Is known as multiple- unit pricing.
The Food and Drug Administration (FDA). The FDA ensures the safety and effectiveness of a wide range of consumer products from medicines and cosmetics to food and medical devices.
Answer:
$9,000
Explanation:
Total variable cost of manufacturing the components are as follows;
Direct materials $21,000
Direct labor 6,000
Variable overhead 3,000
————
Total $30,000
If we purchase the cost is $39,000 and the company is indifferent if they will manufacture or purchase. Therefore;
$39,000 - 30,000 = $9,000 (unavoidable fixed cost)
Answer: b) $841,666.
Explanation:
Markwell will record the equipment at the present value of the amounts spent to purchase it.
Present value of the cash paid = $175,000
Present value of the noninterest-bearing note after a year = 700,000/(1 + 5%)
= $666,667
Total = 175,000 + 666,667
= $841,667
As per the options;
= $841,666
