Answer:
Increase by $31,500
Explanation:
Calculation to determine the operating income
First step is to calculate the Total relevant cost
DIFFERENTIAL ANALYSIS
MAKE BUY
Variable cost $144,900 $0
(2,100*$69)
Fixed cost $46,200 $0
(2,100*55*40%)
Purchase cost $0 (2100*76) = $159,600
Total relevant cost $191,100 $159,600
Now let determine the Increase or decrease of the company's operating income
Increase by =($191,100- $159,600)
Increase by = $31,500
Therefore Buying the valves from the outside supplier instead of making them would cause the company's operating income to: Increase by $31,500
How can you estimate the total sales volume you can expect in your location? You can forecast your sales by figuring out your market. Depending on your market you can estimate how mant people are likely to purchase your product and how often. By using market trends and product testing it allows for a forecast of total sales over time and can let a business know how much to produce so that they are meeting demand.
Answer:
a. N = 7, I/Y = 4, PV = -37,000
Explanation:
In financial calculator % is already written in the calculator so we have to write only number in calculator.
Option b incorrect because it has included a number with % ( 4% ) sign that we dint do usually in calculator.
Option c is incorrect because it has taken pv as positive
Option d is incorrect because it has written 4% that we don't put in calculator as well as it has inserted positive pv which is also wrong.
Answer:
D
Explanation:
In the economic system, the monetary policies of the government are implemented through the banks.
Adjusting the rate of interest can only be done by the Federal Reserve.
All other options are under government fiscal policy.
