Answer: Yes. AudioCable should buy a new equipment
Explanation:
Audiocables Inc. without new equipment:
Selling price: $1.40
Variable cost: $0.50
Fixed cost: $14,000
Sales: 30000 units
Total cost = Fixed cost + Variable cost
= $14000 + ($0.50 × 30000)
= $14000 + $15000
= $29000
Revenue = Sales × Selling price
= 30000 × $1.40
= $42000
Profit = Revenue - Total Cost
= $42000 - $29000
= $13000
Audiocables Inc. with new equipment:
Selling price: $1.40
Variable cost: $0.60
Fixed cost: $14,000 + $6000 = $20000
Sales: 50000 units
Total cost = Fixed cost + Variable cost
= $20000 + ($0.60 × 50000)
= $20000 + $30000
= $50000
Revenue = Sales × Selling price
= 50000 × $1.40
= $70000
Profit = Revenue - Total Cost
= $70000 - $50000
= $20000
From the calculations made, AudioCable buy a new equipment as profit generated is more.
Answer:B It thought that unemployment was a greater problem than the rising inflation rate
Explanation:
Inflation is the continuous rise in price of goods and services which is as a result of large volume of money in circulation used for the few available goods and services.
Unemployment is a situation where all that are willing and capable of being employed are unable to get employment.
In the above scenario lowering Interest rates will increase the volume of money in circulation which will invariably increase inflation and we equally increase level of investment as the cost of fund will be cheaper thereby lowering unemployment.
This action means unemployment is of greater problem than rising inflation.
It does not mean inflation is of more concern than unemployment otherwise it will have increase the interest rate, it will make loanable fund demanded to exceed supply and the quantity of money in supply will increase.
Answer:
the number of equivalent units for the production is 13,500 units
Explanation:
The computation of the number of equivalent units for the production is shown below:
Units completed and transferred is 10,000 units
Add Ending work in the process [7,000 × 0.50] 3,500 units
Total equivalent units 13,500 units
Hence, the number of equivalent units for the production is 13,500 units
The same is relevant
Answer:
d. cross-functional strategies
Explanation:
In an organisation, for the proper running of all the departments or functions, proper communications and coordination is required. So implementing the cross-functional strategies can succeed when all the functional areas of the organisation are properly coordinated with each other. And by implementing these strategies we can trace out the business strategy with supporting of all functional areas. These are useful to place all functional strategies properly.
Thus the answer is d. cross-functional strategies.
Answer:
A) since the U.S. has a fractional-reserve banking system, the amount of money in the economy depends in part on the behavior of depositors and bankers.
Explanation:
Since US banks operate under a fractional reserve banking system, they have the capacity to create money through the money multiplier, e.g. you deposit $1,000 in bank A, then bank A borrows $850 to Steven and he purchases a new bike from Sarah. Then Sarah deposits the money in bank B, and bank B borrows $722 to George who buys a laptop from Henry. Henry then deposits the money in bank C, and bank C borrows $614 to Susan, and this goes on and on.
The problem that the Fed faces is that in order for the fractional reserve system to work, households must hold their money in banks. Ans that is something that the government cannot control, specially the amount or portion that is deposited. The other players are banks, that ideally should borrow all the money that they are allowed to.
