Answer:
b) 100 cars per day.
Explanation:
With the information above, we can conclude that each worker washes 20 cars per day, and earns a wage of $60 per day.
So the total labor costs per day is $60 wage per worker X 4 workers = $240
The total sales revenue per day is: 80 cars washed per day X $5 per wash = $400.
So, we can see that with four workers, the firm has a good profit of = $400 - $240 = $160.
If the firm hired a fifth worker, labor costs would increase to $320 ($240 + $60), the amount of cars washed would increase to 100, and the sales revenue would increase to $500 (100 x $5).
So, profits would increase to $180 ($500 - $320) if the firm hired a fifth worker.
However, productivity should still be stable, so a worker who washed less than 20 cars per day should not be hired, this is why the A option is wrong.
Answer:
Jesse had been claimed disc unjustly
Explanation:
because the person is going to fire Jesse
Answer:
1.)
Selling price - Relevant
Direct materials cost - Relevant
Direct labor cost - Relevant
Variable manufacturing overhead - Relevant
Fixed manufacturing overhead - Not relevant
Regular selling expenses - Not relevant
Additional selling expenses - Relevant
Administrative expenses - Not relevant
2.) Helix should accept the deal, with a net operating income of $2,000
Explanation:
Explanation to Question 2 can be found in the attached picture
Answer:
B. has no effect on total assets.
Explanation:
Both cash and accounts receivable are assets. When a sale is made on credit, the entries required are debit accounts receivable and credit revenue.
On receipt of cash, debit cash and credit accounts receivable.
Hence the collection of a $1,000 Accounts Receivable will have no effect on total assets as one asset was credited ( a reduction) while the other was debited(an increase) by the same amount.
