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mixer [17]
1 year ago
6

Quinn has capacity to make 950,000 zippers per year, but due to a soft market, only plans to produce and sell 620,000 zippers ne

xt year. LeatherStuff currently buys zippers from an outside supplier for $3.50 each (the same price that Style receives). Assume that Style and LeatherStuff have agreed on a transfer price of $3.25. What are the total cost savings for LeatherStuff?
Business
1 answer:
Gekata [30.6K]1 year ago
8 0

Answer:

$22,500

Explanation:

The computation of the total cost saving is shown below:

= Cost saving × number of zippers needed

= $0.25 × 90,000 zippers

= $22,500

We simply multiply the cost saving with the needed zipper so that accurate amount can come

The cost saving would be

= Outside supplier price - transfer price

= $3.50 - $3.25

= $0.25

All other information which is given is not relevant. Hence, ignored it

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Presented below is information related to Hale Corporation: Share Capital—Ordinary, P1 par P4,300,000 Share premium—Ordinary 550
Nadusha1986 [10]

Answer:

$4,850,000

Explanation:

The computation of the total contributed capital related to the ordinary shares is shown below:

= Ordinary share capital + share premium of ordinary share

= $4,300,000 + $550,000

= $4,850,000

We simply added the ordinary share capital and the share premium of ordinary shares so that the total contributed capital could arrive

5 0
1 year ago
Micromedia offers computer training seminars on variety of topics. In the seminars each student works at a personal computer, pr
Fiesta28 [93]

Answer:

Explanation:

a. Total cost=4800+30*2*x=4800+60x

The cost for the conference room, instructor compensation, lab assistants, and promotion is $4800

Computer rental - $30 per day

Length of seminar - 2 days

X - number of  students

b. total profit = revenue-costs incurred = 300x-(4800+60x)=240x-4800

Projected fee - $300 per student

c. If 30 students enrolled

profit=240*30-4800=7200-4800=2400

d. 240x-4800=0

x=4800/240=20

break-even point is 20, it is point at with profit will equal zero

5 0
1 year ago
Anya, sales manager for Pacific Lumber, tells Ricardo, the firm's inventory manager, that the firm's failure to have adequate su
zaharov [31]

Answer:

The correct answer is B

Explanation:

Stockout or OOS stands for Out of Stock, which is event that causes the inventory to be exhausted. It occur with the entire supply chain.

In this case, Firm is facing failure for having adequate or enough supplies on hand, which result in the lost sales amounts to $175,000. It is representing the Stockout in the inventory management costs.

3 0
2 years ago
CMN Inc. uses LIFO and has experienced increasing costs since its founding. CMN disclosed that the LIFO reserve (also known as t
Neporo4naja [7]

Answer:

$20 million

Explanation:

The computation of the ending inventory if FIFO is used

= LIFO reserve + Ending inventory based on LIFO inventory

= $3 million + $17 million

= $20 million

We simply added the LIFO reserve and LIFO ending inventory so that FIFO ending inventory can be computed. Hence, we take all the items for the computation part.

7 0
2 years ago
Assume India can produce either 15 bottles of milk or 50 cartons of eggs using all of its available resources, and Indonesia can
diamong [38]

Answer:

50 cartons of eggs

Explanation:

The comparative advantage is a principle in which a country specializes in the production a good in which it has a lower opportunity cost than others.

                 Bottles of milk     cartons of eggs

India                  15                              50

Indonesia          25                             35

In this situation, the opportunity cost for India of producing 1 bottle of milk is producing 3.33 cartons of eggs. The opportunity cost for Indonesia of producing 1 bottle of milk is producing 1.4 cartons of eggs. This means that Indonesia has a lower opportunity cost and a comparative advantage in producing bottles of milk.

In the other part, the opportunity cost for India of producing 1 carton of eggs is producing 0.3 bottles of milk and the opportunity cost for Indonesia of producing 1 carton of eggs is producing 0.71 bottles of milk. This means that India has a lower opportunity cost and a comparative advantage in producing cartons of eggs.

According to this, India would specialize in producing eggs as it has a comparative advantage and the country will produce 50 cartons of eggs.

5 0
1 year ago
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