Answer:
Minimize Z = 3x + 2y
Explanation:
Let x represent hamburger meal and let y represent hot dog meal. The objective is to minimize the total cost. The objective function will be
Z = 3x + 2y
The maximum capacity of restaurant is 200 meals while it has minimum cap for 100 meals.
Copy equipment was acquired at the beginning of the year at a cost of $56,000 that has an estimated residual value of $8,000 and an estimated useful life of 5 years. It is estimated that the machine has an estimated 1,000,000 copies. This year 240,000 copies were made. Determine the (a) depreciable cost, (b) depreciation rate, and (c) the units-of-production depreciation for the year.
Answer:
Results are below.
Explanation:
The depreciable cost is the result of deducting from the purchase price the salvage value:
Depreciable cost= 56,000 - 8,000
Depreciable cost= $48,000
The depreciable rate is the depreciation that the asset suffers in one year express as a percentage:
Depreciation rate= 1/5 = 0.2 or 20% per year
Finally, the units of production depreciation for the first year:
Annual depreciation= [(original cost - salvage value)/useful life of production in copies]*number of copies
Annual depreciation= (48,000/1,000,000)*240,000
Annual depreciation= 0.048*240,000
Annual depreciation= $11,520
the cost of quality has two components: the cost of good quality. the costs for good quality are the cost of monitoring and preventing defects. the cost of poor quality are often hidden, hitting customers and departments not immediately related to production. some experts argue that:
Answer: Quality is never costless because monitoring and prevention have costs
Explanation:
The cost of quality has two parts which are the cost of prevention and the cost of failure. The cost of quality simply refers to the sum of the prevention cost and the cost of failure.
It should be noted that spending more on prevention helps in reducing the cost of failure. According to experts, quality is is never costless because monitoring and prevention have costs.
Fraser Company will need a new warehouse in five years. The warehouse will cost $500,000 to build. Click here to view Exhibit 12B-1 and Exhibit 12B-2, to determine the appropriate discount factor(s) using tables. Required: What lump-sum amount should the company invest now to have the $500,000 available at the end of the five-year period? Assume that the company can invest money at: (
Answer:
Results are below.
Explanation:
Giving the following information:
Future value (FV)= $500,000
Number of periods= 5 years
We were not provided with an interest rate, I will assume an interest rate of 7% compounded annually.
To calculate the initial investment, we need to use the following formula:
PV= FV / (1 + i)^n
PV= 500,000 / (1.07^5)
PV= $356,493.1
Marlow Company purchased a point of sale system on January 1 for $6,500. This system has a useful life of 5 years and a salvage value of $950. What would be the depreciation expense for the second year of its useful life using the double-declining-balance method
Answer:
$1,560
Explanation:
The computation of the depreciation expense for the second year of its useful life is shown below:
First depreciation rate is
= 1 ÷ 5 ×2
= 40%
Now the depreciation expense for one year is
= 40% of $6,500
= $2,600
Now the depreciation expense for the second year is
= ($6,500 - $2,600) ×40%
= $1,560
What is the net effect on a firm's working capital if a new project requires: $41,375 increase in inventory, $35,370 increase in accounts receivable, $35,000.00 increase in machinery, and a $44,016 increase in accounts payable
Answer: $32,729
Explanation:
Net working capital for a period is the current assets of the company less the current liabilities.
Change in Net Working capital is:
= Increase in inventory + Increase in accounts receivable - Increase in Accounts payable
= 41,375 + 35,370 - 44,016
= $32,729
Preparing Adjusting Entries in a Worksheet
Following is the unadjusted trial balance of Skylar Gaming, Inc. at the end of its first year of operations, December 31, 20x7:
Account Name DR. CR.
Cash $71,550
Accounts Receivable $25,200
Supplies $550
Prepaid Insurance $12,000
Equipment $31,750
Accumulated Depreciation-Equipment $4,050
Accounts Payable $6,700
Salaries Payable $0
Unearned Revenue $2,200
Common Stock $45,700
Retained Earnings $23,850
Dividends $3,500
Revenue $80,750
Depreciation Expense-Equipment $2,000
Salaries Expense $4,750
Insurance Expense $3,100
Rent Expense $4,200
Supplies Expense $2,500
Utilities Expense $2,150
$163,250 $163,250
The following additional information is available:
Skylar Gaming, Inc. needs to accrue $2,000 in salaries that will not be paid until next month.
