Answer:
The correct answer is A
Explanation:
As per the UNICAP (stands for Uniform Capitalization) rules, the person have to capitalize the cost for creating the assets, which means or defines as to capitalize the raw materials, labor cost and other indirect as well as direct costs that is attributable to the production of the assets.
So, the costs which is to be capitalized in respect to inventory are the repacking cost, which is involved in the indirect supplies and other materials and the off site storage cost is involves in the rental of the facilities and equipment.
Answer:
A
Explanation:
DOL = Percentage change in EBIT / percentage change in sales
EPS = {(EBIT - Interest) × (1 - T) } / Shares
The firm has no debt, so interest would be zero
EPS = EBIT × (1 - T) / Shares.
Tax rate and number of outstanding shares remain unchanged.
Percentage Change in EPS = EBIT.
Percentage Change in EPS = (6.5 / 4) - 1 = 0.625 = 62.5%
EBIT = 62.5%
Percentage change in sales= 20%
DOL = 62.5% / 20% = 3.13
Answer:
increases as more people use them.
Explanation:
Network economics refers to a business that uses network effect. It is also called Netromix. The value of a good is increased as the number of buyers increases.
The business will benefit from feedback received by customers that use their products.
For example online services like LinkedIn and Twitter benefit from this type of framework. The more users that use these software th more the business gains.
Answer:
Jamal
Explanation:
Given that
Number of required slides = 50 slides
Creating slides Per hour = 15 slides
Bill amount per hour = $750
So by considering the above information, Bette's opportunity cost of creating slides would be
= Bill amount per hour ÷ creating slides per hour
= $750 ÷ 15 per hour
= $50
For making 50 slides, the opportunity cost would be
= $50 × 50 slides
= $2,500
And, Jamal opportunity cost is 30% lower, so it would be
= $50 - $50 × 30%
= $50 - $15
= $35
And, the billing rate is 25% higher, so it would be
= $750 + $750 × 25%
= $750 + $187.50
= $937.50
So in one hour, it would be
= $937.50 ÷ 35 slides
= 26 slides
Based on the creating slides, the Jamal gains a competitive advantage over Bette
