Answer:
$9.3
Explanation:
The computation of total overhead unit cost is shown below:-
Actual full capacity = Production of batteries ÷ Productive capacity
= 40,000 units ÷ 85%
= 47,059
Direct Material per unit = Direct material ÷ Production of batteries
= $240,000 ÷ 40,000
= $6
Direct Labor per unit = Direct Labor ÷ Production of batteries
= $100,000 ÷ 40,000
= $2.5
Variable Factory Overhead per unit = Variable factory overhead ÷ Production of batteries
= $32,000 ÷ 40,000
= $0.8
Total overhead per unit = Direct Material per unit + Direct Labor per unit + Variable Factory Overhead per unit
= $6 + $2.5 + $0.8
= $9.3
Thus, we have applied the above formula.
Industrial goods are materials used in the production of other goods, while consumer goods are finished products that are sold to and used by consumers. ... They are made up of machinery, manufacturing plants, raw materials, and any other good or component used by industries or firms. In economics, goods are items that satisfy human wants and provide utility, for example, to a consumer making a purchase of a satisfying product. A common distinction is made between goods which are transferable, and services, which are not transferable.
Answer: Option (D) is correct.
Explanation:
The economic efficiency is achieved at a point where demand curve and supply curve intersects each other. This point is known as market equilibrium. The area under the demand curve and above the equilibrium price level is known as consumer surplus.
The area above the supply curve and under the equilibrium price level is known as producer surplus.
Hence, the combine area of consumer surplus and producer surplus have to maximized to have a economic efficiency in an economy.
Answer:
6.86011 Turkish liras per US dollar
Explanation:
US's inflation 3% for the next 3 years
Turkey's inflation 7% for the next 3 years
current Lira/Dollar spot rate (L/$) = 5.6702 (liras per dollar)
- inflation rate US = (1 + 0.03)⁵ = 1.159274
- inflation rate Turkey = (1 + 0.07)⁵ = 1.402552
difference = 1.402552 / 1.159274 = 1.20985 x current spot rate = 1.20985 x 5.6702 = 6.86011
Since the Turkish inflation rate is higher than the American inflation rate, then the Turkish lira will depreciate faster than the US dollar.
