Answer:
Total cost in pesos= $3,400,000
Explanation:
Giving the following information:
One dollar= $17 pesos
Total cost of the house= $200,000 dollars
To calculate the total cost in Mexican pesos, we need to multiply the exchange rate by the total cost in dollars.
Total cost in pesos= 200,000*17
Total cost in pesos= $3,400,000
A bond has a face value of $10,000. The bond matures in 12 years and pays its coupon interest semi-annually. The coupon rate is 9%. Assuming a yield of 8%, what is the price of the bond?
Answer:
Bond Price= $10,762.31
Explanation:
Giving the following information:
Face value= $10,000
Time= 12*2= 24
Cupon= (0.09/2)*10,000= $450
YTM= 0.08/2= 0.04
To calculate the price of the bond, we need to use the following formula:
Bond Price= cupon*{[1 - (1+i)^-n] / i} + [face value/(1+i)^n]
Bond Price= 450*{[1 - (1.04^-24)] / 0.4} + [10,000/(1.04^24)]
Bond Price= 6,861.1 + 3,901.21
Bond Price= $10,762.31
Metaline Corp. uses the weighted average method for inventory costs and had the following information available for the year. Calculate the equivalent units of production.
Beginning Work in Process (40% complete, $1,100) 200 units
Ending inventory of Work in Process (80% complete) 400 units
Total units started during the year 3,200 units
Answer:
The equivalent units of production 3,320 units
Explanation:
Equivalent units is the amount of work done in the manufacturing process at the end of the period. It includes fully completed units and partially completed units.
Equivalent units of production = ( Beginning work in process + Numbers of units started during the year ) - Incomplete units at the end of the period
Equivalent units of production = ( 200 units + 3,200 units ) - ( 400 units x ( 100% - 80% ) )
Equivalent units of production = 3,400 units - 80 units
Equivalent units of production = 3,320 units
5 years ago, Barton Industries issued 25-year noncallable, semiannual bonds with a $1,000 face value and an 11% coupon, semiannual payment ($55 payment every 6 months). The bonds currently sell for $844.87. If the firm's marginal tax rate is 25%, what is the firm's after-tax cost of debt?
Answer:
9.84%
Explanation:
The bond's yield to maturity( pre-tax cost of debt) can be determined using the financial calculator approach as below:
N=50 (number of semiannual coupons in 25 years i.e 25*2)
PMT=55 (semiannual coupon=face value*coupon rate*6/12=$1000*11%*6/12=$55)
PV=-844.87 (current market price)
FV=1000 (face value)
CPT I/Y=6.56% (semiannual yield)
annual yield=6.56% *2=13.12%
after tax cost of debt=pretax cost of debt*(1-tax rate)
after tax cost of debt=13.12% *(1-25%)=9.84%
A $1,000 par bond with a semi-annual coupon and 12 years to maturity is currently priced $880 and has a yield to maturity of 5.37%. What is the bonds coupon rate
Answer:
Annual Coupon rate = 0.040005 or 4.0005% rounded off to 4.00%
Explanation:
To calculate the price of the bond today, we will use the formula for the price of the bond. We assume that the interest rate provided is stated in annual terms. As the bond is a semi annual bond, the coupon payment, number of periods and semi annual YTM will be,
Coupon Payment (C) = C
Total periods (n) = 12 * 2 = 24
r or YTM = 0.0537 * 6/12 = 0.02685 or 2.685%%
The formula to calculate the price of the bonds today is attached.
We will first calculate the value of semi coupon payment made by the bond.
880 = C * [( 1 - (1+0.02685)^-24) / 0.02685] + 1000 / (1+0.02685)^24
880 = C * 17.52482779 + 529.4583737
880 - 529.4583737 = C * 17.52482779
350.5416263 / 17.52482779 = C
C = 20.0025718 rounded off to 20.00
The annual coupon payment will be = 20.0025718 * 2 = 40.00514361 rounded off to 40.01
Annual Coupon rate = 40.00514361 / 1000 = 0.040005 or 4.0005% rounded off to 4.00%
Justify the role of ethics in the workplace
The role of ethics in the workplace is leads to satisfied workers who look forward to going to work rather than viewing it as a burden.
