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2 years ago

10

Vargas Corporation is working on its direct labor budget for the next two months. Each unit of output requires 0.77 direct labor

-hours. The direct labor rate is $11.20 per direct labor-hour. The production budget calls for producing 7,100 units in October and 6,900 units in November. The company guarantees its direct labor workers a 40-hour paid work week. With the number of workers currently employed, that means that the company is committed to paying its direct labor work force for at least 5,480 hours in total each month even if there is not enough work to keep them busy. What would be the total combined direct labor cost for the two months

1 answer:

leva [86]2 years ago

3 0

Answer:

11.20

Explanation: becuase it can be

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Shortly after graduating college, Roberto took his place in his family's company in Miami. Roberto's father and uncle started a

natta225 [31]

Answer:

Importer.

Explanation:

An importer is an individual or entity that brings in products from foreign countries for sale domestically. Importers buy products that are produced in other countries. To the other country this is an export.

Roberto's father and uncle started a company that buys bauxite, copper, and other minerals from Chile, and brings them into the U.S. So the company is involved in importing activity.

Roberto brokers the trades with the mines in Chile.

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1 year ago

Which of the following are true about cost behavior within a particular relevant range? (Check all that apply.) Fixed costs per

lisov135 [29]

Answer:

Variable costs per unit increase as a company produces more units of production.Total fixed cost is constant over all units of production.

Explanation:

there is positive relation between variable cost and production, increase in production will increase the cost and vise visa.

there is inverse relation between fix cost and production higher the production lower the fix cost will be apportioned per unit but the total cost will remain the same

Example :

Case-1 Case-2

Production 50000 100000

V.Cost 100 p.u 100 100

Fix Cost 100000 100000

total cost

Variable cost 5000000 10000000

Fix Cost 100000 100000

variable cost is increasing due to increase in production in both cases fix cost will remain the same because no matter how many products company produce fix will remain the same.

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2 years ago

Your uncle holds just one stock, East Coast Bank (ECB). You agree that this stock is relatively safe, but you want to demonstrat

g100num [7]

Complete question:

Assume that your uncle holds just one stock, East Coast Bank (ECB), which he thinks has very little risk. You agree that the stock is relatively safe, but you want to demonstrate that his risk would be even lower if he were more diversified. You obtain the following returns data for West Coast Bank (WCB). Both banks have had less variability than most other stocks over the past 5 years.

Year ECB WCB

2004 40.00% 40.00%

2005 -10.00% 15.00%

2006 35.00% -5.00%

2007 -5.00% -10.00%

2008 15.00% 35.00%

a. What is the expected return and risk of each stock?

b. Measured by the standard deviation of returns, by how much would your uncle's risk have been reduced if he had held a portfolio consisting of 60% in ECB and the remainder in WCB? In other words, what is the difference between portfolio's standard deviation and weighted average of components' standard deviations? (Hint: check the example on page 11-12 on my note).

Solution:

The estimated return of the stock is the average profit.

So the average of ECB is (40-10+35-5+15)/5

= $\frac{75 percent}{5}$

= 15% expected return

WCB expected return = 40+15-5-10+35

= $\frac{75 percent}{5}$

= 15%

They've had the same planned return.

This is generally defined in the Greek letter Mu, (U) A weighted average may also be used to calculate portfolio volatility.

Standard deviation of ECB is $\sqrt{{ sum [(x-U)^2]/5}}$

so for ECB:

$(40-15)^2$ = $25^2$ =6.25%

$(-10-15)^2$ = $-35^2$ = 0.1225

$(35-15)^2$ = $20^2$ = 0.04

$(-5-15)^2$ = $-20^2$ = 0.04

$(15-15)^2$ =0

now 0.0625+0.1225+0.04+0.04+0=0.265

stdev= $\sqrt{(0.265/5)}$ = 0.23

So WCB is the same except in a different order to make things quick I'm only going to add the median again WCB=0.23

Then the 60/40 portfolio will be the "weighted average" of the returns.

portfolio returns

2004: (60%*40%)+(40%*40%) = 40%

2005: (60%*-10%)+(40%*15%) = 0%

2006: (60%*35%)+(40%*-5%) = 19%

2007: (60%*-5%)+(40%*-10%) = -7%

2008:(60%*15%)+(40%*35%) = 23%

we have an average return of (40+19-7+23)/5 = 75/5 =15%

The estimated return of all combined stocks is a better way to do so.

we knew they both had expected returns of 15% so we can say

(60%*15%)+(40%*15%)=15% so the portfolio has an expected return of 15%

Now we do the standard deviation for the whole portfolio and get

$(40-15)^2$ = $25^2$ =6.25%

$(0-15)^2$ = - $25^2$ =6.25%

$(19-15)^2$ = $4^2$ = 0.16%

$(-7-15)^2$ = $-22^2$ = -4.84%

$(23-15)^2$ = $8^2$ = 0.64%

now add them up and get 9.78%

$\sqrt{(9.78%/5)}$ = 13.98%

Therefore, the normal portfolio variance is 13.98 per cent and the predicted portfolio return is 15 per cent.

Every stock has a standard deviation of 23 per cent and an average return of 15 per cent, meaning that the fund has the same estimated return but with less standard deviation. This ensures that the same gain is less costly. It's stronger than any of these products.

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1 year ago

When the Federal Reserve sells a government bond to a primary dealer, reserves in the banking system ________ and the monetary b

Sindrei [870]

Answer: Increase; increases

When the Federal Reserve sells a government bond to a primary dealer, reserves in the banking system <u>increase </u>and the monetary base <u>increases</u>, everything else held. | This happens because when the Government bonds, the banking system will increase everything else held with it.

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2 years ago

Joanna is deciding between consuming Good X and Good Y. At her current level of consumption, her marginal utility per dollar for

ikadub [295]

Answer:

D) consume more of Good X or less of Good Y until the marginal utility per dollar for Good X and Good Y is equal.

Explanation:

Since Joanna's marginal utility per dollar is higher for good X than per good Y, then she must consume a combination of both goods until their marginal utility per dollar is equal.

Since marginal utility is diminishing, if she reduces her consumption of good Y, maybe it will increase and match X's. Or she can choose to consume more X until its marginal utility diminishes and matches Y's.

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2 years ago