Answer:
A) $28620 greater than if the company bought the part
Explanation:
The cost to produce the parts for Jackson Corporation amounts to $117000 for 26000 produced. The variable cost per unit is only 70000/26000 = $2.69 / unit.
On the other hand, purchasing from the outside supplier would cost $4.62 per unit along with $21500 in fixed costs. (43000 / 2 =21500)
Thus, it will cost $141620 (21500 + 4.62*26000) to purchase 26000 units from outside.
The benfit of producing these units by Jackson corporation is 141620 - 113000 = $28620.
Answer: A) supply increases and demand stays the same
Check out the diagram below. The curves S1 and D1 are the original supply and demand curves for some product. If we shift S1 to the right, we get some new curve S2. This is increasing supply. Keeping D1 the same means that the equilibrium price slides down and the quantity goes up.
In short, we have more stuff in the market, and each of those items is cheaper.
Nepal is multi media is co on of this
Answer:
E. Reports how equity changes over a period of time.
Explanation:
Statement of owner's equity as the name suggests is the statement which describes the changes in owner's equity, as it is obvious that the change cannot occur at a point of time, it will occur over a period of time.
And therefore, the statement is prepared over a period generally for a fiscal year, or a financial year.
There is no statement prepared to show any change in owner's equity at a point.
Statement reporting cash flows is called cash flow statement.
Therefore, correct option is:
Statement E
Answer:
$5,000 favorable
Explanation:
The computation of the total variable overhead variance is given below:
= Budgeted machine hours allowed for actual output × Budgeted variable overhead rate per machine hour - Actual total variable overhead
= 32,000 hours × $2.50 - $75,000
= $80,000 - $75,000
= $5,000 favorable
Since the favorable is more than the actual so it should be favorable
