1. Determine whether the activity is either:

Four percent of the customers of a mortgage company default on their payments. a sample of five customers is selected. what is t

Maurinko [17]

We can use the formula for binomial distribution in calculating for the probability that exactly two customers out five will default on their payments.

The formula is: P(r) = nCr*q^(n-r)*p^r
Where:
n = sample size, 5
r = successes, 2
q = failure rate, 96% = 0.96
r = success rate, 4% = 0.04

Substituting on the formula:
P = 5C2*0.96^3*0.04^2
<span>P = 0.0142 or 1.42%</span>

8 0

4 years ago

1. I Co. recently began production of a new product, an electric clock, which required the investment of

dlinn [17]

Answer:

I Co.

1. Desired profit = 10% of invested assets

= $3,200,000 x 10%

= $320,000

2a. Total Variable cost per unit

Variable costs Per unit :

Direct labor $ 10

Direct materials 6

Factory overhead $ 4

Variable Product Cost ($20)

Administrative and selling $ 5

Total Variable cost per unit $25

b. Total fixed cost per unit

Total fixed cost per unit = $2,400,000/160,000 = $15

c. The selling price per unit

Sales / quantity = $7,520,000/160,000 = $47

Explanation:

Data:

Variable costs Per unit :

Direct labor $ 10

Direct materials 6

Factory overhead $ 4

Variable Product Cost $20

Administrative and selling $ 5

Total Variable cost per unit $25

EA

Fixed costs:

Manufacturing $ 1,600,000

Administrative and selling 800,000

Total fixed costs $2,400,000

b) Cost-plus approach to product pricing: This approach requires the addition of the direct materials, direct labor, and overhead costs

c) Required profit = 10% of invested assets

= $3,200,000 x 10%

= $320,000

d) Product cost:

Variable cost = $20 x 160,000 = $3,200,000

Fixed manufacturing costs $1,600,000

Total production cost $4,800,000

Product cost per unit $4,800,000/160,000 = $30

e) Income Statement to determine Sales Revenue

Sales $7,520,000

Cost of goods sold

($30 x 160,000) 4,800,000

Gross profit $2,720,000

Fixed Costs:

Manufacturing $ 1,600,000

Administrative & selling 800,000

Profit $320,000

7 0

4 years ago

If you buy a stock for $100, receive a $2 dividend and then sell the stock for $90, what is the total return from your investmen

Zepler [3.9K]

Answer:

-8%

Explanation:

For computing the total return from your investment, first we have to determine the return from investment which is shown below:

Return on investment = Total inflow - total outflow

where,

Total inflow = $90 + $2 = $92

And, the total outflow = $100

So, Return on investment would be -$8

Now the Return on investment in percentage would be

= Return on investment ÷ investment × 100

= - $8 ÷ $100 × 100

= - 8%

7 0

4 years ago

Cooper Company currently uses the FIFO method to account for its inventory but is considering a switch to LIFO before the books

VLD [36.1K]

Answer:

Cooper Company

1. FIFO:

Current ratio

= 3.15

Inventory turnover ratio

= 1.34

Rate of return on operating assets

= 12%

2. LIFO:

Current ratio

= 2.85

Inventory turnover ratio

= 1.73

Rate of return on operating assets

= 12.8%

Explanation:

a) Data and Calculations:

Merchandise inventory, January 1 $1,430,000

Current assets 3,603,600

Total assets (operating) 5,720,000

Cost of goods sold (FIFO) 2,230,800

Merchandise inventory, December 31 (LIFO) 1,544,400

Merchandise inventory, December 31 (FIFO) 1,887,600

Current liabilities 1,144,000

Net sales 3,832,400

Operating expenses 915,200

FIFO

Merchandise inventory, December 31 (FIFO) $1,887,600

Cost of goods sold (FIFO) 2,230,800

Goods available for sale $4,118,400

Merchandise inventory, January 1 1,430,000

Purchases $2,688,400

LIFO:

Goods available for sale $4,118,400

Merchandise inventory, December 31 (LIFO) 1,544,400

Cost of goods sold (LIFO) $2,574,000

Income Statements FIFO LIFO

Net sales $3,832,400 $3,832,400

Cost of goods sold (FIFO) 2,230,800 2,574,000

Gross profit $1,601,600 $1,258,400

Operating expenses 915,200 915,200

Net income $686,400 $343,200

Merchandise inventory, December 31 (LIFO) 1,544,400

Merchandise inventory, December 31 (FIFO) 1,887,600

Difference between FIFO and LIFO = 343,200

FIFO Difference LIFO

Current assets 3,603,600 343,200 3,260,400

Total assets (operating) 5,720,000 343,200 5,376,800

Cost of goods sold (FIFO) 2,230,800 2,574,000

Merchandise inventory, January 1 1,430,000 1,430,000

Merchandise inventory, December 31 1,887,600 1,544,400

Current liabilities 1,144,000 1,144,000

Average inventory 1,658,800 1,487,200

FIFO:

Current ratio = current assets/current liabilities

= $3,603,600/$1,144,000 = 3.15

Inventory turnover ratio = Cost of goods sold/Average Inventory

= $2,230,800/$1,658,800

= 1.34

Rate of return on operating assets = Net income/Total assets * 100

= $686,400/$5,720,000 * 100

= 12%

LIFO:

Current ratio = $3,260,400/$1,144,000

= 2.85

Inventory turnover ratio = $2,574,000/$1,487,200

= 1.73

Rate of return on operating assets = $686,400/$5,376,800 * 100

= 12.8%

3 0

3 years ago

__________ is an advanced procedure where products are created one layer at a time. it is also known as additive manufacturing.

vovikov84 [41]

Answer: 3D printing

8 0

3 years ago