Skylar Gaming, Inc. has earned $2,000 of the services that were paid for in advance as included in the unearned revenue account.
At the end of the period, Skylar Gaming, Inc. has provided services in the amount of $500 to another customer (John Gartner). However, Skylar has not billed them yet since they only issue bills at the beginning of each month.
Skylar Gaming, Inc. needs to record the annual $1,025 of depreciation on the equipment.
One month of the 12-month insurance policy in prepaid insurance has been used up, and a journal entry is needed to reflect this.
At the end of the period, $125 in supplies are remaining.
Required:
Prepare all necessary adjusting entries at December 31, 20x7 Descriptions are not needed.
Using the below linked template prepare an adjusted trial balance at December 31, 20x7.
Using a worksheet template, prepare an income statement, statement of retained earnings, and a balance sheet.
Prepare closing entries including descriptions.
Answer:
Salaries Expense (Dr.) $2,000
Salaries Payable (Cr.) $2,000
Unearned revenue (Dr.) $2,000
Revenue (Cr.) $2,000
Accounts Receivable (Dr.) $500
Revenue (Cr.) $500
Depreciation expense (Dr.) $1,025
Accumulated Depreciation (Cr.) $1,025
Insurance Expense (Dr.) $1,000
Prepaid insurance (Cr.) $1,000
Supplies Expense (Dr.) $425
Office supplies (Cr.) $425
Explanation:
Adjusting entries are prepared for Skylar Gaming Inc., for the transactions that are already recorded. These transaction are adjusted for the change in effects at the month end. Skylar Gaming has prepared all necessary adjusting entries to reflect true accounting impact of every transaction.
Recognizing religious holidays, differing modes of dress, and dietary restrictions as well as allowing flexible scheduling are all ways to improve employee retention that may appeal to diverse employees. These types of efforts are referred to as
Answer: Systems accommodations
Explanation:
Systems accomodations refers to the recognizing religious holidays, dietary restrictions, differing dressing modes, and allowing flexible scheduling which is vital in the improvement of employee retention which may appeal to diverse employees.
This is required in order to create an environment in the workplace where everyone is welcomed and a harmonious workplace which is important in the achievement of organizational goals.
Suppose that Michelle buys a cappuccino from Paul's Cafe and Bakery for $4.75. Michelle was willing to pay up to $6.75 for the cappuccino and Paul's Cafe and Bakery was willing to accept S1.25 for the cappuccino. Based on this information, answer the questions below.
Michelle's consumer surplus is equal to: _______
Paul's Bakery's producer surplus is equal to:__________
Answer:
$2
$3.50
Explanation:
Consumer surplus is the difference between the willingness to pay of a consumer and the price of the good.
Consumer surplus = willingness to pay – price of the good
$6.75 - $4.75 = $2
Producer surplus is the difference between the price of a good and the least price the seller is willing to sell the product
Producer surplus = price – least price the seller is willing to accept
$4.75 - $1.25 = $3.5
Which of the following databases provides end-of-day daily prices and historical prices for U.S. Corporate, Treasury and Agency bonds and non-U.S. Corporate and Government bonds and covers over 80,000 issues daily?
A. FactSet Prices & Derived Analytics
B. SIX Telekurs Prices & Derived Analytics
C. TRACE Prices & Derived Analytics
Answer:
a. FactSet Prices & Derived Analytics
Explanation:
the answer to this question is option A. Factset prices and analytics gives financial data as well as analytic data to the global investment world. this company gets data directly from suppliers, these suppliers are usually third party data suppliers, other sources are form news channels, fro exchangers. it also provides analytic services to companies that want to track their portfolios.