What do you understand by the role of ethics?Ethics can be thought of as the rules that direct our behaviour so that we make the best decisions for the benefit of everybody. In order to tell the truth, maintain our word, or assist a stranger in need, we must follow ethical principles.
A company that implements a workplace ethics programme aligns employee behavior. This encourages transparency, collaboration, and trust as a result. Additionally, workers perform better at their professions when they are aware of the expectations of their superiors.
Integrity is among the most crucial working ethics. Additionally, employees grow to feel attached to and devoted to the company.
Therefore, the role of ethics in the workplace is leads to satisfied workers who look forward to going to work rather than viewing it as a burden.
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what are mutual funds are
Answer:
Mutual Funds are simply a way to pool money together and buy more stocks. You invest into a mutual fund along with many other people. Then your pooled money is invested by the manager of the mutual fund. They are generally conisdered safe as they are run by "stock gurus".
Explain the difference between the proportional method and the incremental method of allocating the proceeds of lump-sum sales of capital stock.
Answer:
When a company sells different securities together (this usually happens during mergers and acquisitions):
and the price of all the securities is not certain, the incremental method will first allocate proceeds to the sale of securities whose price is actually certain. The remaining proceeds will be allocated to the securities whose price is uncertain. E.g. total sales $10 million, stocks worth $5 million were sold and bonds worth ? million were sold. The company will allocate $5 million to stocks and $5 million to bonds. and the price of all the securities is certain, the proportional method allocates the sales proceeds proportionally among the different securities sold. E.g. total sales $10 million, stocks worth $5 million were sold and bonds worth $3 million were sold. The company will allocate ($5/$8) x $10 million = $6.25 million to stocks and $3.75 to bonds.A 4 percent reduction in the price of a product has zero effect on the dollar amount of consumer expenditure on the product. The price elasticity of demand is
Answer:
Perfectly inelastic
Explanation:
In the case where there is a reduction in a price that does not impact the demand done by the consumers so the elasticity of demand with respect to the price would be zero i.e. perfectly inelastic demand
As in the given case there is 4 percent decreased in the price of the product that has no impact on the consumption spenditure so the price elasticity of demand is zero
hence, the same is to be considered
Goal conflict can be avoided if budget goals are carefully designed for consistency across all areas of the organization. True False
Answer:
True
Explanation:
Goal conflict can be regarded as a kind of conflict that occur when there is two or more goals that are competing in ones mindset. It could be a clash in between ones personal goals and organizational goals. Goal confict can be avoided if budget goals are carefully designed for consistency across all areas of the organization.
Carly’s Clips charges for their grooming services based on the following:________.
Direct labor rate $ 62 per hour
Materials markup 30 %
Using time and materials pricing, what is the total price for a job requiring 3 direct labor hours and $54 of materials?
Answer: $256
Explanation:
Using time and materials pricing, the total price for a job requiring 3 direct labor hours and $54 of materials will be calculated as:
Materials = $54
Add: Materials markup = 30% × $54 = 0.3 × $54 = $16.2 = $16
Add: Labour = 3 × $62 = $186
Total price of job = $256
Calculate the variance of a portfolio (sigma^2_p) where company A has weight 0.5 and has variance of 4, while company B has weight 0.5 and has variance of 9.The correlation between their returns is 0.5.
Answer:
Variance of the portfolio is 4.75.
