Answer:
Considering the allocate fixed cost, it would not be a good option.
It will generate a financial disadvantage of 22,950
Explanation:
![\left[\begin{array}{cccc}&produce&buy&Differential\\Purchase&&282,600&-282,600\\Variable Cost&270,000&&270,000\\Fixed Cost&68,400&32,850&-35,550\\Total Cost&338,400&315,450&-22,950\\\end{array}\right]](https://tex.z-dn.net/?f=%5Cleft%5B%5Cbegin%7Barray%7D%7Bcccc%7D%26produce%26buy%26Differential%5C%5CPurchase%26%26282%2C600%26-282%2C600%5C%5CVariable%20Cost%26270%2C000%26%26270%2C000%5C%5CFixed%20Cost%2668%2C400%2632%2C850%26-35%2C550%5C%5CTotal%20Cost%26338%2C400%26315%2C450%26-22%2C950%5C%5C%5Cend%7Barray%7D%5Cright%5D)
Fixed overhead; 38 x 1800 = 68,400
There is a portion of 35,550 fixed cost which is tracable to the real wheel assembly line thus, will be eliminated.
But 32,850 would not.
Considering this, it would not be a good option to stop the assembly line and purchase the component
Answer and Explanation:
The computation is shown below;
a. For Warranty Expense
= Sales × Estimated Warranty Percentage%
= $4,144,400 × 0.87%%
= $36,056.28
b)
The amount that should be reported is
Opening Balance of Estimated Warranty Liability Jan. 1, 2019 $42,635
Less: Actual warranty costs in 2019 ($26,750)
Add: Warranty expense accrued in 2019 $35,056
Closing Balance of Estimated Warranty Liability Dec. 31, 2019 $50,941
Answer:
Neither your self serving bias nor constructs nor ethnocentrism nor stereotypes. None of the stated
Answer:
A
Explanation:
A monopoly is when there are two firms operating in an industry.
A duopoly is when there are two firms operating in an industry. When the two firms collude, they become a monopoly.
If a monopoly maximises profit by producing 4000 units, the colluding duopolist would also maximise profit by producing 4000 units