The firm has total fixed costs of $9 and a constant marginal cost of $3 per unit. The firm will maximize profit with a. 9 units of output. b. 15 units of output. c. 21 units of output. d. 30 units of output.

Answer:

True

Explanation:

A flexible budget is a budget in which you modify the activity levels to reflect changes in sales to help the company adjusts to different circumstances that may occcur. Also, in this budget the fixed costs remain constant and the variable costs change with the activity levels. According to this, the answer is that the statement that says that a flexible budget reporting sales volumes at three different levels will have the same fixed costs is true.

It is true that a flexible budget presenting sales volumes at three levels would have the same fixed expenses.

A flexible budget is one in which activity levels are adjusted to reflect sales performance, allowing the organization to respond to unforeseen events.

Furthermore, in this budget, fixed expenditures stay constant while variable costs vary according to activity levels. The assumption that a flexible budget reporting sales volumes at three distinct levels will have the same fixed expenses.

Find out more information about 'Flexible budget'.

https://brainly.com/question/25353134?referrer=searchResults

Answer:

Guillermo's Oil and Lube Company

Calculating the Direct Labor Rate Variance and the Direct Labor Efficiency Variance

a1. Direct labor rate variance (LRV) = Actual Labor Rate minus Standard Labor Rate multiplied by Actual hours worked

= $16 - $15 x 291

= $291 U

a2. Direct labor efficiency variance (LEV) = Standard hours minus Actual hours x Standard hourly rate

= 297 - 291 x $15

= $90 F

b1. Direct labor rate variance (LRV) = the difference between the actual wages paid and the standard wages

= (Actual labour rate x actual hours) - (standard rate x actual hours)

= ($16 x 291) - ($15 x 291)

= $4,656 - $4,365

= $291 U

b2. Direct labor efficiency variance = the difference between the actual number of direct labor hours worked and budgeted direct labor hours that should have been worked based on the standards

(291 x $15) - (297 x $15)

4,365 - 4,455

= $90 F

c. Total Direct labor rate variance (LRV) = Actual Wages minus Standard Wages

= (Actual labor rate x Actual hours) - (Standard labor rate x Standard hours)

= ($16 x 291) - ($15 x 297)

= $4,656 - $4,455

= $201 U

d. If actual wage rate paid in June was $14.00:

d1. Direct labor rate variance (LRV) = Actual Labor Rate minus Standard Labor Rate multiplied by Actual hours worked

= $14 - $15 x 291

= $291 F

d2. Direct labor efficiency variance (LEV) = Standard hours minus Actual hours x Standard hourly rate

= 297 - 291 x $15

= $90 F

d3. Total Direct labor rate variance (LRV) = Actual Wages minus Standard Wages

= (Actual labor rate x Actual hours) - (Standard labor rate x Standard hours)

= ($14 x 291) - ($15 x 297)

= $4,074 - $4,455

= $381 F

Explanation:

a) Data and Calculations

Actual number of oil changes performed: 990

Standard number of direct labor hours to for 990 oil changes = 990 x 0.3 hours (since 18 minutes = 0.3 hours or 18/60) = 297 hours

Actual number of direct labor hours worked: 291 hours

Actual rate paid per direct labor hour: $16.00

Standard rate per direct labor hour: $15.00

b) The impact on direct labor rate variance if the actual wage rate paid in June was $14 was to turn the unfavorable labor rate variance into a favorable variance of $291 and the total direct labor variance would have been a favorable variance $381 instead of an unfavorable variance of $201.

Answer:

a. To have $66,000 in four years with an annual interest rate of 9%, the present value is:

PV = $66,000 x discount factor

= $66,000 x (1.09)^4

= $66,000 x 0.708

= $46,728

b. To have $18,500 in two years with an interest rate of 8% yearly, the present value is:

PV = $18,500 x discount factor

= $18,500 x (1.08)^2

= $18,500 x 0.857

= $15,854.50

c. The future value of an investment of $787 for ten years earning an interest of 9% is:

FV = $787 x FV factor

= $787 x (1.09)^10

= $787 x 2.367

= $1,862.83

Explanation:

The present values for options A and B are calculated by discounting the future values with their discount factors.  The present values show the amounts that need to be invested today at prevailing interest rates to yield the future values after the indicated periods of time.

The future value for option C is calculated by multiplying the present value of the investment with its future value factor.  These present and future values show that there is a time value of money.  This concept means that money received today is not equal in value to the same amount received some time later.  Based on this difference, interest rates are charged to equate the values of money received today and money received in a year's time.  The interest rates also consider the inflation rate and must always be above the inflation rate in order to retain future value.

Answer:

the new degree of operating leverage for output levels of 16,400 units and 14,400 units will be -0.0858  and - 0.0745 respectively.

