The minimum price Jordan would accept for this special order is $22
Explanation:
Special order 40,000 calculators
Order price $23
Total order price = 40,000× $23 = 920,000
Note : according to the question.,there is no need for fixed manufacturing costs
Total cost Estimation = (Variable cost +estimated additional cost )×T.units
= (19 + 3) = 22 ×40,000 units = 880,000
profit from this order = 23-22 = 1 per unit ×40,000 = 40,000
The minimum price Jordan would accept for this special order is $22
The opportunity cost is greater than the one of the apples
Answer:
Unitary prime cost= $170.24
Explanation:
Giving the following information:
Last month, direct materials (electronic components, etc.) costing $550,000 were put into production.
Direct labor= $880,000.
Manufacturing overhead equaled $495,000
The company manufactured 8,400 television sets during the month.
Unitary prime cost= (direct material + direct labor)/number of units
Unitary prime cost= (550000 + 880000)/8400= $170.24
Answer:
7.53%
Explanation:
the yield to maturity = {coupon + [(face value - market value)/n]} / [(face value + market value)/2]
- coupon = $1,000 x 9.1% x 1/2 (semiannual) = $45.50
- face value = $1,000
- market value = $1,000 x 115% = $1,150
- n = (7 years - 2 years) x 2 semiannual periods = 30
YTM = {$45.50 + [($1,000 - $1,150)/30]} / [($1,000 + $1,150)/2] = $40.50 / $1,075 = 3.7674% x 2 = 7.5349% ≈ 7.53%
