7g-9 ( 2g + 1 ) = 13

Jamie is analyzing the estimated net present value of a project under various conditions by revising the sales quantity, sales p

Juliette [100K]

Answer:

The answer is option E) The type of analysis that Jamie is doing is best described as scenario analysis.

Explanation:

scenario analysis assesses the effect of changing all the input variables at the same time.

Scenarios being considered can relate to a single variable, such as the relative success or failure of a new product launch, or a combination of factors, such as the results of the product launch combined with possible changes in the activities of competitor businesses. The goal is to analyze the results of the more extreme outcomes to determine investment strategy.

In this case, scenario analysis is used in analyzing the estimated net present value of a project under various conditions by revising the sales quantity, sales price, and the cost estimates.

4 0

3 years ago

When the price of candy bars is $1.00, the quantity demanded is 500 per day. When the price falls to $0.80, the quantity demande

Wittaler [7]

Answer:

The demand for candy bars is inelastic

Explanation:

The midpoint rule calculate the price elasticity of demand as percentage change in quantity divided by the percentage change in price:

% change in quantity

$\frac{Q_2-Q_1}{ \frac{Q_2 + Q_1}{2} } \times 100$

The quantity demanded increased from 500 to 600. We have

$Q_1 = 500 \: and \: Q_2 = 600$

$\implies \frac{600 - 500}{ \frac{600 + 500}{2} } \times 100 \\ = \frac{100}{ \frac{1100}{2} } \\ = \frac{100}{550} \\ = \frac{2}{11}$

% change in price

$\frac{P_2-P_1}{ \frac{P_2 + P_1}{2} } \times 100$

The price changed from 1 dollar to 0.8 dollars.

$\frac{0.8 - 1}{ \frac{0.8 + 1}{2} } = - \frac{2}{9}$

Price elasticity if demand is

$\frac{ \frac{2}{11} \%}{ - \frac{2}{9} \%} = - \frac{9}{11} = - 0.82$

The negative sign tells us that there is an inverse relationship between price and quantity demanded.

Since 0.82 is less than 1, the demand for candy bars is inelastic

5 0

3 years ago

Look at the scenario Linear Production Possibility Frontier. What is the maximum number of pairs of socks Largetown can produce?

LenaWriter [7]

Answer:

A) 40

Explanation:

The chart is not very clear, but the information included is:

it takes four hours to produce one shirt
it takes two hours to produce one pair of socks

If the total number of labor hours is 80, then the maximum number of socks produced will = 80 hours / 2 hours per pair of socks = 40 pairs of socks

The total number of shirts produced would be 20.

8 0

3 years ago

A perfectly inelastic supply curve means that … a) a shift in demand will cause the quantity supplied to increase to infinity. b

Jet001 [13]

Answer: A perfectly inelastic supply curve means that the quantity supplied is completely fixed.

Perfectly inelastic supply states that supply is completely fixed. Therefore it is not affected by the change in price level.

Therefore, the correct option in this case is (e)

5 0

3 years ago

Ikerd Company applies manufacturing overhead to jobs on the basis of machine hours used. Overhead costs are estimated to total $

Viefleur [7K]

Answer:

A. $2.40 per Machine hour

B. Underapplied = $10,000

C. cost of goods sold (debit) $10,000 , overheads (credit) $10,000

Explanation:

A) Compute the manufacturing overhead rate for the year

Overhead Rate = Total Fixed Overheads / Budgeted Activity

= $300,000 / 125,000 Machine hours

= $2.40 per Machine hour.

B) What is the amount of under- or over applied overhead at December 31st?

Under Applied Overheads = Actual Overheads > Applied Overheads

Over Applied Overheads = Actual Overheads < Applied Overheads

Actual Overheads = $322,000

Applied Overheads = $2.40 × 130,000 hours = $ 312,000

Underapplied = $10,000

C) Prepare the adjusting entry to assign the under- or overapplied overhead for the year to cost of goods sold.

cost of goods sold (debit) $10,000

overheads (credit) $10,000

7 0

3 years ago

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