Answer:
The correct option is C) $1600 cost increase.
Explanation:
COST OF BUYING WOULD BE = 4000 UNITS X $8
= $32,000
COST FOR MANUFACTURING THE PART WOULD BE =
4000 UNITS X $9 - 4000 UNITS X $.60
here we are subtracting the fixed cost from the total cost of manufacturing,a s only the variable cost would be taken in to account.
= $36,000 - $2400
= $33,600
So the difference between making product and buying product is $1600, therefore there would be increase of cost by $1600.
Answer: $286.50
Explanation:
Purchasing Power Parity (PPP) posits that prices are the same across countries given the rate of exchange between the currencies of the countries in question.
1 USD = 19.1 Mexican pesos.
Compact disc in Mexico would cost;
= 19.1 * 15
= $286.50
Answer:
21.26%
Explanation:
Overall rate of return = Total amount of dollar returns / Total investment
Overall rate of return = [($18,000 * 26%) + ($22,000 * 15%) + ($70,000 * 22%)] / $110,000
Overall rate of return = ($4680 + $3300 + $15400) / $110,000
Overall rate of return = $23,380 / $110,000
Overall rate of return = 0.21255
Overall rate of return = 21.26%
Answer:
(a) $17,900
(b) $800
Explanation:
Given that,
Current assets = $4,900
Net fixed assets = $27,300
Current liabilities = $4,100
Long-term debt = $10,200
(a) Total assets = Current assets + Net fixed assets
= $4,900 + $27,300
= $32,200
Total liabilities = Current liabilities + Long-term debt
= $4,100 + $10,200
= $14,300
value of the shareholders’ equity:
= Total assets - Total liabilities
= $32,200 - $14,300
= $17,900
(b) Net working capital:
= Current assets - Current liabilities
= $4,900 - $4,100
= $800
Answer:Probably the highest return rates usually crash so they invest in smaller options with lower return rates. Explanation:
