Answer:
A.Pattern Department 57 per DLH
Cut and Sew Department 78 per DLH
B.Small glove 8.52
Medium glove 10.65
Large glove 12.78
Explanation:
a) Calculation to Determine the two production department factory overhead rates.
Pattern Department = 165,200/2,900
= 56.9 Approximately 57 per DLH
Cut and Sew Department = 273,000/3,500
= 78 per DLH
Therefore two production department factory overhead rates will be :
Pattern Department 57 per DLH
Cut and Sew Department 78 per DLH
b) Calculation of the factory overhead cost per unit
Small glove (57*.04+78*.08)=8.52
Medium glove (57*.05+78*.10)=10.65
Large glove (57*.06+78*.12)=12.78
Therefore the factory overhead per unit for each product will be: Small glove 8.52
Medium glove 10.65
Large glove 12.78
Arvrage cost is the total cost divided by the number of units.
Answer:
The answer is <u>"a. 8.13%".</u>
Explanation:
Given that;
d0 = $1.75
p0 = $40.00
g = 3.6% = 0.036
By using the formula;
Price of the stock = (Dividend this year)(1+g) ÷ (r - g)
By putting the values;
40 = (1.75)(1+0.036) ÷ (r - 0.036)
r - 0.036 = (1.75)(1.036) ÷ 40
r - 0.036 = 1.813 ÷ 40
r - 0.036 = 0.045325
r = 0.045325 + 0.036
r = 0.081325 = 0.081325 x 100
<u>r = 8.13%</u>
Answer:
6.4%
Explanation:
we need to divide this investor's income in two parts:
- dividends are not taxed = $5,000 x 5% = $250
- capital gains = (selling price - basis) x (1 - tax rate) = ($4,975 - $4,900) x (1 - 15%) = $75 x 85% = $63.75
total after-tax gains = $250 + $63.75 = $313.75 / $4,900 = 0.064 ≈ 6.4%
Answer:
The correct answer is option C.
Explanation:
One of the goals of the federal reserve banks is to have price stability in the economy. Though price stability does not imply zero inflation. A small level of inflation is good for economy as it helps in growth of production.
So in order to acheive the goal of price stability, the rate of inflation should be low such as 1-3% and it should be consistent.
Very high inflation is harmful for the economy as it erodes the real income and wealth. Deflation is also not good for economy as it causes reduction in production and employment
