Answer:
a. $1.2800
Explanation:
The AUD/SF cross exchange rate is as computed below:
==> AUD/$ ÷ SF/$
==> $1.60 / $1.25
==> $1.2800
So, the AUD/SF cross exchange rate is $1.2800
Answer:
The optimal production batch size for the supplier is 980 units.
Explanation:
In order to calcuate the optimal production batch size for the supplier we have to use the following formula:
optimal production batch size= 
(<u>2×Annual Demand×setup cost)</u>
Holding Cost
optimal production batch size= (<u>2×(1,000×12)×($250×4)</u>
($100×25%)
optimal production batch size=(<u>2×12,000×$1,000)</u>
$25
optimal production batch size= 980 units
Answer:
The production capacity the manufacturer should reserve for the last day = 206.00 units.
Explanation:
Normal production = 1000 X $ 10
Normal production = $ 10,000
Spot production = 1,000 X $ 15
Spot production = $ 15,000
p* = 15,000 - 10,000 / 15,000
p* = 0.33
Q = norminv(0.33,250,100)
The production capacity the manufacturer should reserve for the last day = 206.00 units
Answer:
Dr interest expense $5,705
Cr cash $5,000
Cr discount on bonds payable $705
Explanation:
The interest expense for the period ended 30 June Year 1 is the cash proceeds multiplied by the market interest rate for six months i.e 12%/2=6%
interest expense=$95,083*6%=$5,705
Coupon payment for the six-month ended 30 June Year is the face value of the bonds ($100,000) multiplied by the coupon rate for six months i.e 10%/2=5%
coupon payment=$100,000*5%=$5,000
Amortization of discount on bonds payable=interest expense-coupon=$5,705-$5,000=$705
