Answer:
It is more convenient to produce in house.
Explanation:
Giving the following information:
Direct materials $ 4.00
Direct labor 8.00
Overhead 9.00
Total costs per unit $ 21.00
Direct materials and direct labor are 100% variable. The overhead is 80% fixed. An outside supplier has offered to supply the 61,000 units of RX5 for $19.00 per unit.
The fixed costs are unavoidable, therefore we will concentrate the analysis in the variable costs.
Make in house:
Unitary cost= 4 + 8 + (9*0.20)= $13.8
Buy= 19
Difference= 19 - 13.8= 5.2
It is more convenient to produce in house.
Answer: a. $1,000.0m
Explanation:
Even though the company's enterprise value has no growth, the equity investment of the sponsor will rise from $500.0m when purchased to $1,000.0m when the target for the value of the enterprise is sold for $1500.0m.
The debt was $1000m at year 0 while the remaining $500m was for equity. It should be noted that at the fifth year, equity will be $1,000.0m while the debt will be $500m.
Answer:
The statement is: True.
Explanation:
Externalities are described as the effect of the actions of one party that influence directly in other individuals even if those other individuals have nothing to do in the operations of the first party. Externalities can be positive when they benefit the uninvolved individuals or negative when the externality affects them.
There are several types of externalities such as <em>technological, pecuniary, symmetric, asymmetric, transferable, depletable, non-depletable </em>and <em>transnational. </em>
Asymmetric externalities are those where the party causing the externality is not affected by its actions. It opposes symetric externalities which are those where the economic agent is directly affected by its own actions.
The type of listing agreement that provides for payment of a commission to the broker even though the owner makes the sale without the broker's aid is called an exclusive right to sell a listing.
Listing of exclusive distribution rights
Listing of exclusive distribution rights is the most commonly used contract. In this type of listing agreement, an agent is appointed as the sole agent of the seller and has exclusive authority to represent the property.
A California Realtor Listing Agreement is an agreement that authorizes a broker to sell an owner's property on their behalf. The contract allows them to list the property, but in most cases gives them exclusive rights to the property transaction and potentially earnable commissions.
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Answer:
12,600
Explanation:
Concept of Equivalent units of production measures the number of units in terms of percentage completion in input elements of the process.
<u>The equivalent units of production for materials</u>
Note : all materials are issued at the beginning of the process, therefore materials are 100% complete in both Widgets transferred out and Ending widgets.
Calculation :
transferred out (8,600 × 100%) = 8,600
ending inventory (4,000 × 100%) = 4,000
total = 12,600
Therefore, the equivalent units of production for materials in the Machining Department is 12,600.