BUSINESS COLLEGE

Gelb Company currently manufactures 51,500 units per year of a key component for its manufacturing process. Variable costs are $5.15 per unit, fixed costs related to making this component are $65,000 per year, and allocated fixed costs are $78,500 per year. The allocated fixed costs are unavoidable whether the company makes or buys this component. The company is considering buying this component from a supplier for $3.90 per unit. Calculate the total incremental cost of making 51,500 units and buying 51,500 units. Should it continue to manufacture the component, or should it buy this component from the outside supplier?

Answers

Answer 1
Answer:

Answer:

$343,725; $200,850

Explanation:

(a) The total incremental cost of making 51,500 units is calculated as below:

Total Relevant Costs:

= Variable Cost Per Unit + Fixed Manufacturing Costs

= (Relevant Amount Per Unit × No. of units) + Fixed Manufacturing Costs

= ($5.15 × 51,500) + $78,500

= $265,225 + $78,500

= $343,725

Therefore, the total incremental cost of making 51,500 units is $343,725.

(b) The total incremental cost of buying 51,500 units is determined as below:

Total Relevant Costs = Purchase Price Per Unit × No. of units

                                   = $3.90 × 51,500

                                   = $200,850

Therefore, the total incremental cost of buying 51,500 units is $200,850.

(c) The company should buy the component from outside supplier as it results in a lower total incremental cost of $200,850.

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Using the intuitive least cost method for the given transportation problem, answer the following: Cleveland Dayton Erie Supply Allentown $22 $16 $21 100 Philadelphia $28 $27 $18 150 Harrisburg $25 $23 $19 175 Demand 175 175 175 What is the maximum quantity that can be shipped from Allentown to Erie? 100 What is the maximum quantity that can be shipped from Harrisburg to Cleveland? 175 What is the maximum quantity that can be shipped from Harrisburg to Dayton? 75 Which demand location will have an unmet demand? Cleveland Answer 1:

I want to have a college fund for my daughter. She is 5, so I have 13 years to achieve my goal of $50,000. The bank says I can earn 2%. I have $5000 already set aside. How much do I need to contribute every year?

Answers

Answer:

$2960 yearly savings

Explanation:

From the values given and from mathematical manipulation, he or she needs a contribution of at least $2900 every year in order to achieve his goal of $50,000.

                     EXPLANATION

  • If the child is 5yr old now, in 13years time, she will be 18yr old.
  • $2950 target yearly

  • for the next 13years, it would have amount to $38350

  • remember the bank will give an annual interest rate of 2%
  • so for 13years, that's 26% = 0.26

  • In the 13th year, he would have saved $38350, add the 26% interest for the duration of 13years = 26% x $38350 + $38350 = $48321

  • His savings will fall between $2950 - $2960 yearly.

Final answer:

You will need to contribute approximately $2,615.97 each year to your college fund to achieve your goal of $50,000 in 13 years, starting with $5,000 and earning 2% interest compounded annually.

Explanation:

To calculate how much you need to contribute every year to have $50,000 in a college fund for your daughter in 13 years with an existing $5,000 at a 2% annual interest rate, we need to use the future value of an annuity formula:

The future value of an annuity formula is FV = P × {[(1 + r)^n - 1] / r}, where:

  • FV is the future value of the annuity (the amount we want to have in the future, which is $50,000).
  • P is the annual payment (the amount you will contribute every year).
  • r is the annual interest rate (which is 2%, or 0.02).
  • n is the number of years the money is deposited (13 years).

Since you already have $5,000, we first need to find out how much this amount will grow to in 13 years at an annual interest rate of 2%. That's calculated using the compound interest formula:$5,000(1 + 0.02)^{13} = $6,727.09

Now, subtract this future value of your initial savings from the goal:$50,000 - $6,727.09 = $43,272.91

This is the amount that needs to be reached with the annual contributions. Plugging this back into the future value of an annuity formula, we solve for P:$43,272.91 = P × {[(1 + 0.02)^{13} - 1] / 0.02}We can now solve for P, which is the annual contribution required:P = $43,272.91 / {[(1 + 0.02)^{13} - 1] / 0.02} = $2,615.97

Therefore, you'd need to contribute approximately $2,615.97 each year to reach your $50,000 college fund goal in 13 years, assuming a 2% annual rate.