Explanation:
The variance of the portfolio can calculated using the following portfolio variance formula:
Portfolio variance = (WA^2 * VA) + (WB^2 * VB) + (2 * WA * SDA * WB * SDB * CFab) ......................... (1)
Where;
WA = Weight of Stock A = 0.50
WB = Weight of Stock B = 0.50
VA = Variance of Stock A = 4
VB = Variance of Stock B = 9
SDA = Standard deviation of stock A = VA^0.5 = 4^0.5 = 2
SDB = Standard deviation of stock B = VB^0.5 = 9^0.5 = 3
CFab = The correlation between stock A and stock B returns = 0.50
Substituting all the values into equation (1), we have:
Portfolio variance = (0.50^2 * 4) + (0.50^2 * 9) + (2 * 0.50 * 2 * 0.50 * 3 * 0.50)
Portfolio variance = 4.75
Therefore, variance of the portfolio is 4.75.
What happens when a firm makes a decision to grow from within?
Answer:
most grow by expanding their present operations. some introduce and sell new but related products. others expand the sale of present precepts to new geographic markets or to new groups of consumers in geographic markets already served.
Explanation:
Crane Company issues $365,000, 20-year, 8% bonds at 103. Prepare the journal entry to record the sale of these bonds on June 1, 2022. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
Answer:
Crane Company
Journal entry to record the sale of the bonds on June 1, 2022:
Debit Cash Account $375,950
Credit Bonds Payable $365,000
Credit Bonds Premium $10,950
To record the sale of 8% bonds at 103.
Explanation:
a) Data and Calculations:
Face value of bonds = $365,000
Bonds maturity period = 20 years
Bonds issued at a premium of 103
Bonds rate of interest = 8% per annum
Number of bonds issued = $365,000/$100 = 3,650
Premium on bonds = 3,650 * $3 ($103 - $100) = $10,950
Chris Smith owns a portfolio consisting of two stocks, Amazon and Apple, Inc. Chris owns $2,000 of Amazon and $6,500 of Apple, Inc. Chris has computed the expected return on Amanzon to be 8.2% and the expected return on Apple, Inc. to be 9.5%. The standard deviation of the returns on Amazon is 5.07% and the standard deviation of the returns on Apple, Inc. is 6.84%. The covariance on the returns of the two companies is -0.0014.
1. What is the expected return on Chris’ portfolio?
a. 6.39 percent
b. 7.70 percent
c. 9.99 percent
d. 7.89 percent
e. 9.19 percent
2. . What is the risk of this portfolio (measured by standard deviation)?
a. 4.87 percent
b. 4.26 percent
c. 2.73 percent
d. 7.46 percent
e. 3.82 percent
Answer:
0.0919411
4.87%
Explanation:
Given that:
AMAZON :
Investment = $2000
Expected return = 8.2%
Standard deviation = 5.07%
APPLE :
Investment = $6500
Expected return = 9.5%
Standard deviation = 6.84%
Total investment = $(2000 + 6500) = $8500
Amazon investment weight :
2000 / 8500 = 0.2353
Apple investment weight :
6500 / 8500 = 0.7647
Expected return on portfolio:
(Amazon weight * Amazon expected return) + (apple weight * apple expected return)
= (0.2353 * 0.082) + (0.7647 * 0.095)
= 0.0919411
= 0.0919411 * 100%
= 9.19411 = 9.19%
Portfolio risk :
Sqrt[(Amazon weight ² * amazon standard deviation²) + (apple weight ² * apple standard deviation ²) + 2 (weight of Amazon * weight of apple * covariance)]
Sqrt[(0.2353^2 * 0.0507^2) + (0.7647^2 * 0.0684^2) + 2(0.2353 * 0.7647 * - 0.0014)
Sqrt(0.0023743662707145)
= 0.0487274
= 0.0487274 * 100%
= 4.87%
Nazim also recently bought bonds with a clause stating that interest will be paid only when the company has enough earnings to pay for it. Nazim has invested i
Answer:
Income Bond
Explanation:
Bond is simply any Corporations written pledge to repay a written and specific amount with interest.
Income bond also known as adjustment bond and an a type of debt security.
