Answer:
Dr Work in process inventory 2,800
Dr Factory overhead 600
Cr Raw material inventory 3,400
Explanation:
Work in process = $900 + $1,200 + $700 = $2,800
Factory overhead (supplies) is the same, $600
inventory decrease = WIP + supplies = $2,800 + $600 = $3,400
Answer:
$78,000
Explanation:
Total cost of producing 2,000 tires:
= [(Direct materials + Direct manufacturing labor + Variable manufacturing overhead) × 2,000 units] + Fixed cost
= [($20 + $3 + $6) × 2,000 units] + ($10 × 2,000 units)
= $58,000 + $20,000
= $78,000
Therefore, the total cost of producing 2,000 tires is $78,000.
Answer:
The probability of getting paid more than $6500 in 100 weeks is 0.6%
Explanation:
In this problem, we need to define a probabilty distribution for the money earned.
The 100-week payoff can be expressed as
Being L the numbers of weeks we have low pay and H the weeks we have high pay.
Now, as it is a coin flip, H is a binomial random variable with p=0.5 and n=100
For a total pay off of more than 6500, H has to be
That means that in at least 63 of the 100 weeks we have to get a high pay.
If we compute the individual probabilities we get P(H≥63)=0.006 or 0.6%.
Answer:
cannot be reduced by producing less output.
Explanation:
In the case of the fixed cost of production that lies in the short run does not decreased while generating the lower output as the fixed cost are considered to be the independent on the other hand the variable cost changes with the output. Moreover, the total cost could be divided into the fixed cost where the firm could incurred prior generating an output
So the above statement should be considered
