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Vitek1552 [10]
3 years ago
6

The cost to produce was $20 per unit in 2019. During 2020, it has increased to $23 per unit. In 2020, Supplier Company has offer

ed to supply for $18 per unit. For the make-or-buy decision:_____.a. incremental costs are $2 per unit.
b. differential costs are $7 per unit.
c. net relevant costs are $2 per unit.
d. incremental revenues are $7 per unit.
Business
1 answer:
MaRussiya [10]3 years ago
4 0

Answer: Differential cost is $5 per unit

Explanation:

Differential cost is the extra cost that the company would incur if they made the product themselves versus if they bought it from an outside supplier.

Differential cost is therefore:

= Cost to produce internally - Cost from supplier

= 23 - 18

= $5

<em>likely</em>

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Answer:

This question requires us to calculate cash flows from operations and net income. Each of them is calculated as follow.

Cash flows from operations

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Cash from operations = 25,000 - 100,000 =($ 75,000).

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Net income will be calculated using simple cashflow equation given below.

Closing cash balance = opening cashflow + net income + depreciation + cash flow from operations + cash flow investment + cash flow finance

25,000 = 55,000 + net income + 10,000 - 75,000 - 250,000 + 170,000

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3 years ago
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3 years ago
PAC money is directed primarily toward: a. liberal candidates regardless of whether they are incumbents or challengers b. congre
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Answer:

E) Congressional incumbents

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7 0
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Rhone-Poulenc is an international French company that produces and markets a variety of chemicals and pharmaceuticals. Due to th
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Answer:

core competency

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Core competency -

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7 0
3 years ago
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