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2 years ago

Kuzio Corporation produces and sells a single product. Data concerning that product appear below:

Business

1 answer:

lorasvet [3.4K]2 years ago

3 0

Answer:

The overall effect on the company's monthly net operating income of this change is $ 6,900, increase

Explanation:

Company's monthly net operating income before the change:

Sales (5,500× $ 150) 825,000

Less Variable Costs( 5,500 × $ 60) (330,000)

Contribution 495,000

Fixed Expenses (208,000) (208,000)

Net Operating Income 287,000

Company's monthly net operating income after the change:

Sales ((5,500+150)× $ 150) 847,500

Less Variable Costs ((5,500+150) × $ 60) (339,000)

Contribution 508,500

Fixed Expenses (208,000+6,600) (214,600)

Net Operating Income 293,900

Effect on the company's monthly net operating income:

Net Operating Income - After Change 293,900

Net Operating Income - Before Change 287,000

Change in Net Operating Income 6,900

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When job 117 was completed, direct materials totaled $4,400; direct labor, $5,600; and factory overhead, $2,400. a total of 1,00

Viefleur [7K]

To solve: add up all in the labor costs and then divide by the number of units produced to get the per unit cost of the labor.

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Direct labor = $5,600
Factory overhead = $2,400
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Per unit cost = ($4,400 + $5,600 + $2,400)/1,000
Per unit cost = $12,400/1,000
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2 years ago

If the marginal propensity to consume is 0.75, and there is no investment accelerator or crowding out, a $115 billion increase i

rodikova [14]

Answer: $460 billion, but the effect would be larger if there were an investment accelerator.

Explanation:

If the MPC = 0.75 and there is no investment accelerator or crowding out, then a $115 billion increase in the government expenditures would result in the shift in the aggregate demand curve right by:

= $115 billion ÷ (1 - 0.75)

= $115 billion ÷ 0.25

= $115 billion × 1/0.25

= $115 billion / 0.25

= $460 billion.

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2 years ago

Item 4Item 4 You’ve collected the following information from your favorite financial website. 52-Week Price Stock (Div) Div Yld

Leona [35]

Answer:

P₀ = $106.96

Explanation:

the current dividend paid by IBM was $6.30 per stock

Div₀ = $6.30

Div₁ = $6.615

Div₂ = $6.94575

Div₃ = $7.2930375

Div₄ = $7.657689375

Div₅ = $8.040573844

Div₆ = $8.321993928

we must first determine the terminal value at year 5 = Div₆ / (rrr - g) = $8.321993928 / (10% - 3.5%) = $128.0306758

now we must discount the future values using the 10% discount rate:

P₀ = $6.615/1.1 + $6.94575/1.1² + $7.2930375/1.1³ + $7.657689375/1.1⁴ + $8.040573844/1.1⁵ + $128.0306758/1.1⁵ = $6.013 + $5.740 + $5.479 + $5.230 + $4.993 + $79.50 = $106.96

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2 years ago

Which of the following is a result of over-diversification through acquisition? Select one:

Aleksandr-060686 [28]

Answer:

3) Corporations use acquisition as a substitute for innovation.

Explanation:

The fastest way in which a corporation can enter a new market or develop new products is through buying existing companies that already operate in the new target markets or have developed the new products that the corporation wishes to sell.

Research and development is very costly and time consuming, and on many occasions the results aren't even good or are not as good as expected. By acquiring a smaller company that has already developed the product, then the corporation might even save money.

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2 years ago

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2 years ago