Answer:
Explanation:
Sunk, or past, costs are monies already spent or money that is already contracted to be spent. A decision on whether or not a new endeavor is started will have no effect on this cash flow, so sunk costs cannot be relevant.
For example, money that has been spent on market research for a new product or planning a new factory is already spent and isn’t coming back to the company, irrespective of whether the product is approved for manufacture or the factory is built.
Committed costs are costs that would be incurred in the future but they cannot be avoided because the company has already committed to them through another decision which has been made.
Answer:
true
Explanation:
it was the time of the production line making it easy to make expensive things with people that are lower skilled and cheaper overall
Answer:
staff, equipment, schedules, quality control, and inventory
Explanation:
EDGE2022
Answer:The answer is $95,000 Loss
Explanation:
Income statement
$
Sales. 450,000
Less:variable cost.
Manufacturing expenses 128,000
Sales commission. 54,000
Shipping. 15,000
---------------- 197,000
-----------------
Contribution. 253,000
Less Fixed Overhead
Advertising. 23,000
Depreciation. 112,000
General factory overhead 49,000
Salary of production line manager 118,000
Insurance on inventories. 6,000
Purchasing department. 40,000
-----------------
348,000
-----------------
Profit/Loss. ( 95,000) Loss
--------------------------
Based on the income statement that showed a loss of $95,000 or decrease in operating income, Yes I would recommend that bilge pump product be discontinued.
Answer:
C. fairly priced.
Explanation:
For this question we use the Capital Asset Pricing model formula that is shown below:
Expected rate of return = Risk-free rate of return + Beta × (Market rate of return - Risk-free rate of return)
= 0.04 + 1.1 × (0.10 - 0.04)
= 0.04 + 1.1 × 0.06
= 0.106
As the expected rate of return given in the question is 0.106
And, we calculate it so it would be appear same i.e 0.106
So, the security is fairly priced