At the present time, Water and Power Company (WPC) has 10-year noncallable bonds with a face value of $1,000 that are outstanding. These bonds have a current market price of $1,495.56 per bond, carry a coupon rate of 10%, and distribute annual coupon payments. The company incurs a federal-plus-state tax rate of 25%. If WPC wants to issue new debt, what would be a reasonable estimate for its after-tax cost of debt (rounded to two decimal places)? (Note: Round your YTM rate to two decimal place.)
a. 3.53%
b. 3.38%
c. 2.35%
d. 2.94%
Answer:
d. 2.94%
Explanation:
First, Calculate the Yield to maturity of the bond using the following formula
Use the following formula to calculate the YTM
P = [ C x ( 1 - ( 1 + r )^-n ) / r ] + [ F / ( 1 + r )^n ]
Where
F = Face value = $1,000
P = Price = $1,495.56
C = Coupon payment = Face value x Coupon rate = $1,000 x 10% = $100
n = numbers of periods = Numbers of years to maturity = 10 years
r = YTM = ?
Placing values in the formula
$1,495.56 = [ $100 x ( 1 - ( 1 + r )^-10 ) / r ] + [ $1,000 / ( 1 + r )^10 ]
r = 3.916%
Now calculate the after-tax cost of debt
After-tax cost of debt = YTM x ( 1 - Tax rate )
After-tax cost of debt = 3.916% x ( 1 - 25% )
After-tax cost of debt = 2.937%
After-tax cost of debt = 2.94%
Xinhong Company is considering replacing one of its manufacturing machines. The machine has a book value of $45,000 and a remaining useful life of 5 years, at which time its salvage value will be zero. It has a current market value of $55,000. Variable manufacturing costs are $33,400 per year for this machine. Information on two alternative replacement machines follows.
Alternative A Alternative B
Cost $ 119,000 $ 112,000
Variable manufacturing costs per year 23,000 10,200
Calculate the total change in net income if Alternative A, B is adopted. Should Xinhong keep or replace its manufacturing machine? If the machine should be replaced, which alternative new machine should Xinhong purchase?
Answer and Explanation:
The computation is shown below;
For Alternative A
Cost to buy new machine -$119,000.00
Cash received $55,000.00
Reduction in variable manufacturing cost ($33400 - $23000) ×5 $52,000.00
Total change in net income -$12,000.00
For Alternative B
Cost to buy new machine -$112,000.00
Cash received $55,000.00
Reduction in variable manufacturing cost ($33400 - $10200) × 5 $116,000.00
Total change in net income $59,000.00
So here Xinhong should purchase a machine that belong from Alternative B.
g For a closed economy, when net capital outflow is measured along the horizontal axis and the real interest rate is measured along the vertical axis, net capital outflow is drawn as a: Group of answer choices line that slopes up and to the right. horizontal line at the world real interest rate. line that slopes down and to the right. vertical line at 0.
Answer: vertical line at 0.
Explanation:
In a closed economy, investments from other countries do not come in and the country does not invest in other countries. This means that capital is neither flowing in nor out.
Net capita outflow is the difference between capital flowing in and capital that is flowing out. If there is no capital flowing in nor out then net capital outflow will be 0. On the graph described, net capital outflow will therefore be zero for all real interest rates which will create a vertical line at 0.
Canton Company sells a motor that carries a 60-day unconditional warranty against product failure. From prior years' experience, Canton estimates that 3% of units sold each period will require repair at an average cost of $160 per unit. During the current period, Canton sold 100,000 units and repaired 2,400 of those units. (a) How much warranty expense must Canton report in its cur
Answer:
$480,000
Explanation:
Calculation to determine much warranty expense must Canton report
Using this formula
Warranty expense=Average cost per unit*Unit sold*Estimated percentage of units sold
Let plug in the formula
Warranty expense= $160*100,000*3%
Warranty expense=$480,000
Therefore warranty expense that Canton must report is $480,000
(Select all that apply) Maria is researching social media usage in her company for a marketing meeting later in the month. What should she consider as she chooses sources to read and/or include
Answer:
Hello,
this question above appears to be missing options from which one is to select from. In the absence of those, an alternative approach would suffice.
