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2 years ago

A firm's primary objective is to maximize profits; however, there are always two constraints:

1 answer:

7 0

Two constraints to maximizing profit are cost of production and consumer demand.

Consumer demand is essential for revenue. Competition and budget can affect demand and put constraints to profit maximization. Cost of production can constraint profits maximization too because the higher the cost of raw material, the higher the cost of production will be, which in turn will affect the price of the product. This increase in price can also affect the demand.

The answer is then D.

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2. The managerial grid only provides a framework for conceptualizing leadership

Zepler [3.9K]

Answer:

The correct answer to the following question will be "True".

Explanation:

The managerial or management design model or principles seems to be a self-assessment tool that allows people and communities to probably decide the aesthetic of a manager or supervisor.
This proposed model described 5 various types of leadership styles premised on compassion for individuals and concern for manufacturing.

So that the given statement is true.

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2 years ago

Soap Company manufactures soap X and soap Y and can sell all it can make of either. Hours available to produce the products are

Nastasia [14]

Answer:

It would take 162 minutes to make one unit of product X.

Explanation:

Giving the following information:

Hours available to produce the products are the constrained resources.

Soap could reduce the processing time for X by 10 percent.

X Y

Sales Price $20 $25

Variable Cost 14 15

Hours needed to process 3 5

<u>First, we need to determine the number of minutes required to make one unit of Product X under the new method:</u>

Number of minutes required= (3*60)*0.9= 162 minutes.

It would take 162 minutes to make one unit of product X.

B) False. The contribution margin per hour of Product B is higher than product Y.

C) False. The contribution margin per hour of $2 was before the improvement in product X.

D) False. Product Y has a higher contribution margin per unit but lower compared to the contribution margin per hour.

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2 years ago

At the beginning of the month, the Painting Department of Skye Manufacturing had 20,000 units in inventory, 70% complete as to m

velikii [3]

Answer:

Cost per EUP Materials: $2,00

Cost per EUP Conversion: $4,50

Explanation:

Materials Conversion

Beginning WIP Cost $22,400 $6,250

Cost added in the period <u>$229,600 $540,500</u>

Total Cost of the Units $252,000 $546,750

Equivalent Units of Production (EUP): Completed Units + Ending WIP Units

EUP Materials = 120,000 + 15,000 x 40% = 126,000

EUP Conversion = 120,000 + 15,000 x 10% = 121,500

Cost per Equivalent Unit: Cost of Units / EUP

Cost per EUP Materials: $252,000 / 126,000 = $2,00

Cost per EUP Conversion: $546,750 / 121,500 = $4,50

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1 year ago

On June 30, 2010, Microsoft Corporation was holding $4.8 billion of cash that it had collected from customers in advance for fut

iVinArrow [24]

Answer: O the liability Unearned Revenue on its balance sheet.

Explanation:

Unearned Revenue is a liability that goes into the balance sheet to record the cash received for goods and/or services that the company have not delivered yet.

This is so that the company is not in violation of the Accrual Accounting concept known as the Revenue Recognition Principle that states that revenue should be recognised only in the period that they have been earned.

Microsoft in this scenario will record this cash as an Unearned Revenue and then consider it revenue when it has delivered the said goods and services.

7 0

1 year ago

Tomey Corporation has two production departments, Forming and Finishing. The company uses a job-order costing system and compute

Bogdan [553]

Answer:

a. $5,604

Explanation:

Forming Department overhead cost = Fixed manufacturing overhead cost + (Variable overhead cost per machine-hour × Total machine-hours in the department)

= $99,000 + ($2.10 per machine-hour × 18,000 machine-hours)

= $99,000 +$37,800 = $136,800

Predetermined overhead rate = Estimated total manufacturing overhead cost ÷ Estimated total amount of the allocation base incurred

= $136,800 ÷ 18,000 machine-hours

= $7.60 per machine-hour

Overhead applied to a particular job = Predetermined overhead rate × Amount of the allocation base incurred by the job

= $7.60 per machine-hour × 90 machine-hours

= $684

Finishing Department overhead cost = Fixed manufacturing overhead cost + (Variable overhead cost per direct labor-hour × Total direct labor-hours in the department)

= $70,400 + ($3.70 per direct labor-hour × 8,000 direct labor-hours)

= $70,400 + $29,600 = $100,000

Predetermined overhead rate = Estimated total manufacturing overhead cost ÷ Estimated total amount of the allocation base incurred

= $100,000 ÷8,000 direct labor-hours = $12.50 per direct labor-hour

Overhead applied to a particular job = Predetermined overhead rate × Amount of the allocation base incurred by the job

= $12.50 per direct labor-hour × 60 direct labor-hours

= $750

Forming Finishing Total

Direct materials........................$940 $350 $1,290

Direct labor...............................$960 $1,920 $2,880

Manufacturing overhead.......$684 $750 $1,434

Total cost of Job T617........................................................$5,604

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1 year ago