Answer:
Attached is the complete questions containing the missing variables:
The activity rates for each activity are stated thus:
Cutting activity rate =$24/cutting hour
Assembly activity rate =$40/ assembly hour
Inspecting activity rate =$20/ inspecting hour
Reworking activity rate=$75/reworking hour
Explanation:
Cutting activity rate =$225600/(4000+5400)=$24/cutting hour
Assembly activity rate =$300000/(2850+4650)=$40/ assembly hour
Inspecting activity rate=$67500/(945+2430)=$20/ inspecting hour
Reworking activity rate=$45000/(150+450)=$75/reworking hour
Obviously you did not include the overheads incurred for each activity in your question,but I have the overhead for each activity in the attached full question with which I computed the required overhead activity rates
Answer:
Effect on income= 7,500 increase
Explanation:
Giving the following information:
Variable costs are $0.50 per unit.
Current monthly sales are 183,000 units.
Heaven Company has contacted Marx Company about purchasing 15,000 units at $1.00 each.
Because it is a special offer and there is unused capacity, we will not take into account the fixed costs.
Sales= 15,000*1= 15,000
Variable cost= 15,000*0.5= (7,500)
Effect on income= 7,500 increase
Answer: Advertise on radio and earn $14,000
Explanation: Dominant strategy may be explained as the tactics or option which works best for a particular firm and seems to give the firm an edge abive other competitors.
Since both are following their dominant strategy, even though advertising on TV seems more lucrative if only one of the advertise, by the time both of them place TV advert, profit falls to $8000. therefore the strategy who gives the highest return when both thread the same advertising path is the radio advert, which gives a return profit of $14,000. Therfore, Uan Pablo should advertise on radio and earn a profit of $14000
Answer:
1,732,960
Explanation:
The sales is $37,080,000
The net operating income is $3,108,960
The average operationg assets is $8,600,000
The required rate of return is 16%
The divisional residual income can be calculated as follows
= 3,108,960-(16/100×8,600,000)
= 3,108,960 - (0.16×8,600,000)
= 3,108,960-1,376,000
= 1,732,960
Hence the residual income is closest to $1,732,960