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ivolga24 [154]
3 years ago
9

Micro Enterprises has the capacity to produce 10,000 widgets a month, and currently makes and sells 9,000 widgets a month. Widge

ts normally sell for $6 each, and cost an average of $5 to make, including fixed costs. The monthly fixed costs are $18,000. Coyote Corp. has offered to buy 1,000 widgets at $4 each. What is the "cost" per unit in the context of evaluating the offer from Coyote Corp.
Business
1 answer:
leonid [27]3 years ago
7 0

Answer:

Cost per unit= $5

Explanation:

Giving the following information:

Units= 9,000

Widgets normally sell for $6 each, and cost an average of $5 to make, including fixed costs. The monthly fixed costs are $18,000. Coyote Corp. has offered to buy 1,000 widgets at $4 each.

To determine which option is best, we need to calculate the relevant costs. In this case, we don´t have any information regarding how much of the fixed costs are avoidable. I will assume that none.

<u>Because none of the fixed costs are avoidable, they will remain constant in both options. Therefore, fixed costs are irrelevant.</u>

Cost per unit= unitary variable costs

Cost per unit= $5

It is cheaper to buy the product.

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Carly’s Clips charges for their grooming services based on the following:________.
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Explanation:

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8 0
3 years ago
Read 2 more answers
A tax:________.
topjm [15]

Answer:

B) raises the price buyers pay and lowers the price sellers receive.

Explanation:

A tax can be defined as the compulsory levy by the government on the income of an individual or company and the goods and services. It is used to generate income in a country in order to finance the expenditures of the government.

Types of tax

• Income Tax: This is the compulsory levy by the government on the income of an individual.

•Corporate Tax: This is the levy paid by corporate organzation on their Profits.

•Sales Tax: It is levied on goods and services. This type of tax increases the price of a product thereby making buyers to pay more. The sellers receives lower prices because they will deduct tax from what the sellers have paid and pay to the government.

•Property Tax: It is levied on the value of land or property.

•Tariff: Tax paid on imported goods. It is used to discourage importation. An increase in import tariff leads to an increase in price of the Commodity thereby leading to decrease in quantity purchased.

There are three basic tax laws

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6 0
3 years ago
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Suppose that the United States and Canada both produce only two products, televisions and food. The United States can produce 10
algol13

Answer:

Option A. Two - Third of a television

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Using Unitary Method,

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So the right option is A.

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3 years ago
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