Premier Co. produces park equipment and is currently producing 10,000 park benches annually. A supplier has offered to produce the bench for Premier Co. for $500 per bench. Premier Co. incurs unit-level costs of $490 per unit. Premier also spends $50,000 on product design each year and incurs $100,000 of facility-level costs. Calculate the avoidable production cost for Premier Co. to produce 1 bench.
Answers
Answer:
$5
Explanation:
If Premier Co. incurs a unit-level cost of $490 per unit
Product design cost = $50000
Facility-level cost = $100000
No of units produced annually = 10000
Product design cost/unit = $50000/10000 = $5
Facility-level cost/unit = $100000/10000 = $10
Hence total production cost per unit = $490 + $5 + $10 = $505
However, the supplier is willing to produce the bench at $500 per unit
Thus avoidable production cost for 1 bench = $505 - $500 = $5
Related Questions
That afternoon, you meet with the owners privately to discuss the data you received. Which of the factors analyzed do you think will most affect the success or failure of the coffee shops?
Because of large reserves that center around the Persian Gulf, the Middle East often produces as much as two-thirds of the world’s supply of __________.A. water B. cattle C. coal D. petroleum
What is federal income tax of someone who makes 52,000 a year in 2020
Laura’s husband died in a car accident. When she turns 67, she will receive her husband’s __1___. Her children will also receive the same until they ___2___ . 1. 401k accountsocial security benefits certificate of deposit2. gradute from high schoolretirebecome employedthis is on plato i will give brainliest
Answers
The Reconstruction Finance Corporation (RFC) was established in the United States in 1932 during the Great Depression.
Its primary purpose was to provide financial assistance to banks, industries, and other businesses in need of capital to stimulate economic recovery.
The beneficiaries of the RFC were mainly large corporations, such as automobile manufacturers, railroads, and financial institutions, which received loans and assistance to stabilize their operations.
By providing financial support, the RFC aimed to prevent widespread bankruptcies and unemployment, thus benefiting both the businesses receiving aid and the broader economy by promoting stability and revitalization.
Learn more about reconstruction finance here
#SPJ6
Answers
Answer:
$10,000
Explanation:
Provided amount deposited to bank = $50,000
Reserve ratio is 20%
And provided the company do not have any amount more than the required reserve, therefore balance in reserve = $50,000 20% = $10,000
Further remaining $50,000 - $10,000 = $40,000 will be advanced as loan, and will not form part of reserves.
Therefore, total reserve's of bank = $10,000
Answers
The person or business named on the check to receive the money is called the payee. The payee is an individual or a company to whom the check is payable. The payee is the party who will receive payment thru check.
b. Merchant wholesalers
c. Truck jobbers
d. Cash and carry wholesalers
Answers
This type of business usually doesn't need to make any sales call because customers usually come, pay, and carry the product by themselves
Example of cash and carry wholesalers : Walmart , Carefour, Lotte,
$43,380
$45,671
$45,886
Answers
Answer:
B. $35,612
Explanation:
The net income which shall be earned by the Holly Farms shall be determined through following mentioned formula:
Sales $581,600
Costs ($479,700)
Depreciation expense ($32,100)
Interest expense ($8,400)
Income before tax $61,400
Tax@42% ($25,788)
Net income for year $35,612
So based on the above discussion, the answer is B. $35,612
Answers
Answer:
sensory
Explanation:
Sensory appeal: The term "sensory appeal" is described as one of the types of market branding that tends to appeal to every sense associated with a specific brand. Sensory appeal ought to utilize the senses to associate with different customers on a particular "emotional level". However, brands can even forge "emotional associations" in a customer's mind through senses appealing.
In the question above, the given statement represents sensory appeal.
Final answer:
The advertisement uses the emotional appeal technique, aiming to invoke a sense of adventure, independence, and exclusivity in its audience by portraying a rugged, beautiful terrain.
Explanation:
The ad you are referring to uses the emotional appeal method. Emotional appeals are utilized when advertisers want the audience to connect with the message on a deeper, often subconscious, level. In this context, the ad tries to invoke a sense of adventure, independence, and belonging in the viewer. The phrase "There are places that are so awesome and so killer that you'd like to tell the whole world about them. But please, don't." emphasizes the exclusivity and uniqueness of owning a Mongoose mountain bike, thus appealing to emotions and desires of the intended audience.
Learn more about Emotional Appeal here:
#SPJ11