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Zarrin [17]
3 years ago
8

Damon Industries manufactures 20,000 components per year. The manufacturing cost of the components was determined as follows:

Business
1 answer:
Shkiper50 [21]3 years ago
8 0

Answer:

d. a $10,000 decrease.

Explanation:

The computation of the impact on the income is given below:

In case of making the product

= Direct material + direct labor + variable manufacturing overhead  + rented

= $100,000 + $160,000 + $60,000 + $10,000

= $330,000

And, in case of buying the product

= 20,000 × $17

= $340,000

So there is a decrease of $10,000

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Answer:

Different communication methods are used in different circumstances because sometimes a certain method will be more effective in terms of cost, time and impact, and sometimes it will be more appropriate.

Explanation:

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3 years ago
In 1998 Canada highest court declared
igomit [66]
Quebec could not legally secede.
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3 years ago
A holder of Rainbow Funds convertible bonds with a $1,000 par and a $1,100 price can convert the bond to 25 shares of common sto
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Answer:

22.22%

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Currently Rainbow's stocks are priced at $36 per stock.

If the holder can convert his $1,100 bond into 25 stocks, that means that each stock should be worth at least $44 (= $1,100 / 25).

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3 years ago
The owner of a bicycle repair shop forecasts revenues of $160,000 a year. Variable costs will be $50,000, and rental costs for t
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Answer and Explanation:

The preparation of the income statement is presented below:

<u>Particulars        Amount </u>

Revenue           $160,000

Less:

Rental Costs       $30,000

Variable Costs     $50,000

Depreciation       $10,000

Profit before tax $70,000

Tax at 35%     -$24,500

Net Income     $45,500

Hence, the net income is $45,500

6 0
3 years ago
1. The Cozy Company manufactures slippers and sells them at $ 10 a pair. Variable manufacturing cost is $ 5.75 a​ pair, and allo
nadya68 [22]

Answer:

(b) $ 43,750 ​increase

Explanation:

The computation of the effect on operating income is shown below:

= Contribution margin per unit × special order

where,

Contribution margin per unit = Selling price per unit - Variable expense per unit

= $7.50 - $5.75

= $1.75

And, the special order is of 25,000 pairs

Now put these values to the above formula  

So, the value would equal to

= $1.75 × 25,000 pairs

= $43,750

The fixed cost would remain unchanged.

6 0
3 years ago
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