When considering sources for research, Maria should take she must consider sources that meet the following requirements:
DepthObjectivityCurrency of SourceAuthorityPurposeExplanation:
Depth: A source with just a simple cursory overview may not suffice. It is pertinent to elect a source that treats the subject matter in sufficient depth and which uses data to support its position on the topic she is researching Objectivity: If any source takes a biased position on the topic Maria is researching, then it is not a good source. Maria wants to ensure that the author of the source has not taken a position that does not have a balanced view. If any source is not properly cited it should not count.The currency of source: Simple logic requires that a source that is more up-to-date should be preferred above one that is dated. The rule of thumb requires that where possible, sources cited should not be older than 3 years.Authoritative: The more qualified an Author is in the field under consideration, the more reputable the company it works for, the more authoritative that source is considered to bePurpose: Sometimes a text may contain several sub-topics which build up to buttress its primary purpose. Sometimes, these sub-topics may deviate slightly from the main topic. To cite from the sub-topics because it aligns with her work would be a mistake on Maria's part. For example, if she cites from a research proposal whose main topic is Photo Journalism in the Wild West, but which references or the importance of social media in one of its paragraphs, that citation would not be considered adequate because the purpose of the main body is not specific to her work.Cheers
If $4000 is invested at 2% interest, find the value of the investment at the end of 6 years.
An investment of $4000 is deposited into an account in which interest is compounded continuously. Complete the table by filling in the amounts to which the investment grows at the indicated interest rates.
t = 5 years
Rate per year Amount
1%
2%
3%
4%
5%
6%
Answer:
a. Value of investment at the end of 6 years = $4,504
b. Table Completion:
Rate per year Future Value Factor Amount
1% 1.051 $4,204
2% 1.104 $4,416
3% 1.159 $4,636
4% 1.217 $4,868
5% 1.276 $5,104
6% 1.338 $5,352
Explanation:
Data and Calculations:
Investment = $4,000
Interest rate = 2%
Period of investment = 6 years
Future value factor at 2% for 6 years = 1.126
Value of investment at the end of 6 years = $4,504 ($4,000 * 1.126)
b) Investment = $4,000
Interest rates = from 1% to 6%
Period of investment, t = 5 years
Future value factors are as follows:
Rate per year Future Value Factor Amount
1% 1.051 $4,204 ($4,000 * 1.051)
2% 1.104 $4,416 ($4,000 * 1.104)
3% 1.159 $4,636 ($4,000 * 1.159)
4% 1.217 $4,868 ($4,000 * 1.217)
5% 1.276 $5,104 ($4,000 * 1.276)
6% 1.338 $5,352 ($4,000 * 1.338)
[The following information applies to the questions displayed below.] Pacific Ink had beginning work-in-process inventory of $744,960 on October 1. Of this amount, $304,920 was the cost of direct materials and $440,040 was the cost of conversion. The 48,000 units in the beginning inventory were 30 percent complete with respect to both direct materials and conversion costs. During October, 102,000 units were transferred out and 30,000 remained in ending inventory. The units in ending inventory were 80 percent complete with respect to direct materials and 40 percent complete with respect to conversion costs. Costs incurred during the period amounted to $2,343,600 for direct materials and $3,027,840 for conversion.
Required:
a. Compute the equivalent units for the materials and conversion cost calculations.
b. Compute the cost per equivalent unit for direct materials and for conversion costs using the weighted-average method.