It is that which the face value of the bond only is pledged to be paid to the investor, with any other payment usually coupon payments paid only if the issuing party involved has enough earnings to pay for it. It is often used when a company is reorganizing and coming out of a bankruptcy.
Rappaport Industries has 6,250 perpetual bonds outstanding with a face value of $1,400 each. The bonds have a coupon rate of 6.6 percent and a yield to maturity of 6.9 percent. The tax rate is 40 percent. What is the present value of the interest tax shield?
Answer:
3,500,000
Explanation
The present value of the interest tax shield can be calculated by first calculating the coupon payment and tax shield on that coupon payment. After calculating the tax shield we can easily calculate the present value of the tax shield
DATA
Number of bonds = 6250
Coupon rate = 6.6%
Face value = $1,400
Tax rate = 40%
Solution
Coupon Payment = No of Bonds x Face value x Coupon Rate
Coupon Payment = (6250 x 1400 x 6.6%)
Coupon Payment = $577,500
Tax Shield = $577,500 x 40%
Tax Shield = $231,000
Present value = Tax shield/Coupon Rate
Present value = (231,000 /0.066)
Present value = $3,500,000
Molly has generated general business credits over the years that have not been utilized. The amounts generated and not utilized equal:
Answer:
the question is incomplete since its missing most of its content:
Molly has generated general business credits over the years that have not been utilized. The amounts generated and not utilized follow:
year unused business credits
2013 $2,500
2014 $7,500
2015 $5,000
2016 $4,000
In the current year, 2017, her business generates an additional $15,000 general business credit. In 2017, based on her tax liability before credits, she can utilize a general business credit of up to $20,000. After utilizing the carryforwards and the current year credits, how much of the general business credit generated in 2017 is available for future years?
Accumulated business credits up to 2016 = $2,500 + $7,500 + $5,000 + $4,000 = $19,000
Additional business credits generated during 2017 = $15,000
total business credits available at the end of 2017 = $34,000
if she can use $20,000 this year to reduce her tax liability, the ending balance of unused business credits that can be carried forward = $34,000 - $20,000 = $14,000
Why is Social Media important in the Business World?
A. your professionalism is judged by it
B. first impressions are formed from it
C. It can make your company look bad
D. All of the above are True
I'll mark Brainliest
Answer:
I'm think It's D. All of the above are true
Under what condition should a pending lawsuit be recognized as a liability on a company's balance sheet?(a) The outcome is reasonably possible.(b) The outcome is probable.(c) The amount can be reasonably estimated.(d) Both (b) and (c).
Answer:
(d) Both (b) and (c).
Explanation:
A liability can be defined as a future financial sacrifice or obligation that are economically beneficial, which are being made by a company to another business firms with respect to past transactions or events. This financial sacrifice are generally being reported on a company's balance sheet.
Mathematically, liability is given by the formula;
[tex] Liability = Assets - Equity[/tex]
Hence, the condition under which a pending lawsuit should be recognized as a liability on a company's balance sheet is if;
1. The outcome is probable: this simply means when the outcome of a pending lawsuit is most likely to be true, the financial litigation is considered to be a liability.
2. The amount can be reasonably estimated: the amount being owed or in question can be obtained by estimation.
Upon arrival at the international airport in the country of Canteberry, Charles Alt exchanged $200 of U.S. currency 1,000 florins, the local currency unit. Upon departure from Canteberry's international airport on completion of his business, he exchanged his remaining 100 florins into $15 of U.S. currency.
Required:
a. Determine the currency exchange rates for each of the cells in the following matrix for Charles Alt's business trip to Canteberry.
b. Discuss and illustrate whether the U.S. dollar strengthened or weakened relative to the florin during Charles's stay in Canteberry.
c. Did Charles experience a foreign currency transaction gain or a loss on the 100 florins he held during his visit to Canteberry and converted to U.S. dollars at the departure date? Explain your answer.
