Answer: The answer is a market structure in which a very few large sellers dominate the market.
Explanation:
Oligopoly : This is a market structure in which there are few producers of product with close substitute.There are two forms of oligopoly which includes, oligopoly who produce homogenous goods and differentiated goods respectively. Since,the number of competitors in oligopoly is small the reactions of each producers are more important. They tend to look at the actions of other producers before taken a vital decision.
Oligopoly is a types of imperfect market structure which has the following features
When products are homogeneous there is no special preference, but when the products is branded the consumers have a choice.
A single price reigns where goods are the same .The reverse is the case where goods are heterogeneous goods.
Price cut are for the same product,while price cut can also occur through advertising war fought by competitors in the market.7
Answer:
Quik Furniture Company
Production cost report - Sanding department
Month ended on March 31, 2020
Units Physical units Equivalent units
Materials Conversion
Units started 9,240
<u>in production </u>
Completed and 6,240
transferred out
<u>Work in progress 3,000 600 </u>
Total units 6,240 3,000 600
accounted for
Costs Direct Conversion Total
materials costs
Beginning WIP $0 $0 $0
Costs added during $36,960 $51,642 $88,602
<u>period </u>
Total costs $36,960 $51,642 $88,602
Cost per unit $4 $7.55 $11.55
(9,240 u.) (6,840 u.) (finished u.)
Answer:
Production total cost= $104,400
It is more profitable to buy the product.
Explanation:
Giving the following information:
Production costs (1,000 units):
Direct material $ 45,000
Direct labor $30,000
Factory overhead (30% is variable) 98,000
Buy:
1,000 units from an outside supplier for $100,000.
<u>I will assume that the fixed overhead is not avoidable, therefore it should not be taken into account for the decision making.</u>
Production total cost= 45,000 + 30,000 + (98,000*0.3)
Production total cost= $104,400
It is more profitable to buy the product.
Answer:
Debit WIP $57,000
Debit MOH $8,000
Credit raw materials $65,000
Explanation:
With regards to the above,
Indirect material used = $8,000 will be debited to manufacturing overhead [MOH]
Direct materials used =$65,000 - $8,000 = $57,000 hence will be debited to work in process account [WIP]
Raw materials will be credited by $65,000
The correct answer would therefore be;
Dr WIP $57,000
Dr MOH $8,000
Cr raw materials $65,000
Answer:
The answers are:
A) to record sales
Dr Accounts Receivable 853,600
Cr Sales Revenue 853,600
to record inventory
Dr Cost of Goods Sold 540,300
Cr Merchandise Inventory 540,300
B) to record sales returns
Dr Sales Returns & Allowances 114,200
Cr Accounts Receivable 114,200
to record inventory
Dr Merchandise Inventory 68,200
Cr Cost of Goods Sold 68,200
C) to record payment
Cr Cash 717,218
Cr Sales Discounts 22,182
Dr Accounts Receivable 739,400