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iren2701 [21]
3 years ago
6

Kitware Corp. produces and sells kitchen wares. Last year, it produced 7,000 can openers and sold each one for $6. To produce th

e 7,000 can openers, the company incurred fixed costs of $17,000 and a total cost of $45,000. Kitware's average variable cost to produce the 7,000 can openers was
Business
1 answer:
lana [24]3 years ago
7 0

Answer:

Average variable cost = $4 per can opener

Explanation:

The total cost is a function of the total fixed cost plus the total variable cost. If the total cost to produce 7000 can openers was $45000 and the total fixed cost was $17000, we can calculate the total variable cost to be,

Total variable cost = Total Cost - Total Fixed Cost

Total Variable cost = 45000  -  17000

Total Variable cost = $28000

The average variable cost per unit can be calculated by dividing the total variable cost incurred divided by the total number of units produced.

Average variable cost = 28000 / 7000

Average variable cost = $4 per can opener

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Answer:

The average one is $49,046. Found it online.

3 0
3 years ago
Research has found that employees whose managers participated in leadership training programs reported ________ afterwards.
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Research has found that employees whose managers participated in leadership training programs reported higher levels of organizational commitment afterwards.

<h3>Why is leadership development crucial for a company?</h3>

Managers and leaders are often encouraged through leadership skills training to: Discover fresh, creative approaches to managing and developing people.create fresh business chances.

Take on the bigger socioeconomic problems they are facing.

<h3>How might leadership abilities enhance work performance?</h3>

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5 0
2 years ago
Suppose the rate of return on short-term government securities (perceived to be risk-free) is about 5%. Suppose also that the ex
Natalka [10]

Answer:

The expected rate of return on the market portfolio is 14%.

Explanation:

The expected rate of return on the market portfolio can be calculated using the following capital asset pricing model (CAPM) formula:

Er = Rf + B[E(Rm) - Rf] ...................... (1)

Where:

Er = Expected rate of return on the market portfolio = ?

Rf = Risk-free rate = 5%

B = Beta = 1

E(Rm) = Market expected rate of return = 14%

Substituting the values into equation (1), we have:

Er = 5 + 1[14 - 5]

Er = 5 + 1[9]

Er = 5 + 9

Er = 14%

Therefore, the expected rate of return on the market portfolio is 14%.

7 0
3 years ago
Which of the following can result from inflation in the United States?
Semenov [28]

Answer:

b. Investors buy products in other countries.

Explanation:

Inflation causes higher cost of production for manufacturer which then charge high cost for the products. Thus, if there is inflation in US, product cost will skyrocket thus companies will buy products from other countries where the product might be at a cheaper cost.

4 0
2 years ago
Accounts receivable arising from sales to customers amounted to $84,000 and $74,000 at the beginning and end of the year, respec
solmaris [256]

Answer:

$330,000

Explanation:

Change in WC = Opening receivables - Closing receivables

Change in WC = $84,000 - $74,000

Change in WC = $10,000

The decrease in working capital is $10,000

Cash from operating activities = Net income + Decrease in Working Capital

Cash from operating activities = $320,000 + $10,000

Cash from operating activities = $330,000

Thus, the cash from operating activities is $330,000

4 0
3 years ago
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