What is the topic about? I need more details.
Answer and Explanation:
The computation of the contribution margin per pound for each of the three products is shown below:
As we know that
Selling price per pound - Variable cost per pound = Contribution margin
For Product K1
= $155.8 - $91
= $64.8
For Product S5
= $108.92 - $90
= $18.92
For Product G9
=$205.55 - $136
= $69.55
Now the contribution margin per pound is
For Product K1 = Contribution margin ÷ Pound
= 64.8 ÷ 4.2
= 15.43 per pound
For Product S5 = Contribution margin ÷ Pound
= 18.92 ÷ 4.1
= 4.61 per pound
For Product G9 = Contribution margin ÷ Pound
= 69.55 ÷ 5.3
= 13.22 per pound
Answer:
a. estimated total manufacturing overhead cost in the numerator.
Explanation:
The formula to compute the pre-determined overhead rate is shown below;
As we know that
Pre-determined overhead rate is
= Estimated total manufacturing overhead cost ÷ estimated activity level
Here estimated activity level can be estimated direct labor hours, estimated machine hours etc
Therefore the option a is correct
Answer: "e. None of the answers above is correct."
Explanation: 1) If a bond sells for less than par, its yield at maturity is greater than its coupon rate.
2) If a bond sells at par, its current yield will be the same as its yield at maturity.
3) A bond selling for more than par will always have a lower capital gain than a par bond.
4) Both Incorrect.