Answer:
Enrique
a) Accounting profit = $114
b) Economic profit (loss) = ($136)
Explanation:
a) Data and Calculations:
Monthly Rent = $1,600
Cost price of flowers = $2 per bunch
Selling price of flowers = $3 per bunch
Operations are for 7 days (8 hours daily) = 56 hours
Quantity of flowers sold per day = 100 bunches
Quantity of flowers sold per week = 700 (100 * 7)
Employee hours = 5 * 3 + 2 * 8 = 31 hours
Hours worked by Enrique = 25 (56 - 31)
Employee wages = $186 ($6 * 31)
Opportunity cost: Enrique = 25 * $10 = $250 per week
Accounting profit:
Sales revenue ($3 * 700) = $2,100
Cost of sales ($2 * 700) = 1,400
Gross profit $700
Expenses:
Rent ($1,600/4) = 400
Employee wages = 186 586
Accounting profit = $114
Economic profit:
Accounting profit $114
Opportunity cost 250
Economic loss = $136
All European Union Member States are part of Economic and Monetary Union (EMU) and coordinate their economic policy-making to support the economic aims of the European Union. Therefore, Estonia is a member of European Union.
<h3>
European Union</h3>
The european union consists of those Member States of the European Union that have adopted the euro as their currency.
learn more about the European Union from here: brainly.com/question/13929900
Answer:
Option B. Implement process innovations that lower per unit costs
Explanation:
The reason is that the controlling cost will give cost advantage over the competitors and will let the company to compete at a better platform making greater number of sales and driving maximum sales which will also give economies of scale. Economies of scale is the benefits of additional costs savings that comes with the additional manufacturing of the product which means that greater the manufacturing the greater would be the savings of costs. So economies of scales give competitive advantage over the rivals so the correct option is B.
Answer:
Dr. Cash $3,549,590
Cr. Premium on Account Receivable $649,590
Cr. Bond Payable Account $2,900,000
Explanation:
The difference between the face value of the bond and the sale value of the bond is known as premium or the discount on the bond. If the face value is higher from the sale value the bond is issued on the discount and if the sale value of the bond is higher than the face value the bond is issued on the premium.
Premium on the Bond = Face value - Sale value = $3,549,590 - $2,900,000 = $649,590
The Premium will be amortized during the life of the bond to maturity and deducted from the interest expense.
Answer:
Predetermined overhead rate is $9 per labor hour
Explanation:
Estimated Direct-labor hours = 10,000
Estimated Manufacturing overheads = Estimated Fixed overheads + Estimated variable overheads
Estimated Manufacturing overheads = $50,000 + $40,000
Estimated Manufacturing overheads = $90,000
Predetermined overhead rate = Estimated Manufacturing overheads / Estimated Direct-labor hours
Predetermined overhead rate = 90,000 / 10,000 = $9 per labor hour