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baherus [9]
2 years ago
9

Carryon Company sells a product and a 12-month service package for that for a combined price of $800. Separately, the product an

d the service sell for $450 and $550, respectively. How much of the combined price should be allocated to the product?
Business
1 answer:
anzhelika [568]2 years ago
3 0

The part of the combined price allocated to the product is less than 50% which might be around 35-40%.

<u>Explanation:</u>

Since the price of the product all alone is $450 and the price of the service alone is $550, so the combined amount totals up to be nothing less than $1000. But the company under the discount and offer, offers the both things combined for $800.

This shows that the company is under some loss which it has to incur. The loss is of $200 under the discount to be offered to the clients which serves as the incentive to the customers.

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The Italian Bread Company purchased land as a factory site for $70,000. An old building on the property was demolished, and cons
Monica [59]

Answer:

Land $80,900

Building $643,000

Explanation

Land

Demolition of old building $9,000

Sale of salvaged materials (1,100)

Legal fees (for title investigation of land) 3,000

Purchase price of land $70,000

Total $80,900

Building

Architect fees (for new building) 20,000

Building construction cost 600,000

Interest cost related to the construction 23,000

Total $643,000

7 0
2 years ago
g Handal Corporation uses activity-based costing to compute product margins. Overhead costs have already been allocated to the c
nordsb [41]

Answer:

Overhead Cost - S1 =  $30201

Explanation:

To assign Overhead costs to S1, we first need to calculate the Overhead Absorption rate for Machining and Order filling.

The Overhead Absorption rate for Machining is calculated by dividing the Machining Overheads by the number of Machine hours to calculate $ Overhead per Machine Hour.

  • Total Machining Hours = 11500 + 3600 = 15100
  • Machining = $11325 / 15100 Hours = $0.75 / Machine Hour

Now we do the same calculation for Order Filling Overheads and divide them by Number of Orders.

  • Total Number of Orders = 270 + 1240 = 1510
  • Order Filling = 26274 / 1510 = $17.4 per order

Now we allocate the Overheads to S1 on the basis of Machine Hours and Number of orders relating to S1.

  • S1 Machine Hours = 11500
  • S1 Orders = 1240
  • S1 Overheads = 0.75 × 11500 + 17.4 × 1240 = $30201
8 0
2 years ago
What is the maximum amount you would pay for an asset that generates an income of $ 250,000 at the end of each of five years if
Galina-37 [17]

Answer:

170,146

Explanation:

$250,000 / (1.08)5= 170,146

3 0
2 years ago
Petrus Company has a unique opportunity to invest in a two-year project in Australia. The project is expected to generate 1,000,
aliya0001 [1]

Answer:

$(94,179)

Explanation:

Particulars        Year 0               Year 1            Year 2

Cash flows     ($1,500,000)  A$1,000,000   A$2,000,000

DCF 14%              1                    0.8772         0.7695

Present Values 1500,000      A$877,200      A$ 1,538,935

Conversion           1                    0.55                      0.60

P V in US$        (1,500,000)     482,460              923,361

Therefore Net Present Value = 482,460 +923,361 - 1,500,000 = $(94,179)

8 0
2 years ago
LinkedIn offers a unique type of paid advertising, where you can send targeted, customized messages to users’ LinkedIn inboxes,
AlexFokin [52]

The given ad type is called Inbox conversation and awareness .

<u>Explanation: </u>

Pay advertisements are advertisements of any kind, unlike purchased or received ads that they should pay for. To return for the use of paid advertisement, advertisers bill advertisement holders.

The premium was billed for the marketing field is often achieved by competition between advertisers and the advertising proprietor.

Messenger advertisements are a comparatively new advertising service that allows people to start a text conversation with the company by clicking a button. A variety of different types of messaging advertising: target ads, messages sponsored, home section advertisements.

5 0
2 years ago
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