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John Smith
Answered: Sep 28, 2020
$160,000

Variable Cost/Unit: [(170,000-5,000) - 135,000] / (22,000 - 16,000) = $5 Total Fixed Cost (below 17,000 units): [135,000 - (16,000 x 5)] = $ 55,000 Total Cost for 20,000 units:...Read More

1 Answer

502 views
Y. Dawne, Content Blogger
Answered: Feb 07, 2019
1,461. (2x20 x (4x20,00)/Co.06x25^0.5=1,461 Units. In marketing, carrying the cost of inventory or holding cost refers to the total cost of holding inventory, which includes cost such as rent...Read More

4 Answers

455 views
John Smith
Answered: Sep 28, 2020
35.7%

During the year the number of employees fell by 80 60 = 20. 45 employees had left, and so 45 20 = 25 were replaced. The average number of employees was (80 + 60) / 2 = 70. The...Read More

1 Answer

313 views
Ronnie.chine
Answered: Sep 28, 2020
Products should be discontinued if there is a target cost gap.

Products should be discontinued if there is a target cost gap For services that have a large fixed cost based, other...Read More

1 Answer

293 views
Ronnie.chine
Answered: Sep 28, 2020
ABC recognises the complexity of modern manufacturing by the use of multiple cost drivers
ABC establishes separate cost pools for support activities

The correct answers are: ABC...Read More

1 Answer

268 views
Ronnie.chine
Answered: Sep 28, 2020
Set-up costs
Raw material handling costs

The correct answers are: Set up costs. Raw material handling costs. These two costs are likely to increase, as batch sizes get smaller....Read More

1 Answer

267 views
John Smith
Answered: Sep 28, 2020
The company will minimise its total annual costs if it takes the larger order discount and purchases in quantities of 5,000 units per order.

EOQ = {[ 2 x 500 x 10,000] / 2.5]}^0.5 = 2,000...Read More

1 Answer

243 views
SarBobBear
Answered: Sep 28, 2020
Have the contractual capacity to make the contract
Have been in existence both when the contract was made and at the date of ratification
Be identified when the contract is made
Be...Read More

1 Answer

241 views
Ronnie.chine
Answered: Sep 28, 2020
Unless output capacity is greater than sales demand, there will always be a binding constraint.
The production capacity of a bottleneck resource should determine the production schedule for...Read More

1 Answer

229 views
John Smith
Answered: Sep 28, 2020
97.2%

Actual output = 2,100 units. Capacity = 15 employees x 36 hours per week = 540 hours. These two measurements need to be put on to the same basis, hours or units. Actual output of...Read More

1 Answer

227 views
John Smith
Answered: Sep 28, 2020
97.2%

Actual output = 2,100 units. Capacity = 15 employees x 36 hours per week = 540 hours. These two measurements need to be put on to the same basis, hours or units. Actual output of...Read More

1 Answer

214 views

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