Answer:
The company's cost savings is $10 per unit.
Explanation:
Since the allocated fixed cost of $400,000 per year ($40 per unit) are unavoidable whether the company makes or buys this component, this will not be in the company's cost to determine the cost saving as follows:
Company's avoidable cost per unit = Variable costs per unit + Related fixed cost per unit = $109 + $1 = $110
Company's cost savings per unit = Company's avoidable cost per unit - Supplier's quotation per unit = $110 - $100 = $10 per unit
Total cost saving from normal production per year = 10,000 × $10 = $100,000
Total cost saving from normal production for the next 3 years = $100,000 × 3 = $300,000
Answer:
The correct answer is option 4.
Explanation:
Rhonda has agreed to invest $16,000 in a partnership with her sister and brother-in-law. she does not plan to work in partnership or invest any of her wealth other than $16,00. But she intends on sharing profits. This implies that Rhonda is a limited partner in the business.
A limited partner is a partial owner of a business. His/her liability to the business's debts is limited to the extent of the amount he/she has invested in the business. Such partners are often called silent partners as they don't have any involvement in the day to day operations.
Let's see there's forming, storming, norming and performing. I would use teambuilding during forming to limit the amount of storming in the next stage.