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liubo4ka [24]
2 years ago
6

Mr. and Mrs. Atoll are planning a party for 10 people and want to make sure they have enough soda for everyone to have two bottl

es. Which of the following makes the most economic sense?1. 20 bottles of soda at $1.50 each2. 4 six-packs of soda at $5.00 each3. one case of 24 sodas at $18.504. two cases of 24 sodas at $18.50 each
Business
1 answer:
Rama09 [41]2 years ago
8 0

Answer:

3. one case of 24 sodas @ $ 18.50

Explanation:

The question requires that the hosts need to have enough to have two sodas each. The number of guests being 10, the requirement is to have 20 sodas.

Now comparing the various pack sizes available:

1. 20 sodas $ 1.50 per bottle, Total cost $ 30, per serving cost $1.50

2. 4 6 packs @ $ 5 each. Total cost $20, Per serving cost $0.83

3. 24 soda case @ $18.5. Total cost $ 18.50, Per Serving costs $ 0.77

4, 2 x 24 soda cases @ 18.50. Total Cost $ 37.00 Per serving costs $ 0.77

The per serving costs are the same in 3 & 4 above, however, since the requirement is to have 20 sodas and the overall costs as well as the per serving costs is the best in option 3, this is the preferred option.

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Table: Marginal Analysis of Sweatshirt Production II:
saul85 [17]

Answer:

Optimal qauntity is 4 Units

Explanation:

Here, we have to decide quantity of production at which maximum profit can be generated. For this reason we will have to contruct a table which will help us to calculate Marginal Benefit and Marginal cost. This table is given as under:

Quantity  Total benefit   Marginal benefit     Total Cost     Marginal Cost

0 Units            0                     0                              0                       0

1 Units            16                    16                              9                       9

2 Units           32                   16                             20                      11

3 Units           48                   16                             33                      13

4 Units           64                   16                             48                      15

5 Units           80                   16                             65                      17

We can see that at 4 Units, marginal revenue is almost equal to marginal cost. At this level of production, we have maximum benefits generated which is:

Maximum Benefit Generated = ($16 - $9)   +  ($16 - $11)   + ($16 - $13)  + ($16 - $15) = $7 + $5 + $3 + $1 = $16 for 4 Units

We can also cross check by considering 5 units case to assess whether the benefit generated is more than 4 units case or not.

Maximum Benefit Generated (For 5 Units) = ($16 - $9)   +  ($16 - $11)   + ($16 - $13)  + ($16 - $15)  +  ($16 - $17) = $7 + $5 + $3 + $1 - $1 = $15 for 4 Units

As the maximum benefit generated in the case of 4 units is more because of using marginal revenue = Marginal Cost relation, hence the optimal quantity is 4 units.

3 0
2 years ago
Prepare the issuer's journal entry for each of the following separate transactions. On March 1, Atlantic Co. issues 43,500 share
Tcecarenko [31]

Answer:

Atlantic Co. Journal entries

a.

March 1

Dr Cash$300,500

Cr Common Stock $174,000

(43,500×4)

Cr Paid-in Capital$126,500

($300,000-$174,000)

(Record of common stock for cash)

b.

April 1

Dr Cash$72,000

Cr Common Stock$72,000

(Record of common stock for cash)

c.

April 6

Dr Inventory $41,000

Dr Machinery$145,000

Dr Note Receivable$91,000

Cr Common Stock$55,000

(2,200 shares *$25 per share)

Cr Paid-in Capital $222,000

($145,000+$91,000+$41,000=$277,000-$55,000= $222,000)

(To record Insurance for Inventory, machinery,and notes receivable)

Explanation:

Since On March 1 Atlantic Co. was said to issues 43,500 shares of $4 par value common stock for $300,500 this means that we have to

Debit Cash with $300,500 and Credit Common Stock with $174,000(43,500×4) as well as Credit Paid-in Capital with $126,500 ($300,000-$174,000)

On April 1, OP Co as well issues no-par value common stock for $72,000 cash this means we have to Debit Cash with $72,000 and Credit Common Stock with the same amount .

While On April 6, based on information given to us about MPG transaction, we have to record Insurance for Inventory, machinery,and notes receivable by Debiting each and Crediting common stock and paid in capital .

4 0
1 year ago
After graduation, you plan to work for Dynamo Corporation for 12 years and then start your own business. You expect to save and
ExtremeBDS [4]

Answer:25,000 in 12 years = 25,000*(1.09)^12= $70,316

Value of $7,500 deposits in 6 years

Use financial calculator and input these values

N=6

PV=0

PMT=7,500

I=9

Compute FV= 56,425, after this

PV= 56,425

PMT= 15,000

I=9

N=6

Compute FV=$ 207,480

We will have (207,480+ 70,316) = $277,796 in 12 years to start our business.

                                 

Explanation:

4 0
1 year ago
Suki's salary is $1,200 per month. What is her yearly salary?
nirvana33 [79]
12000*12=  14400 for a year
7 0
1 year ago
Read 2 more answers
Consider a 3-year bond with a par value of $1,000 and an 8% annual coupon. If interest rates change from 8 to 6% the bond's pric
masya89 [10]
It’s B Decrease by 51.54 I hope this helps
3 0
1 year ago
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