Answer:
financial advantage of purchasing from outside vendor = $36,000
Explanation:
outside vendor offers 18,000 units at $40 per unit = $720,000
current production costs (for 18,000 units):
- Direct materials $324,000
- Direct labor $162,000
- Variable manufacturing overhead $36,000
- Fixed manufacturing overhead, traceable $162,000 ($54,000 avoidable)
- Fixed manufacturing overhead, allocated $216,000 (not avoidable)
- Total cost $900,000
total avoidable costs = $576,000
additional revenue generated by freed facilities = $180,000
financial advantage of purchasing from outside vendor = ($576,000 + $180,000) - $720,000 = $36,000
<span>The largest cattle rancher in a given region will be unable to have a __________ when sufficient numbers of smaller cattle ranchers provide sources of competition.
Monoply
</span>
Oct 13........................No Journal Entry Required
Oct 17. Cash..........................................DR $107
To Accounts Receivable........................................ $107
(Being cash received by Accounts Receivable)
Oct 22. Inventory....................................DR $1145
To Accounts Payables.......................................... $1145
(Being Purchases made of Chairs and Oil Supplies)
Oct Accounts Payable...........................DR $1145
To Cash............................................................ $1145
(Being Cash paid for purchases made)
A) 100% False
Entrepreneurs are known to be at huge risk from many angles. Being an entrepreneur can open you to many more risks, such as banruptcy, mental stress, and more.
B) Net Profit
Business Profit and Store Profit do not exist in business! Gross Profit has to do with the wages and salaries within your business, not your income!
Answer:
The correct answer is B.
Explanation:
Giving the following information:
Unitary cost:
Variable Costs= $50
Fixed Costs= $25
A special order for 1,000 units has been received from a foreign company. The unit price requested is $55.
If the order is accepted, unit variable costs will increase by $2 for additional freight costs.
Because it is a special offer, we will not take into account the fixed costs.
Unitary cost= 50 + 2= $52
Effect on income= 1,000*(55 - 52)= $3,000 increase
