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4vir4ik [10]
2 years ago
6

Kawasaki Company incurred the following unit costs in manufacturing digital cameras: Direct Materials $14 Indirect Materials (va

riable) $4 Direct Labor $8 Indirect Labor (variable) $6 Other Variable Factory Overhead $10 Fixed Factory Overhead $28 Variable Selling Expenses $20 Fixed Selling Expenses $14 During the period, the company produced and sold 1,000 units. What is the inventory cost per unit using variable costing
Business
1 answer:
Shtirlitz [24]2 years ago
0 0

Answer:

Unitary variable cost= $42

Explanation:

Giving the following information:

Direct Materials $14

Indirect Materials (variable) $4

Direct Labor $8

Indirect Labor (variable) $6

Other Variable Factory Overhead $10

During the period, the company produced and sold 1,000 units.

Under the variable cost method, the product cost is calculated using direct material, direct labor, and variable overhead:

Unitary variable cost= 14 + 8 + (4 + 6 + 10)= $42

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Taser Industries must decide whether to make or buy some of its components. The costs of producing 175,000 battery packs for its
Andrei [34K]

Answer:

It is cheaper to produce in-house. Cost savings= $3500

Explanation:

We need to find whether it is better to produce in-house or to purchase to a supplier.

Q= 175000

Produce in house:

Direct Materials $15,000

Direct Labor $5,000

Variable overhead $6,000

Fixed overhead $9,000

Total cost= $35000

Outsource:

Purchase Cost= 175000q*$0.18= $31500

Fixed Cost= (9000-2000)= $7000

Total cost=$38500

It is cheaper to produce in-house. Cost savings= $3500

6 0
2 years ago
Households can sign up for a telemarketing “no-call list.” How might households who sign up differ from those who don’t? What bi
pochemuha

Answer:

business in good in grenada

6 0
1 year ago
A firm has an issue of $1,000 par value bonds with a 9 percent stated interest rate outstanding. The issue pays interest annuall
dlinn [17]

Answer:

<u>$841 approx</u>

Explanation:

Bonds refer to debt instruments whereby the issuer raises long term finance, agreeing to pay the lenders, a fixed rate of coupon payments at regular intervals and repayment of principal upon maturity.

The present value of a bond is represented as:

B_{0} = \frac{C}{(1\ +\ K)^{1} } \ +\ \frac{C}{(1\ +\ K)^{2} } \ +\ ....\frac{C}{(1\ +K)^{n} }\ +\ \frac{RV}{(1\ +\ K)^{n} }

where B_{0}  = Present value of a bond

          C = Annual coupon payments

          k = yield to maturity/ cost of debt

          n = years to maturity

          RV = Redemption value

here, C = 1000 × 9% = $90

         K = 11%

         n = 20 years

         RV = $1000

putting these values in the above equation, we have,

B_{0} = \frac{90}{(1\ +\ .11)^{1} } \ +\ \frac{90}{(1\ +\ .11)^{2} } \ +\ ....\frac{90}{(1\ +.11)^{20} }\ +\ \frac{1000}{(1\ +\ .11)^{20} }

B_{0} = 7.9633 × 90 + 0.124 × 1000

B_{0}    = 716.699 + 124.033

B_{0}    = $ 840.73  OR $ 841 approx.

Thus, the bond will sell at $841 today.

8 0
2 years ago
Explain why Total costs curve behaves like this?​
Nikolay [14]

Answer:

Explanation: TVC is the total variable cost curve. It slopes upward left to right, as inverse S-shaped. This slope of TVC curve shows that the total variable cost increases initially at a decreasing rate as the total output increases and subsequently it increases at an increasing rate with the increase in the output.

Explanation:

8 0
2 years ago
​Craig's Craft Beer structures its company in such a way to encourage its most profitable older customers to remain loyal while
DedPeter [7]

Answer: Customer Equity.

Explanation:

Craig's Craft Beer company is building their customer equity, as they seek to maintain current customers and increase customer base. Customer Equity is the total value a business company benefits from all their customers, during their period of active patronage.

7 0
2 years ago
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