Answer:
Pacific Ink
a. The equivalent units for materials and conversion costs are:
Materials Conversion
Equivalents units 126,000 114,000
b. The cost per equivalent unit for direct materials and for conversion costs using the weighted-average method are:
Cost per equivalent unit $21.02 $30.42
Explanation:
a) Data and Calculations:
Materials Conversion Total
Work in process, Oct. 1 $304,920 $440,040 $744,960
Costs incurred in October 2,343,600 3,027,840 5,371,440
Total costs of production $2,648,520 $3,467,880 $6,116,400
Units:
Work in process, Oct. 1 48,000 (30%) 48,000 (30%)
Units transferred out 102,000 (100%) 102,000 (100%)
Work in process, Oct. 31 30,000 (80%) 30,000 (40%)
Equivalent units of production:
Units transferred out 102,000 (100%) 102,000 (100%)
Work in process, Oct. 31 24,000 (80%) 12,000 (40%)
Total equivalent units 126,000 114,000
Cost per equivalent units:
Total costs of production $2,648,520 $3,467,880 $6,116,400
Total equivalent units 126,000 114,000
Cost per equivalent unit $21.02 $30.42
On January 1, 2020, Fiscus Company purchased equipment costing $90,000. Fiscus records depreciation expense for the equipment at the rate of $1,000/month. What is the credit balance in FIscus Company's accumulated depreciation account for this equipment at December 31, 2020
Answer:
the credit balance in FIscus Company's accumulated depreciation account for this equipment at December 31, 2020 is $120,000
Explanation:
The computation of the credit balance is shown below:
= Depreciation expense per month × number of months
= $1,000 × 12 months
= $120,000
Hence, the credit balance in FIscus Company's accumulated depreciation account for this equipment at December 31, 2020 is $120,000
For each of the regions, use the midpoint method to identify whether the supply of this good is elastic or inelastic. Region Elastic Inelastic Between W and X Between Y and Z True or False: For high levels of quantity supplied where firms have reached near maximum capacity, supply becomes less elastic because firms may need to invest in additional capital in order to increase production further.
Answer:
a-1. Elasticity of supply between W and X is elastic.
a-1. elasticity of supply between Y and Z is inelastic.
b. The statement is true.
Explanation:
Note: This question is not complete. The complete question is therefore provided before answering the question. See the attached pdf file for the complete question.
The explanation of the answers is now provided as follows:
a. For each of the regions, use the midpoint method to identify whether the supply of this good is elastic or inelastic.
The midpoint formula is as follows:
Elasticity of supply = ((Q2 - Q1)/ (Q2 + Q1) /2) / ((P2 - P1) / (P1 + P2) /2) ……… (1)
Using equation (1), we have:
a-1. Between W and X
Q2 = 25
Q1 = 10
P2 = 20
P1 = 15
Substituting the values into equation (1), we have:
Elasticity of supply between W and X = ((25 - 10)/ (25 + 10) /2) / ((20 - 15) / (15 + 20) /2) = 3
Since 3 which is the calculated elasticity of supply between W and X is greater than 1, this implies that elasticity of supply between W and X is elastic.
a-2. Between Y and Z
Q2 = 90
Q1 = 80
P2 = 180
P1 = 90
Substituting the values into equation (1), we have:
Elasticity of supply between Y and Z = ((90 - 80)/ (90 + 80) /2) / ((180 - 90) / (180 + 90) /2) = 0.18
Since 0.18 which is the calculated elasticity of supply between Y and Z is less than 1, this implies that elasticity of supply between Y and Z is inelastic.
b. True or False: For high levels of quantity supplied where firms have reached near maximum capacity, supply becomes less elastic because firms may need to invest in additional capital in order to increase production further.
This statement is true.
This is because, from part a above, it can be observed that elasticity of supply between W and X when quantity is low is elastic but the elasticity of supply between Y and Z when the quantity is high is inelastic. Therefore, it is true that for high levels of quantity supplied where firms have reached near maximum capacity, supply becomes less elastic because firms may need to invest in additional capital in order to increase production further.
A trademark is a device that can take almost any form as long as it is capable of identifying and distinguishing specific products or services. Owens-corning fiberglas corporation's trademark is an example of a poduct that is protected by:__________
a. combination of letters and designs.
b. product shape.
c. picture.
d. logo.
e. color.
Answer:
E)color
Explanation:
Trademark can be regarded as one of intellectual property, it can be explained as recognizable insignia, symbol as well as phrase and word, which denotes a particular product and it's one that legally differentiates that particular Product from all other products of its kind. A trademark can also be regarded as one that exclusively identifies a product and allow the consumer to know specific company it belongs to and also allows them to know company that have the ownership of the brand.
It should be noted that trademark is a device that can take almost any form as long as it is capable of identifying and distinguishing specific products or services.