Arrival Date Departure Rate
Direct exchange rate
Indirect exchange rate
Answer:
Explanation:
Here's the answer!! Hope this helped...
a. Exchange rate for buying florins = 5 florins per U.S. dollar and Exchange rate for selling florins = 0.15 U.S. dollars per florin
b. At the beginning of his trip, the exchange rate for buying florins was 5 florins per U.S. dollar. At the end of his trip, the exchange rate for selling florins was 0.15 U.S. dollars per florin.
c. Charles experienced a foreign currency transaction loss on the 100 florins he held during his visit to Canteberry and converted to U.S. dollars at the departure date.
a. To determine the currency exchange rates for each of the cells in the matrix, we can use the given information:
1. Charles exchanged $200 into 1,000 florins at the beginning of his trip.
Exchange rate for buying florins = Amount in local currency / Amount in U.S. dollars
Exchange rate for buying florins = 1000 florins / $200
Exchange rate for buying florins = 5 florins per U.S. dollar
2. Charles exchanged his remaining 100 florins into $15 at the end of his trip.
Exchange rate for selling florins = Amount in U.S. dollars / Amount in local currency
Exchange rate for selling florins = $15 / 100 florins
Exchange rate for selling florins = 0.15 U.S. dollars per florin
The completed matrix would be:
| - | U.S. Dollars ($) | Florins |
| Buying | 1 | 5 |
| Selling | 0.15 | 1 |
b. To discuss whether the U.S. dollar strengthened or weakened relative to the florin during Charles's stay in Canteberry, we compare the exchange rates at the beginning and end of his trip.
If the exchange rate for buying florins (5 florins per U.S. dollar) is higher than the exchange rate for selling florins (0.15 U.S. dollars per florin), it means that the U.S. dollar strengthened relative to the florin during Charles's stay in Canteberry. In other words, Charles could get more florins for each U.S. dollar at the beginning of his trip than he could get U.S. dollars for each florin at the end of his trip.
c. This is because the exchange rate for selling florins (0.15 U.S. dollars per florin) was lower than the exchange rate for buying florins (5 florins per U.S. dollar).
When Charles initially exchanged $200 into 1,000 florins, he got 5 florins per U.S. dollar. However, when he exchanged his remaining 100 florins back into U.S. dollars at the end of his trip, he got only 0.15 U.S. dollars per florin.
To illustrate the transaction:
Initial exchange:
$200 --> 5 florins per U.S. dollar --> 5 florins * 200 = 1,000 florins
Exchange at departure:
100 florins --> 0.15 U.S. dollars per florin --> 100 florins * 0.15 = $15
Charles initially got $200 worth of florins (1,000 florins), but when he converted the remaining 100 florins back into U.S. dollars, he received only $15. This difference of $200 - $15 = $185 represents a foreign currency transaction loss during his trip.
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When a company collects sales tax from a customer, the event results in a(n) ________ in Cash and a(n) ________ in Sales Tax Payable.
a. increase; decrease
b. increase; increase
c. decrease; decrease
d. decrease; increase
Answer:
The correct option is option (b) increase; increase
Explanation:
Since the company collect the sales tax from a customer so here the cash is received that means cash is increased while on the other hand the sales tax payable is a liability so it is also increased. Moreover, the cash has the debit balance while on the other hand the liabilities has the credit balance
hence, the option (b) is correct
In the context of inventory costs, _____ can reflect backorders or service interruptions for external customers.
