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dybincka [34]
3 years ago
6

Flavor Enterprises has been approached about providing a new service to its clients. The company will bill clients $180 per hour

; the related hourly variable and fixed operating costs will be $85 and $14, respectively. If all employees are currently working at full capacity on other client matters, the per-hour opportunity cost of being unable to provide this new service is:
Business
1 answer:
liraira [26]3 years ago
3 0

Answer:

Flavor Enterprises

The per-hour opportunity cost of being unable to provide this new service is:

$81.

Explanation:

a) Data and Calculations:

Amount billable to clients per hour = $180

Variable operating cost per hour = $85

Fixed operating cost per hour =        14

Total operating cost per hour =      $99

Opportunity cost = $180 - $99 = $81

b) The opportunity cost for Flavor Enterprises being unable to provide this new service is the net benefit that the enterprise will loss.  While it costs the enterprise a total of $99 in operating cost per hour, the enterprise will receive $180 per hour in revenue.  Therefore, the net benefit lost if the service is not provided per hour is the difference between the $180 revenue and the $99 operating costs, which equals $81.

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3 0
4 years ago
What would you do if you got conflicting answers for the same procedure from two different people you interviewed? What would yo
Gennadij [26K]

Answer:

The best solution will be to get the two individuals together to try and get a solution that is agreeable between two of them.

Explanation:

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The analyst is to facilitate a common ground that takes into consideration all views.

In the given scenario the department manager may be privy to information that the clerical person does not have. This will give a better view of processes that will be in line with business goals and objectives.

However the clerical staff pays more attention to details of business procedures. He is most likely more updated on business procedure that the department head.

The best way forward is the get the two of them together to trash out the differences of their procedures and come up with one that takes the managerial view of the department head and the detail oriented view of the clerical staff into consideration

6 0
3 years ago
You just received a $5,000 gift from your grandmother which you have decided to save and then gift to your grandchildren 50 year
svetlana [45]

Answer: Difference = $185,948.5 - $147,285. = $38,663.5

Explanation:

To calculate the future value,  you have to use the formula

fv = PA (1 + r/100)ⁿ

where

FV = future value

PA = Present Amount

r = rate

n = number of years

calculating for the future value if you earn a percent of 7.5 =

fv = 5,000 (1 + 0.075) ⁵⁰

fv = 5,000 ( 1.075)⁵⁰

fv = 5,000 (37.1897)

fv = 185,948.5  

calculating the Fv when the rate is 7%

fv = 5,000 (1 + 0.070) ⁵⁰

fv = 5,000 ( 1.070)⁵⁰

fv = 5,000 (29.4570)

fv = 147,285

Then find the difference between the Fv when the rate is 7.5 and when the rate is 7

Therefore difference = $185,948.5 - $147,285. = $38,663.5

6 0
4 years ago
Reserve ratio was 15% at the balance sheet the whole commercial banking system rather than for a single
larisa [96]

Reserve ratio was 15% at the balance sheet the whole commercial banking system rather than for a single <u>lend out or invest.</u>

<h3>What is commercial banking ?</h3>

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Commercial banks generate revenue through making loans, including mortgages, vehicle loans, business loans, and personal loans, and charging interest on those loans. The money needed to fund these loans is provided by customer deposits to banks.

  • Commercial banks provide basic banking services, such as deposit accounts and loans, to individuals and small to medium-sized businesses.
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5 0
2 years ago
Libre, Inc. has experienced bad debt losses of 5% of credit sales in prior periods. At the end of the year, the balance of Accou
baherus [9]

Answer:

Estimated Bad Debts = $ 9600

Explanation:

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The percentage of credit sales method, what is the estimated Bad Debt Expense for the year=  5% of $192,000 = $ 9600

Unadjusted balance Allowance for Doubtful Accounts $1,550 Credit

Less Current Year Bad Debts Balance = $ 9600

Adjustment= $ 8050

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Estimated Bad Debts = $ 9600

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