Answer:
The smallest Q that will suffice is 409.86
Explanation:
Since Future value of payments = 14000
300*[(1 + 3%/12)^12 - 1]/3%/12*(1 + 3%/12)^24 + Q*[(1 + 3%/12)^24 - 1]/3%/12 = 14000
Q*[(1 + 3%/12)^24 - 1]/3%/12 = 14000 - 300*[(1 + 3%/12)^12 - 1]/3%/12*(1 + 3%/12)^24
Q = 409.86
Therefore, The smallest Q that will suffice is 409.86
The company should sell product xy as it is
and should not process it further.
Given:
Original
Incurred cost of $5,000
No. of units is 6,400
Price per unit is $33
Processed product
No. of units is 6,400
Costs for further processing is $8/unit
New price per unit is $39
First, know the total costs
Original: $5,000
Processed: 6,400 x $8 = $51,200
Next, find the sales revenue for the original
and processed product
Original: $33 x 6,400 = $211,200
Processed: $39 x 6,400 = $249,600
Then, get the net profit for the original and
processed product
Original: $211,200 - $5,000 = $206,200
Processed: $249,600 - $51,200 = $198,400
With the data provided, you can find out that
the net profit is higher on the original/unprocessed product compared to the
processed product even if the selling price and revenue is much higher.
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Answer:
Y=4200+0.074X
At activity level of 80,000 kilometers total cost is $10,120
Explanation:
Variable cost=(cost at higher activity-cost at lower activity level)/(vol. at higher activity level-vol. at lower activity level)
cost at higher activity level=105000*0.114=$11,970
cost at lower activity level=70000*$0.134=$9,380
variable cost=($11,970-$9,380)/(105,000-70,000)
=$0.074
The cost function is Y=a+bX
where Y is total cost
a is fixed cost
b is the variable cost
X is the volume of output at a particular level of output
by substituting variable cost at higher activity level of 105000 units
$11,970=a+($0.074*105000)
$11,970=a+$7770
a=$11,970-$7,770
a=$4,200
Y=4200+0.074X
If 80,000 kilometers were driven during the year,the total cost is computed thus:
Y=$4200+($0.074*80000)
Y=$4200+$5920
Y=$10,120
The preparation of the income statement for the year ended December 31 is as follows:
Sales $94,000
Cost of goods sold
Begininng finish goods inventory $20,000
Add:Cost of goods manufactured $41,000
Cost of goods available for sale $61,000
Less: Ending finish goods inventory -$17,000
Cost of goods sold $44,000
Gross margin $50,000
Less: Operating Expenses
General and Advertising Expenses $15,000
Selling Expenses $13,000
Total operating Expenses $28,000
Operating Income $22,000
Learn more about the income statement here: brainly.com/question/14308954
Answer:
Direct Material Quantity Variance = $10200 Fav
Explanation:
given data
Units produced = 5600
Direct materials purchased and used (7800 lbs.) = $70,200
Budgeted production = 5300 units
Direct materials 2.0 lbs/unit = $3/lb
to find out
direct materials quantity variance
solution
we get here Direct Material Quantity Variance that is express as
Direct Material Quantity Variance = (Standard Quantity - Actual Quantity) × Standard Rate ......................1
so put here value we get
Direct Material Quantity Variance = ( 5600 × 2.0 - 7800 ) × 3
Direct Material Quantity Variance = (11200 - 7800 ) × 3
Direct Material Quantity Variance = $10200 Fav