a. holding costs
b. stockout costs
c. ordering costs
d. setup costs
Answer:
b. stockout costs
Explanation:
Stockout cost is the cost in which the income is lost or the expenses that are attached to the inventory shortage
It can be occurred in two ways
1. Sales-related: In the case when the customer wants to order a product but at that time the stock is not available so here the company lost the gross margin
2. Inside process-related: This would arised when the company required inventory for running a production but at that time the inventory is not available so the company could incurred extra cost to purchase the inventory
So by above there is an interruption of a service
Therefore the option b is correct
Dan signs a check payable to Eagle Investors, Inc., and gives it to Eagle, leaving the amount blank but authorizing Eagle to fill in the check for $1,000. Eagle fills in $1,500 and negotiates the check to First State Bank, to whom Eagle owes $1,500. First State, an HDC, can enforce the check for:
Answer:
$1,500
Explanation:
Based on the information given we were told that Eagle fills in the amount of $1,500 instead of the amount of $1,000 which Dan authorize Eagle to fill in which they went ahead to as well negotiates the check payable to First State Bank because Eagle owes First State Bank the amount of $1,500 which means that First State Bank which is an HDC, can enforce the check for the amount of $1,500 which was negotiated by Eagle to First State Bank.
Therefore First State, an HDC, can enforce the check for: $1,500
Empower Inc., is a software development firm that firmly believes in common unspoken assumptions along the lines of conventional lines of organizational behavior. It allows each and every member to pursue his or her self-interests.As a conventional organization, it is more likely to:_________.a) solely transcend shareholder interests.b) predominantly consider the interests of multiple stakeholders.c) primarily focus on the financial bottom line.d) exclusively contribute to ecological sustenance.
Answer:
Explanation:
h
You are about to start your venture in agribusiness, which will be called Consumer's Delight. Create a marketing business plan describing key
aspects of your strategy, such as a mission statement, objectives, marketing mix, promotion techniques, and so on
Answer:
Amiin Fruits and vegetables
Explanation:
mission statement
we want to satisfy all fruits and vegetables needs in our geographical area by offering low price high quality fresh fruits and vegetables
Answer:
The marketing business plan for Consumer’s Delight will consist of the following aspects:
Mission: Consumer’s Delight’s mission is to provide fresh, high-quality vegetables that exceed consumers’ expectation and become their first choice for vegetable grocery shopping.
Marketing objectives: The marketing objectives of Consumer’s Delight will include the following:
Grow at a steady rate each month and capture nearby local vegetable markets.
Acquire new customers every quarter, targeting local restaurants and eventually hotels.
Generate goodwill and become the first choice for large orders.
Expand into allied segments such as logistics and consultation.
Main products (produce): Iceberg lettuce, broccoli, and spinach
Financial objectives: To achieve a 4 percent growth every year. To reduce the number of middlemen involved for transportation, other logistics, and delivery of the produce by 12 percent in the current year. Consumer’s Delight is expected reach its break-even point toward the end of the fourth quarter.
Target markets: Consumer’s Delight is looking at two sets of target markets, namely, individuals (consumers from the local supermarket) and restaurants.
Individual consumers: Green leafy vegetables are always in demand for salads, sandwiches, soups, and so on. The stock also needs to be fresh, which requires a daily turnover. Through current logistics connections, Consumer’s Delight will ensure that the stocks are delivered daily and in the best condition. Consumer’s Delight will also make use of local farmers at various locations to reach the maximum number of individuals.
Restaurants: Consumer’s Delight will work to contact all of the local restaurants in the vicinity, which total 12 in number. The aim will be to acquire long-term contracts with them.
Positioning: Consumer’s Delight will be positioned as:
fresh and healthy
high quality
dependable
Strategies: Consumer’s Delight primary motive is to become the preferred choice of its target group and to capture the entire market within the next five years. The strategy will initially begin with penetrative marketing strategies, wherein we will aggressively market to the local supermarkets. A Consumer’s Delight counter will be set up within the supermarket to take care of the branding and visibility of the agribusiness. The next stage will be to tap local restaurants once a good amount of brand visibility has been created.
Marketing mix: Consumer’s Delight will use the following marketing mix:
Pricing: Consumer’s Delight will price their produce per pound.
Distribution: Consumer’s Delight will connect with local transportation and logistics dealers and will regularly supply supermarkets. The company will follow a similar plan once the contracts from the restaurants begin to materialize.
