<span>The answer is an internal workforce
composition, since it is being made by workers who already work at the company.
Being internal rules out the two external choices. The request is the result of
the composition of the company workforce, not any strategy, which disregards an
internal strategy and makes an internal workforce the right response.</span>
Answer:
5.85%
Explanation:
Suppose the real risk-free rate is 3.50%, the average future inflation rate is 2.25%, and a maturity premium of 0.10% per year to maturity applies, i.e., MRP = 0.10%(t), where t is the years to maturity. What rate of return would you expect on a 1-year Treasury security, assuming the pure expectations theory is NOT valid? Disregard cross-product terms, i.e., if averaging is required, use the arithmetic average.
a. 5.75%
B. 5.85%
c. 5.95%
d. 6.05%
e. 6.15%
r = r* + IP + DRP + LP + MRP
r = 3.50% + 2.25% + 0 + 0 + .10% = 5.85%
Manufacturing overhead= $57,600
Explanation:
To calculate the Conversion costs, we need to use the following formula:
Conversion costs= direct labor + manufacturing overhead
Now, if direct labor is 60% of conversion costs, then:
Conversion costs= direct labor / (1 - 0.4)
Conversion costs= 86,400 / 0.6
Conversion costs= $144,000
Finally, we determine the manufacturing overhead:
Manufacturing overhead= 144,000 - 86,400
Manufacturing overhead= $57,600
They pretty much agree to get something say like money for free but then they eventually have to pay it back.