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Afina-wow [57]
3 years ago
6

Hodge Inc. has some material that originally cost $74,600. The material has a scrap value of $57,400 as is, but if reworked at a

cost of $1,500, it could be sold for $54,400. What would be the financial advantage (disadvantage) of reworking and selling the material rather than selling it as is as scrap?
Business
1 answer:
Burka [1]3 years ago
6 0

Answer:  If the material is reworked and sold, Hodge Inc. has a financial disadvantage of (- 4500).

Let's see why:

1) If we sell the material at its disposal value: We have a cost of $ 74600 and the income from sale would be $ 57400 =

57400 - 74600 = (-17200). We have a loss of $17200.

2) If we rework the material we will have an original cost of $ 74600, an additional cost for reworking of $ 1500 and the income from its sale would be $ 54400 =

54400 - (74600 + 1500) = (-21700) We have a loss of $ 21700.

Then comparing the 2 situations =

(-21700) - (-17200) = -4500. There is a financial disadvantage of $4,500 if the material is reworked instead of selling it as scrap.

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kupik [55]

<u>According to keynesianism, as more items are being made, what happens to prices D. the prices stay the same</u>

Explanation:

Keynes advocated that an increased government expenditures and lower taxes can  stimulate demand and it can pull  the global economy out of the depression.

Keynesians believe that, because prices are somewhat rigid, fluctuations in any component of spending like consumption, investment, or government expenditure will cause the output to change. If government spending increases, for example, and all other spending components remain constant, then output will increase.

<u>According to keynesianism, as more items are being made, what happens to prices D. the prices stay the same</u>

5 0
2 years ago
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Consequmcws of inflation on the goverment? ​
Bogdan [553]

Answer:

Bad things will happen to you.

Explanation:

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3 0
3 years ago
Baxter Company produces​ children's wiffle ball sets using a threeminusstep sequential process that includes​ molding, coloring
anyanavicka [17]

Answer:

C) WIP InventoryWIP Inventory-Finishing

Explanation:

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5 0
3 years ago
ABC opened for business on January 1, 2018, and paid for two insurance policies effective that date. The liability policy was $5
Whitepunk [10]

Answer:

The balance in ABC's Prepaid insurance-account as on Dec 31, 2018 is <em>$27,000</em>

Explanation:

Liability policy  = ($54,000 / 18) × 6 months

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Crop damage policy = ($18,000 x 12 / 24)

Crop damage policy = $9,000

ABC's Prepaid insurance-account balance as on Dec 31, 2018 = $27,000

Thus,

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Now,

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4 0
2 years ago
Jim has hired a real estate broker to help facilitate the sale of his home. If the broker requires a commission of 6%, how much
Evgesh-ka [11]

Answer:

Jim will receive 449,999.62

Explanation:

We are going to discount the sales commission from the proceeds of the home, this will be the net cash  received from Jim

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commission 6% of 478,723 = 39723.38

net realizable                       449,999.62

(sales price - commisions)

3 0
3 years ago
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