Promotion: Because creating brand visibility is of paramount importance, Consumer’s Delight will put up posters and flyers inviting consumers to try out their products in the supermarkets. Consumer's Delight will also advertise in the weekly specials and monthly magazines of select supermarkets according to financial feasibility. Social media will be used to connect to potential restaurant clients.
Customer Service: Consumer’s Delight aims to offer the highest level of customer service to ensure loyalty and long-term contracts. Occasional store discounts will form a part of the customer service strategy.
Management and staffing: Consumer’s Delight will start with a small group of employees, and most of them will be work on a contractual basis. The staff members will mainly consist of analysts, consultants, field workers, store keepers, and others with average salaries.
Explanation:
Which of the following is true about firms exiting the competitive market for soybeans
Answer: they are in very high demand
Explanation:
As new enterprises enter the market, the price of soybeans falls. Price takers exist in a totally competitive market, further explained.
What does a competitive market imply?A competitive market is one in which no single customer or producer has significant market power. The supply curve, which represents a quantity, changes its reaction to supply and demand.
In a completely competitive market, a firm's profit-maximizing output will be determined at the level where long-run marginal cost (LMC) equals long-run marginal revenue (LMR) or price in the long run.
If existing firms are making above-average profits at this level of output, additional firms will enter the market in the long run. The market supply of soybeans will increase as new firms enter the market, resulting in a right shift in the supply curve. The equilibrium price (market price) will fall as a result.
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Auerbach Inc. issued 4% bonds on October 1, 2018. The bonds have a maturity date of September 30, 2028 and a face value of $300 million. The bonds pay interest each March 31 and September 20, beginning March 31, 2019. The effective interest rate established by the market was 6%.
Required:
How much cash interest does Auerbach pay on March 31, 2019?
Answer:
$6.0 million
Explanation:
Calculation for How much cash interest does Auerbach pay on March 31 2019
Cash interest=$300 million × 4% × 6/12.
Cash interest=$6.0 million
(Note that 0ctober 1 2018 to March 31 2019 will give us 6 months)
Therefore the amount of cash interest that Auerbach pay on March 31 2019 will be $6.0 million
All of the following are inventoried under variable costing except: utilities cost consumed in manufacturing. raw materials used in production. direct labor. sales commissions.
Answer:
The right approach is Option d (Sales commissions).
Explanation:
Sales commission seems to be an expense for the time that is not reflected throughout inventory commodity prices. That would be the amount that could be received by a sales agent as well as a sales representative including its price of a property. The cost of products generated, credit card payments, postage charges the sales commission that you will allocate to sales workers are including variable costs.Some other three choices are not associated with the case in question. So, option d seems to be the right choice.
You have reached the planned half way mark. The total planned cost at this stage is five hundred dollars. The actual physical work that has been completed at this stage is worth $400. You have already spent one thousand dollars on the project. What is the CPI?
Answer:
0.4
Explanation:
Calculation for the CPI
Using this formula
CPI = Actual physical work/Amount spent on the project
Let plug in the formula
CPI=$400/$1,000
CPI=0.4
Therefore the CPI will be 0.4
The ________ in the Sigma Six cost-of-quality (COQ) equation includes the internal costs before the product is sold (like waste and re-work).
Answer:
Cost of Failure
Explanation:
A manufacturer incurs failure cost when they produce defective goods. The can be both internal and external cost.
Internal cost are those that incur before the product is sold/shipped to the ultimate buyer such as waste, re-work and/or reduction in sales price for re-worked goods. External cost on the other hand are those that occur following the shipment of goods such as warranty claims, cost of any legal action taken by customer, orders cancelled and/or lost of customer goodwill.
In most cases the external cost is higher than the cost incurred on the internal failure of the goods. So most often the manufacturers are more focused on ensuring that the quality standards are achieved.