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Zarrin [17]
1 year ago
8

Damon Industries manufactures 20,000 components per year. The manufacturing cost of the components was determined as follows:

Business
1 answer:
Shkiper50 [21]1 year ago
8 0

Answer:

d. a $10,000 decrease.

Explanation:

The computation of the impact on the income is given below:

In case of making the product

= Direct material + direct labor + variable manufacturing overhead  + rented

= $100,000 + $160,000 + $60,000 + $10,000

= $330,000

And, in case of buying the product

= 20,000 × $17

= $340,000

So there is a decrease of $10,000

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TLC Credit, Inc. has $35.0 million in consumer loans with an average interest rate of 12.0%. The bank also has $30.0 million in
MissTica

Answer:

$460,000 decrease

Explanation:

The computation of TLC's estimated change in revenues next year is shown below:-

TLC's estimated change in revenues next year = ((Consumer loan × Interest rate) + (Home equity loan × Interest rate) + (Corporate securities × Interest rate)) - ((Increased consumer loan × Decrease rate) + (Increase equity loan × Interest rate) + (Corporate securities × (1 - decreased percentage) × average interest rate))

= (($35.0 million × 0.12) + ($30.0 million × 0.O8) + ($5.0 million × 0.06)) - (($40.0 million × 0.10) +($32.0 million × 0.065) + (5 million × (1 - 20%)  × 0.09))

=$6,900,000 - $6,440,000

= $460,000 decrease

Therefore for computing the TLC's estimated change in revenues next year we simply applied the above formula.

6 0
1 year ago
Enrollment at Bayside College keeps going up, despite tuition and fee hikes to help cover the cost of new wind turbines installe
Ilya [14]

Answer:

a. new technology such as wind turbines is a huge capital investment for a college. The effort demonstrates the high cost of environmental programs

Explanation:

Corporate social responsibility is defined as integration of social and environmental concerns in the business activities of an organisation.

The business entity is accountable to its stakeholders and the public.

In the given scenario the wind turbines generate enough power to serve the campus buildings and to sell to local business establishments.

However enrollment keeps going up because cost of the new turbines need to be covered.

This demonstrates new technology such as wind turbines is a huge capital investment for a college. The effort demonstrates the high cost of environmental programs

4 0
1 year ago
Broker Bill has the exclusive listing for Terri’s home. Bill brought Terri an offer from Alexis, which Terri accepted. In order
Marat540 [252]

Answer: Bill's offer is ethical and legal and he can accept compensation for handling the escrow.

Explanation:

An exclusive listing refers to the type of real estate listing agreement whereby a broker is chosen as the sole agent of the seller. It should be noted that the right to retain the property is held by the seller rand has no obligation to the broker.

Based on the information given, it can be infered that Bill's offer is ethical and legal and he can accept compensation for handling the escrow.

6 0
1 year ago
The accounts of Melissa Manufacturing showed the following balances at the beginning of​ December: Account Debit Raw Materials I
Rudik [331]

Answer:

$115,000

Explanation:

Data provided as per the question is below:-

Beginning balance = $81,000

Direct material issued = $27,000

Direct labor incurred = $7,000

The computation balance Process Inventory is shown below:-

Balance in the​ Work-in-Process Inventory = Beginning balance + Direct material issued + Direct labor incurred

= $81,000 + $27,000 + $7,000

= $115,000

4 0
1 year ago
Hal E. Burton hospital can purchase a new machine (to be placed in an undisclosed location) for $1,000,000 that will provide an
Ksju [112]

Answer:

$153,000

Explanation:

The computation of the net present value is shown below:

= Present value of all cash inflows including salvage value after considering the discount factor - initial investment

where,

Present value  is

= Four year cash inflows × PVIFA factor for 11.5% for 4 years + (one year cash inflow + salvage value) × discount rate for 11.50% at five year

= $300,000 × 3.0696  + ($300,000 + $100,000) × 0.5803

= $920,880 + $232,120

= $1,153,000

And, the initial investment is $1,000,000

So, the net present value is

= $1,153,000 - $1,000,000

= $153,000

4 0
1 year ago
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