variable \: Cost = Contribution \: Margin

for A:

15 - 10 = 5 contrbution margin

each unit contributes 5 dollars

then: $39,000 fixed cost / $5 per unit =  7,800 units

It need to sale 7,800 untis to pay the fixed cost generated for alternative A

for B:

15 - 11 = 4 contribution margin

each unit contributes 4 dollars

then: $21,000 fixed cost / $4 per unit = 5,250

It need to sale 5,250 units to pay the fixed cost for this alternative

7 0
3 years ago
Because supply curves slope upward, this supports the law of supply that as prices __________, more goods will be supplied.
antoniya [11.8K]

Answer: increase

Explanation:

The supply curves slope upward due to the fact that there's a direct relationship between the price of the good and the quantity that's supplied.

This means that when price increase let's say the price of a good moves from $5 to $7, the suppliers will supply more due to the price increase.

3 0
3 years ago
If a test is being used to make a dichotomous decision (e. G. , suitable or unsuitable for the job), the _____ marks the point o
wolverine [178]

If a test is being used to make a dichotomous decision (e. G. , suitable or unsuitable for the job), the cutting marks the point of decision.

<h3>What is the usefulness of cut off mark in a test?</h3>

cut off mark in a test is been used in the selection process after the test which is very important in the point of decision.

And this will be necessary to get the good hand for the job when the  test is being used to make a dichotomous decision.

Learn more about  cut off mark at:brainly.com/question/25997960

#SPJ12

3 0
2 years ago
What is the most common factor in the code of ethics for many professional organizations?
serg [7]

Answer:

The correct answer is: information, training, and credentials are based on evidence-based practice.

Explanation:

Business ethics, in addition to having a responsibility for the common good, is a commitment to permanent respect for all its associates: its staff, its customers, its investors, its suppliers, its creditors and the State as representative of the society.

Thus, ethics should contribute to strengthening the credibility and reliability of the entire society in the company, managing to satisfy the wishes and attending to the rights of all its stakeholders.

8 0
3 years ago
Other questions:
  • As smartphone cameras improved, consumers turned away from traditional cameras. Polaroid lost market share and finally realized
    15·1 answer
  • Total Product Cost and Per-Unit Product Cost Slapshot Company makes ice hockey sticks. Last week, direct materials (wood, paint,
    6·1 answer
  • A firm has $76,000,000 in debt, which accounts for 43% of their total funds raised; the after-tax cost of these funds is 6.10%.
    11·1 answer
  • The net income reported on the income statement for the current year was $295,000. Depreciation recorded on fixed assets and amo
    6·1 answer
  • What's the best strategy for avoiding ATM fees?
    12·1 answer
  • Crosby Company owns a chain of hardware stores throughout the state. The company uses a periodic inventory system and the retail
    6·1 answer
  • Suppose you must estimate the cost of equity for a firm, and you have the following data: rRF = 5.5%; rM – rRF = 6%; b = 0.8; D1
    15·1 answer
  • Rector Corporation is examining its quality control program. Which of the following statements​ is/are correct? I. Rework costs
    9·1 answer
  • The project represented by this resource load chart has a maximum limit of 6 units of resource activity in any day. The first ac
    13·1 answer
  • What are some good colleges in New Orleans that arent expensive??
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!