Answer:
<u>cost to be accounted for:</u>
beginning cost: 180,000
added cost 756,000
total cost <em> 936,000</em>
<u>cost accounted for:</u>
ending WIP 30,000 x 5.2 = 156,000
trasnsferred-out: 150,000 x 5.2 = 780,000
total cost accounted for <em> 936,000</em>
Explanation:
150,000 completed
50,000 at 60%
weighted average equivalent unit:
complete + percetage of completion ending WIP
150,000 + 50,000 x 60% = 180,000
Cost per unit:
936,000 / 180,000 = 5.2 dollar per unit
we should match the total cost pool with the ending WIP and trasnferred out units
The Pricing strategy which Dream Homes implemented is known as Price lining (Option A) which categorized the prices accordingly with the financial soundness of the customers.
Explanation:
The demand for more goods always plays a vital role in ensuring good sales. The likes of the customers towards particular products depend upon the nature of unique features and its fine quality. By capturing the pulse of the purchasing power of the customers, the business ventures fixed the prices according to the level of economical weaker sections, middle, and high-income groups.
In this case, Dream Homes fix the price of freezers by measuring the ability of customers' to buy them without compromising with the customers requirements. Dream Homes uses the price lining method to gain customers' reputation by selling the products accordingly with their status of income level.
Answer:
The second project should be chosen. Because the present value of the second project is greater than that of the first project.
Explanation:
The project that should be chosen can be determined by comparing the present value of both projects.
Present value is the cash flows from a project discounted at the discount rate.
Present value can be found using a financial calculator;
For project 1,
Cash flow each year from year one to six is $52,000
Discount rate = 15%
Present value =$196,793.10
For project 2,
Cash flow each year from year one to eight is $48,000
Discount rate = 15%
Present value =$215,391.43
The second project would be chosen because its present value is greater than that of the first project.
I hope my answer helps you
<u>An open market operation is the purchase or sale of </u><u>government securities </u><u>by the </u><u>Federal Reserve System</u><u> in the open market.</u>
What are open market operations?
- The Federal Reserve uses open marketplace operations (OMOs), that are important banks' purchases and income of securities at the open marketplace, as a key device for wearing out financial policy.
- The Federal Open Market Committee establishes the short-time period intention for open marketplace operations (FOMC).
What is an open marketplace purchase?
- The buying or promoting of stocks in a agency through insiders is called an open-marketplace transaction.
- An insider should report the important office work with the SEC earlier than carrying out an open-marketplace transaction which will follow insider buying and selling regulations.
Learn more about open market operations
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