Answer:
b. $75.
Explanation:
The computation of the time charge per hour is shown below;
But before that the total charge is
Labour Charge = $800,000
Overhead Cost = $480,000
Target Profit = $220,000
Total Charge = $1,500,000
Now
time charge per year is
= $1,500,000 ÷ 20,000 direct labor hours
= $75 per year
Hence, the company's time charge per hour is $75 per year
Therefore the correct option is b.
I'm sure it's true. A small business can thrive
Answer:
Some existing firms will exit the industry.
Explanation:
Because the market is in loss
loss=(ATC-P)*Q
ATC>P..............given
also, the firm is in working condition because it is having the price above AVC.
Because of loss some firms in long run discourage to work and leave the market.
Answer:
$10,215
Explanation:
Amount
Purchase 11,100
Less; purchase return <u>-1,600</u>
Net purchase 9,500
Less: Purchase discount (9500*3%) <u> -285</u>
9,215
Freight in <u>1,000
</u>
Cash Amount paid <u>$10,215</u>