Real estate commission fee
Here, we are decide the best option between making the part or buying the part.
a. Make or Buy Analysis
Particulars Make amount Buy amount
Direct Materials $4.50
Direct Labor $1.00
Overhead (80% of Direct Labor) $0.80
Cost to buy <u> </u> <u>$4.70</u>
Cost per unit <u>$5.70 </u> <u>$4.70</u>
Cost Difference = $5.70 - $4.70
Cost Difference = $1.00
Therefore, the cost difference of making amount over buying amount is $1.00.
b. Because of the difference, Beto should buy the part because its cost is lesser than to make the part.
Therefore, the buying of the part is the best decision.
See similar solution about Analysis
<em>brainly.com/question/23287319</em>
Answer:
The correct answer is letter "C": marginal revenue equals marginal cost.
Explanation:
The profit-maximizing level of output for every type of firm is reached when the marginal revenue of production equals the marginal cost meaning that the additional cost of selling one more unit equals the cost of producing one more unit.
Marginal costs vary according to changes in production. Because of that, managers must identify when those events happen to calculate the profit margin (percentage sales that are converted into profits) of the firm to avoid losses.
Answer:
Our P = 17540 $
Explanation:
Amount of Insurance Policy = 50000$
premium reserve at 10th Year = 8000$
Net Premium for the policy = 900$
Annual Interest Rate = 6%
Net Premium at the age of 46 = ????
900 * 10 years = 9000$
9000 + Interest rate @ 6% = 9540$
Net Premium + Premium reserve of 10 Years = 9540 +8000 = 17540$
P = 17540 $
Note: As similar policy have interest rate @ 6%,which is paid every year,
At the age of 46, Net premium reserved amount also will be recovered.