For instance Owens-corning fiberglas corporation's trademark is an example of a poduct that is protected by logo.
The Trailer division of Baxter Bicycles makes bike trailers that attach to bicycles and can carry children or cargo. The trailers have a retail price of $107 each. Each trailer incurs $44 of variable manufacturing costs. The Trailer division has capacity for 24,000 trailers per year and incurs fixed costs of $560,000 per year. Required: 1. Assume the Assembly division of Baxter Bicycles wants to buy 5,600 trailers per year from the Trailer division. If the Trailer division can sell all of the trailers it manufactures to outside customers, what price should be used on transfers between Baxter Bicycles's divisions
Answer: $107
Explanation:
When a division is able to sell all of its products to consumers outside the company, the transfer price within the company should be at the same price that the good would be sold to outside consumers.
This is to ensure that the division does not suffer an economic loss by selling to another division instead of selling to an outside customer. In this case therefore, the Trailer division should transfer the trailers at the retail price of $107 that it would have made from selling to outside customers.
In a Chapter 11 bankruptcy, a class of creditors is considered to have accepted the bankruptcy plan when: Group of answer choices two-thirds of the class in dollar amount agree. at least 51 percent of the class in number agree. at least 90 percent of the members of the class agree. at least 51 percent of the class in dollar amount and two-thirds of the class in number agree. one-half of the class in number and two-thirds of the class in dollar amount agree.
Answer:
In a Chapter 11 bankruptcy, a class of creditors is considered to have accepted the bankruptcy plan when:
one-half of the class in number and two-thirds of the class in dollar amount agree.
Explanation:
In a Chapter 7 bankruptcy, the business assets are liquidated to pay the creditors. In a Chapter 11 bankruptcy, the business assets are not liquidated. Instead, the business is refinanced as the assets and debts are reorganized, making it possible for the continued existence of the business. This is the reason the agreement of the creditors are usually paramount in the decision to undergo a Chapter 11 bankruptcy, unlike a Chapter 7 bankruptcy.
At February 1, 2022, the balance in Wildhorse Co. supplies account was $3780. During February Wildhorse purchased supplies of $3240 and used supplies of $4320. At the end of February, the balance in the Supplies account should be
Answer: $2,700
Explanation:
The balance in Supplies account at the end of February can be calculated using the formula:
= Beginning balance + Supplies purchased in the month - Supplies used in the month
= 3,780 + 3,240 - 4,320
= $2,700
julie has just retired. Her company’s retirement program has two options as to how retirement benefits can be received. Under the first option, Julie would receive a lump sum of $127,000 immediately as her full retirement benefit. Under the second option, she would receive $14,000 each year for 10 years plus a lump-sum payment of $53,000 at the end of the 10-year period. Click here to view Exhibit 12B-1 and Exhibit 12B-2, to determine the appropriate discount factor(s) using tables. Required: 1-a. Calculate the present value for the following assuming that the money can be invested at 11%. 1-b. If she can invest money at 11%, which option would you recommend that she accept
Answer:
a. i. Present value of first option = $127,000
ii. Present value of second option:
= Present value of $14,000 annuity + Present value of $53,000 lump sum.
Present value of annuity:
= Annuity * Present value interest factor of annuity, 11%, 10 years
= 14,000 * 5.8892
= $82,448.80
Present value of lump sum:
= 53,000 / ( 1 + 11%)¹⁰
= $18,665.77
Present value of second option = 82,448.80 + 18,665.77
= $101,114.57
b. She should take the first option. It has a larger present value.
List three ways in which individual debt differs from government debt.
Answer:
Government debt is larger.
Government usually borrows significantly more debt than an individual can because it is to be used to run many more things than an individual would be able to.
Government debt is less risky.
The government is able to fall back on the assets of the entire country as well as print money to be able to pay off debt. There are therefore less chances of the government defaulting so its debt is less risky.
Government debt can keep borrowing even though it is in debt.
There is a certain level of debt that individuals are allowed to have and then credit holders would refuse to give them more. This is not the case for the government which can keep on borrowing even though it already owes a significant amount of debt.
