Choose a well-known company that you know of, and answer the following questions about it:

Recher Corporation uses part Q89 in one of its products. The company's Accounting Department reports the following costs of prod

Leto [7]

Answer and Explanation:

The preparation of the financial impact is shown below:

Particulars Make Buy

Direct Material (7,400 × $7.50) $55,500

Direct Labor (7,400 × $4.20) $31,080

Variable overhead (7,400 × $8.30) $61,420

Supervisors salary (7,400 × $3.20) $23,680

Depreciation on special equipment $0 $0

General overhead $3,400

Purchase cost (7,400 × $27) $199,800

Opportunity cost $(18,000)

Total Annual Cost $175,080 $181,800

b. As we can see that the total annual making cost is $175,080 and the total annual buying cost is $181,800 which increase the cost by $6,720. So in this case the company should make the product rather than buying them

4 0

2 years ago

For both companies compute the (a) profit margin ratio, (b) total asset turnover, (c) return on total assets, and (d) return on

VikaD [51]

Answer:

A) Profit Margin, Barco = 23.8%, Kyan = 22.1%

B) Asset Turnover, Barco = 1.83, Kyan = 1.84

C) ROA, Barco = 44%, Kyan = 41%

D) ROE, Barco = 66%, Kyan = 61%

E) Price-Earnings Ratio, Barco = 17.12 times, Kyan = 16.67 times

F) Dividend yield, Barco = 5.1%, Kyan = 5.2%

2B) Barco is the good investment.

Explanation:

Requirement A to Requirement F - See Images Below

2B) Barco company's share is the best from the two companies. From the Return on Asset, Return on Equity, and Price-earnings ratio, it is clear that Barco company's share is an upper hand. For example, P/E ratio of Barco is 17.12 times while Kyan's P/E ratio is 16.67 times. Therefore, I would recommend Barco company's stock should be the better investment.

7 0

2 years ago

When exchange rates change:

MA_775_DIABLO [31]

Answer:

The correct answer is option B.

Explanation:

The changes in the exchange rate will affect those domestic firms that sell their products in the foreign market or those domestic firms that produce and sell domestically but has foreign companies as competitors.

If the exchange rate falls, the price of domestic firms will decline as compared to imports. This will create more demand for domestic goods.

If the exchange rate increases domestic goods will become costlier and imports will become cheaper. This will increase the demand for imports.

3 0

2 years ago

To understand the competitive intensity of two industries, a business consultant conducted market concentration analysis by usin

MAXImum [283]

Answer:

4. more, more

Explanation:

Options includes: 1. less, more , 2. more, less, 3. less, less, 4. more, more

Based on this calculation, the consultant concludes that industry X is more concentrated market than industry Y and that industry X is more competitive market.

The intensity of Porter competition determines the level of competition that exists in an industry. This competition can be affected by many factors, including industry focus, replacement costs, fixed costs, and industry growth rates. The intensity of competition among competitors in a given industry refers to the extent to which companies in a given industry put pressure on each other and determine each other their profit potential. If competition is fierce, competitors are trying to steal profits and market share from each other.

8 0

2 years ago

Based on beck's account, what were some of the hardships that prisoners faced on the bataan death march? check all of the boxes

nydimaria [60]

Being forced to stand in the hot sunenduring beatingscatching diseasesgetting shot

3 0

2 years ago

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