Answer:
$1000
Explanation:
Total factory rent is $2500 for 5000 sq ft. The basis for assigning the rent cost to different activities will be on the basis of factory area used.
Factory area used by different activities is as follows,
1. Machining 500 sq ft
2. Preparation & Setup 2000 sq ft
3. Quality Control 2000 sq ft
4. Finishing 500 sq ft
So, The cost that will be assigned to the Preparation and setup cost will be
$2500 * 2000/5000 = $1000
Answer: 2.36
Explanation: Hours per machine * # of machines
325 * 3 = 975
Units produced/ Machine Hour
2,300/975 = 2.36
Answer:
Georgeland has an absolute but not a comparative advantage in producing clothing.
Explanation:
Absolute advantage is defined as the ability of a firm to produce higher amounts of a product as a result of use of the same resources with other competitors. It is usually bad a result of more efficient production process.
Comparative advantage is the ability of a firm to produce goods at a lower opportunity cost. Therefore they are able to sell at lower price compared to competitors.
Georgeland can produce 18 units of clothe per year while Alland can produce 16 units per year, so Georgeland has absolute advantage.
In producing clothes Georgeland has opportunity cost of 36 units of food which is higher than that of Alland which is 32 units of food. So Georgeland does not have comparative advantage in producing clothes.
Answer:
comparability of data
Explanation:
Comparability of information is one attribute used only to characterize the consistency of descriptive statistics. For two factors the principle of comparability of data is especially critical to a Triad.
Secondly, the Constellation demonstrates shared data sets. Through nature, the shared data sets include information from different analytical techniques. The degree of comparability among two separate sequencing / technical methods affects the way in which sets of data can be jointly compiled, analyzed and used to help strategic thinking.
Answer:
UNIT COST $32
Explanation:
the absorption costing system is the sum of expenses applicable to purchases and charges directly or indirectly incurred to produce a good or service.
This model considers both fixed and variable costs. Which translates into a higher unit cost.
in these case unit cost = 6+10+6+6+2+2 = 32
+Direct materials $6
+Direct labor $10
+Fixed manufacturing overhead $6,000 / 1000 units= $6
+Variable manufacturing overhead $6
+Fixed operating expenses (selling, general, and administrative) $2,000
/ 1000 units=$2
Variable operating expenses (selling, general, and administrative $2
