Here is the answer of the given question above. The decision rule that should be followed when deciding if a business segment should be eliminated is this: Segments with revenues which are less than avoidable expenses should be considered for elimination. <span>Unavoidable expense are those expense which will continue to be incurred whether segment is continued or discontinued. Hope this helps.</span>
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Answer:
$506,800
Explanation:
The calculation of budgeted materials cost is shown below:-
For computing the budgeted materials cost first we need to find out the total materials for production and materials to be purchased which is here below:-
Total materials for production = Budgeted production × Pounds of raw material per unit
= 35,000 × 4
= 140,000
Materials to be purchased = Total materials for production + Ending raw materials inventory - January 1 inventory
= 140,000 + (39,000 × 4 × 30%) - 42,000
= 140,000 + 46,800 - 42,000
= 186,800 - 42,000
= 144,800
Budgeted materials cost for January = Materials to be purchased × Cost per pound
= 144,800 × $3.50
= $506,800
Answer:
The size of the payment = $628.63
Explanation:
<em>An annuity is a series of equal payment or receipt occurring for certain number of period. </em>
The payment in question is an example of an annuity . We can work back the size of the payment using the present value of the ordinary annuity formula stated below
The Present Value of annuity = A × (1- (1+r)^(-n))/r
A- periodic cash flow,= ? r- monthly rate of interest - 4.25%/12= 0.354%
n- number of period- (71/4×12)= 87.
Let y represent the size of the payment, so we have
47,000 = y × ( 1-1.00354^(-87))/0.00354
47,000 = y× 74.76
y =47,000/74.7656= 628.63
The size of the payment = $628.63
Answer:
It is very simple, if your house burns down, the evidence is there. All you need to do it look at a house that burnt down either completely or partially, but its easy to verify.
On the other hand, if you report that a necklace was stolen, it is really difficult to verify. Unless it is a unique jewel that is worth a ton of money, you could have simply given it away as a gift and then report it as stolen. The opportunities for insurance fraud are many when dealing with jewelry or other valuable objects that can be moved around easily.
The second question about different grants of authority refer to the organizational structure of a company. E.g. a salesperson in Best Buy is able to sell any item or items to regular customers. But sometimes a large order comes and the company must decide whether to discount the price or not, and then management kicks in and decides. The same happens to insurance agents. A company decides that some agents deal with policies that involve X amount of risk. If the level of risk is higher, they must work with other agents that are authorized to deal with high risk policies. It is basically a clearance level where employees are authorized up to this amount, and above that amount, other employees must be involved.