Your family runs a specialty ice cream parlor, Scoops. It manufactures its own ice cream in small batches and sells it only in pint-sized containers. After someone not affiliated with the company sent six pints of your ice cream to a popular talk-show host, she proclaimed on her national TV show that it was the best ice cream she had ever eaten. Immediately after the broadcast, orders came flooding in, overwhelming your small-batch production schedule and your limited distribution system. The company’s shipping manager thinks she can handle it, but you disagree. List the reasons why you need to restructure your channel of distribution.

Answers

Answer:

Demand And Supply

Explanation:

Demand and supply are the biggest factors of buisness when demand becomes higher than supply it results in angry customers and unhappy reviews

The following cost data relate to the manufacturing activities of Chang Company during the just completed year: Manufacturing overhead costs incurred: Indirect materials $ 17,000 Indirect labor 150,000 Property taxes, factory 10,000 Utilities, factory 90,000 Depreciation, factory 147,000 Insurance, factory 12,000 Total actual manufacturing overhead costs incurred $ 426,000 Other costs incurred: Purchases of raw materials (both direct and indirect) $ 420,000 Direct labor cost $ 80,000 Inventories: Raw materials, beginning $ 22,000 Raw materials, ending $ 32,000 Work in process, beginning $ 42,000 Work in process, ending $ 72,000 The company uses a predetermined overhead rate of $20 per machine-hour to apply overhead cost to jobs. A total of 21,700 machine-hours were used during the year. Required: 1. Compute the amount of underapplied or overapplied overhead cost for the year. 2. Prepare a schedule of cost of goods manufactured for the year.

Answers

Answer:

Part 1

under-applied overheads = $8,000

Part 2

Schedule of cost of goods manufactured for the year.

Opening Work in process                                            $ 42,000

Add Direct Materials                                                   $393,000

Add Direct Labor                                                          $ 80,000

Add Applied Overheads                                             $434,000

Less Ending Work In Process                                    ( $ 72,000)

Cost of Goods Manufactured                                     $877,000

Explanation:

The amount of underapplied or overapplied overhead cost for the year.

Applied Overheads = Predetermined overheads rate x Actual machine hours

                                 = $20 x 21,700 machine-hours

                                 = $434,000

Since,

actual manufacturing overhead costs = $ 426,000

and

applied manufacturing overhead = $434,000

then

under-applied overheads = $8,000 ($434,000 - $ 426,000)

Schedule of cost of goods manufactured for the year.

Opening Work in process                                            $ 42,000

Add Direct Materials ($ 22 + $ 420 - $ 32 - $ 17)      $393,000

Add Direct Labor                                                          $ 80,000

Add Applied Overheads                                             $434,000

Less Ending Work In Process                                    ( $ 72,000)

Cost of Goods Manufactured                                     $877,000

Based on murder rates in the United States, an Associated Press story reported that the probability that a newborn child has, of eventually being a murder victim, is 0:0263 for nonwhite males, 0:0049 for white males, 0:0072 for nonwhite females, and 0:0023 for white females. (a) Find the conditional odds ratio between race and whether a murder victim, given gender. Interpret your results. Do these variables exhibit homogeneous association? (b) Half the newborns are of each gender, for each race. Find the marginal odds ratio between race and whether a murder victim.

Answers

Answer:

The odds of being murder victims among nob white males are 5.485 times as compared to white males.

Explanation:

See attachment for explanation.

In the month of November Pharoah Company wrote checks in the amount of $68800. In December, checks in the amount of $94176 were written. In November, $63002 of these checks were presented to the bank for payment, and $80970 in December. What is the amount of outstanding checks at the end of December?

Answers

Answer:

$145,008

Explanation:

Outstanding checks at the end of November = $68,800 + $63,002 = $131,802

Outstanding checks at the end of December = $131,802 + $94,176 - $80,970 =  $145,008

Therefore,  the amount of outstanding checks at the end of December is $145,008.

Is there too much pressure on girls to have perfect bodies?

Answers

yes because girls feel like they have to please everyone and leave up to people expectations
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