Which of the following is a component of the talent acquisition function of HR management?
Group of answer choices
Recruiting
Training
Career planning
Orientation
Answer:
Recruiting
Explanation:
Recruitment is the process of hiring individuals in an organization to accomplish the tasks assigned. It is the process carried by the Human Resource Management in an organization. The HR management is responsible to organize and manage the human talents and recruit them respectively. The talent are recognized by the team and are hired to meet the goals of the organization.
Which of the following statements about inflation is true? A. Inflation is not a problem because it is just another way for the government to collect revenuelong dash an alternative to the income tax or the sales tax. B. Inflation is a tax on spending money. C. Inflation is a tax on holding money. D. Inflation occurs when real GDP grows more rapidly than the quantity of money.
Answer:
C
Explanation:
Inflation is a persistent rise in the general price levels
Inflation occurs when quantity of money grows faster than real GDP
Types of inflation
1. demand pull inflation – this occurs when demand exceeds supply. When demand exceeds supply, prices rise
2. cost push inflation – this occurs when the cost of production increases. This leads to a reduction in supply. Higher prices are the resultant effect
Shoe leather cost is when people try to spend money immediately so they would not be holding money for a long time. This is because money loses its value in an inflation.
Because inflation causes money to lose its value, it can be viewed as a form of tax on holding money This is because, tax reduces the amount of money a person has. Also, does inflation reduce the value of money a person has
If the percentage increase in price is 15 percent and the value of the price elasticity of demand is -3, then quantity demanded?
a. Will increase by 45 per cent
b. Will increase by 5 per cent
c. Will decrease by 45 per cent
d. Will decrease by 5 per cent
Answer:
what is the question and where areu from
The weekly total cost of baking pies at Tasty Tortes is given by TC = 0.01 Q 1.5. Tasty’s marginal cost of producing 10,000 pies a week is:
Answer: $1.50
Explanation:
TC = 0.01Q⁰.⁵
You get marginal cost when you differentiate the total cost.
MC = dTC / dQ
= 1.5 * 0.01 * Q¹.⁵ ⁻ ¹
= 0.015 * Q⁰.⁵
When Q is 10,000, the marginal cost is:
= 0.015 * 10,000⁰.⁵
= $1.50
Payne Company provided the following information relevant to its inventory sales and purchases for December 2013 and the first quarter of 2014:
Dec. 2013 Jan. 2014 Feb. 2014 Mar. 2014
(Actual) (Budgeted) (Budgeted) (Budgeted)
Cost of goods sold $80,000 $140,000 $180,000 $120,000
Desired ending inventory levels are 25% of the following month's projected cost of goods sold. The company purchases all inventory on account. January Year 2 budgeted purchases are $180,000. The normal schedule for inventory payments is 60% payment in month of purchase and 40% payment in month following purchase.
Budgeted cash payments for inventory in February 2014 would be: __________
Answer:
$171,000
Explanation:
Purchases in February = ($120,000 * 25%) + ($180,000 -$180,000*25%)
Purchases in February = $30,000 + $135,000
Purchases in February = $165,000
Payment in February = ($180,000 * 40%) + ($165,000 * 60%)
Payment in February = $72,000 + $99,000
Payment in February = $171,000
So, the bdgeted cash payments for inventory in February 2014 will be $171,000.
An educational institution has total direct labor and material costs of $1964 per student. Its fixed costs are $352,800. Total revenues for the year were $1,800,000. It had 800 students in the past year. How many students should they accept in the next year to break even assuming the variable cost margins are equal to this year, and assuming fixed costs are to increase by $19,000 due to increased rent for expansion? (round to the nearest whole number).
Answer:
1300 students
Explanation:
The computation of the no of students to be accepted for break even is given below:
Fixed cost is
= $352,800 + $19,000
= $371,800
Revenue per student is
= $1,800,000 ÷ 800
= 2250
And,
Variable cost per student = 1964
So,
Contribution margin = Revenue - Variable cost
= $2,250 - $1,964
= $286
Break even point is
= Fixed cost ÷ Contribution margin per unit
= 371800÷ 286
= 1300 students