Answer:
Net incremental cost of buying <u>(10,000). </u> \
Gilberto Company should produced the parts internally . Doing so would saving its $10,000 per year
Explanation:
The relevant cash flow from the accepting the offer of the outside suppliers include
Extra variable cost of buying
Savings in direct fixed manufacturing overhead
Unit variable cost of making: =$2
$
Variable cost of external purchase ($3.2× 50,000) 160,000
Variable cost of making ($2× 50,000) <u>(100,000 )
</u>
Extra variable cost of buying (60,000
)
Savings in direct fixed cost <u>50,000</u>
Net incremental cost of buying <u> (10,000)</u>
Because all people ( the public ) can fully enjoy this good/service without competing for it.
Answer:
<u>Bethesda Mining</u>
<u>Common-size Balance Sheets for as at </u>
2018 2019
% %
Assets
Current Assets
Cash 5.91 7.23
Accounts Receivable 7.00 8.96
Inventory 13.67 20.27
Total 26.58 36.46
Fixed Assets
Net Plant and Equipment 73.41 63.54
Total Assets 100.00 100.00
Liabilities and Owners` Equity
Current Liabilities
Accounts Payable 21.13 21.23
Notes Payable 9.43 14.66
Total 30.55 35.90
Long term debt 26.32 18.61
Owners` Equity
Common Stock and Paid in surplus 24.43 23.60
Accumulated Retained Earnings 18.70 21.89
Total 43.12 45.48
Total Liabilities and Owners` Equity 100.00 100.00
Explanation:
<em>Hi, I have attached the full question as an image below.</em>
In a Common Size Statement of Financial Position, each item is expressed as a percentage of Total Assets.
So, the first step is to determine the Total Assets for the Period you want work with. Next, express each item as a percentage of the Total Sales
Answer:
Required rate of return = 10.75%
Explanation:
<em>The value of a stock using the dividend valuation model, is the present value of the expected future dividends discounted at the required rate of return. The required rate of return is the cost of equity
</em>
The model is represented below:
P = D× (1+g)/ ke- g
Ke- cost of equity, g - growth rate, p - price of the stock
This model can used to work out the cost of equity, as follows:
Ke = D× (1+g)/p + g
Ke = (1.48× 1.05)/27 + 0.05
Ke= 0.107555556
Required return = 0.1075 × 100 = 10.75
Required rate of return = 10.75%
The fact that they will check hbefore making large purchases. is B. comparison shopping.
<h3>What is comparison shopping?</h3>
It should be noted that comparison shopping simply means choosing among the available suppliers to determine the best one.
In this case, the company is using the information to choose the best option.
Learn more about shopping on:
brainly.com/question/10310281
#SPJ1
