Answer: $66.90 per unit
Explanation:
Cost that would be avoided is:
= Direct materials + Direct cost + Variable manufacturing overhead + part of fixed manufacturing overhead
= 20.80 + 26.50 + 6.90 + (36.10 - 31.40)
= $58.90
If the outside supplier commits to 59,000 units a year, the company should not pay more than:
= (Number of units supplied * Avoidable cost + contribution margin on other product (opportunity cost) ) / Number of units supplied
= (59,000 * 58.90 + 472,000) / 59,000
= $66.90 per unit
That seems true if its a true or false question
Answer:
The answer is "Option D".
Explanation:
Using the formula for calculating present value:

that's why "Option D" is correct.
Answer: The rate at which he is willing to substitute one good for the other
Explanation: Indifference curve shows the combination of two goods that give the consumer the same level of satisfaction. the slope of this indifference curve shows how much the consumer is willing to substitute one good for the other in order to keep utility constant.

Slope of Indifference curve for soda and chips shows how much soda Timothy is willing to substitute to get 1 additional unit of chips.

So, the correct option is the rate at which he is willing to substitute one good for the other.
Overtime pay is the amount overtime paid to each employee in a pay period.
How its calculated: Hourly pay rate x 1.5 x overtime hours worked.