Answer:
Per unit customer costs = $4.5 per unit
Explanation:
Under activity based costing cost are allocated based on per activity rate.
Customer return processing activity rate = $45 per return
Shipping activity rate = $10 per shipment
for Product 1
Total cost of shipment and return will be as follows:
Shipment = 1,200 X $10 = $12,000
Returns = 150 X $10 = $1,500
Total = $12,000 + $1,500 = $13,500
Total units = 3,000
Per unit customer costs = $13,500/3,000 units = $4.5 per unit
Answer:
Variable, $85; absorption, $105.
Explanation:
Variable costing $85
Absorption costing $105=(85+20)
Answer:
The difference between two WACC is 1.2%.
Explanation:
As we know that
WACC = Ke * Ve / (Ve + Vd (1-Tax)) + Kd * Vd*(1-tax) / (Ve + Vd*(1-Tax))
Using the Book Value Method:
WACC = 14% *$65 / ($65m + $45m (1-40%))
+ 6% *$45m*(1-.4) / ($65m + $45m (1-40%))
WACC = 10% + 1.8% = 11.8%
<u>Using the market value method:</u>
Market Value of Common Stock = Common Shares * Market value per share
Market Value of Common Stock = 10 million * $22.5 per share = $225m
WACC = 14% *$225 / ($225m + $50m (1-40%))
+ 6% *$50m*(1-.4) / ($225m + $50m (1-40%))
WACC = 12.35% + 0.7% = 13%
The difference between two WACC is 1.2%.
Answer:
d. Organizational environment
Explanation:
Indeed, organizational environmental studies how a particular organization is affected by it's operating environment, and how the organization functions under that environment.
Note also that the organizational environment is further divided into:
- the internal environment and
- the external environment
Put simply, the internal environment consist of factors that affect the organization from within; which are controllable. However, the external environment consist of factors such as political instability, etc that can affect the organization and beyond the control of the organization.
Answer:
$0.70 and 3.3
Explanation:
Data provided in the question
Household spending for each additional dollar = $0.70
And, the remaining amount = $0.30
So in the given case,
The marginal propensity to consume (MPC) = household spending for each additional dollar i.e $0.70
And, the Spending multiplier is
= 1 ÷ 1 - MPC
= 1 ÷ 1 - $0.70
= 1 ÷ $0.30
= 3.3