Explanation:

From the given information:

the degree of operating the leverage at 415,400 units = [tex]\mathtt{\dfrac{contribution \ \ margin}{operating \ \ income}}[/tex]

where contribution margin = 2 × 58000 =116000

If we assume that the sales price should be p and the variable cost  be q per unit .

Then, 415,400p - 415,400q = 116000

p - q = [tex]\mathtt{\dfrac{116000}{415400}}[/tex]

p - q = 0.279  at 415400 unit

Contribution margin = 415400 × 0.279

Contribution margin = 115896.6

The operating income = contribution margin - fixed expense

58000 = 115896.6 - fixed expense

fixed expense = 115896.6 - 58000

fixed expense = 57896.6

However, when the output level is 16400 unit,

the contribution margin = 16400(p-q)

the contribution margin =  16400(0.279)

the contribution margin = 4575.6

The operating leverage = [tex]\mathtt{\dfrac{contribution \ \ margin}{contribution \ \ margin - fixed \ \ costs}}[/tex]

The operating leverage = [tex]\mathtt{\dfrac{4575.6}{4575.6 - 57896.6}}[/tex]

The operating leverage = [tex]\mathtt{\dfrac{4575.6}{-53321}}[/tex]

The operating leverage = -0.0858

when the output level is 14400 unit,

the contribution margin = 14400(p-q)

the contribution margin =  14400(0.279)

the contribution margin = 4017.6

The operating leverage = [tex]\mathtt{\dfrac{contribution \ \ margin}{contribution \ \ margin - fixed \ \ costs}}[/tex]

The operating leverage = [tex]\mathtt{\dfrac{4017.6}{4017.6 - 57896.6}}[/tex]

The operating leverage = [tex]\mathtt{\dfrac{4017.6}{-53879}}[/tex]

The operating leverage = - 0.0745

Explanation:

a. What were some good and/or poor examples of communication?

Intercultural communication in the workplace can generate some significant difficulties, in an intercultural work team, there may be behaviors of certain members that differ from the rest of the group, which can mean lack of integration of the team due to lack of respect and interest to the cultural values ​​of a particular member.

b. Discuss any examples or interpretation of cultural differences as described in Hoftstede's Cultural Values chart on p. 46 of your text (i.e. individualism, time orientation, formality, etc.).

Formality can be interpreted differently according to different cultures. In a more flexible culture like the American one, for example, formality may not be so expressed through the use of formal language and dress, whereas in a less flexible culture, this can be seen as a disrespect, as they can establish a more serious and formal communication in the workplace.

c. Is there anything that could have been done to make the communication more effective?

To make intercultural communication more effective, it is necessary above all to respect the individual values ​​of an individual that exist in certain ways in some situations. The ideal is that people are open to learn and exchange experiences, willing to help the individual to integrate into the group, and above all to act in an ethical and respectful way always.

Answer:

d. Project X

Explanation:

For Project X

Year       Net cash outflow             Net cash inflow Balance

0              -$77,000                        -$77,000

1               $28,000                        -$49,000

2               $28,000                       -$21,000

3                $28,000                        $7,000

4                    0                               $7,000

Payback period = 2 + $21,000 ÷ $28,000

= 2 + 0.75

= 2.75 years

For Project Y

Year       Net cash outflow          Net cash inflow Balance

0              -$55,000                       -$55,000

1                $2,000                         -$53,000

2               $25,000                       -$28000

3                $25,000                       -$3,000

4                $20,000                       $17,000

Payback period = 3 +3,000 ÷ 20,000

= 3 + 0.15

= 3.15 years

Project X has a lesser than 3 year payback period. So, the correct option is D

Answer:

The required rate of return is r = 0.1475 or 14.75%

Explanation:

The required rate of return is the minimum return that investors demand/expect on a stock based on the systematic risk of the stock as given by the beta. The expected or required rate of return on a stock can be calculated using the CAPM equation.

The equation is,

r = rRF + Beta * (rM - rRF)

Where,

r = 0.06 + 1.25 * (0.13 - 0.06)

r = 0.1475 or 14.75%

Answer:

Assets:                                                     ($ million)

Current Assets:

Cash                                           $2,292

Accounts receivable                     1,061

Prepaid rent                                    233

Debt investments (short-term)     1,160

Total Current Assets                               $4,746

Non-current Assets:

Stock investments (long-term)    3,247

Equipment                         1,737

Accumulated depreciation 201    1,536

Patents                                            234

Goodwill                                       3,927

Total non-current assets                        $8,924

Total Assets                                           $13,690

Current Liabilities:

Unearned sales revenue           413

Accounts payable                      152           $565

Non-current Liabilities:

Notes payable (long-term)                          734

Total Liabilities                                       $1,299

Stockholders' Equity:

Common stock                     6,283

Retained earnings                6,108          12,391

Total liabilities + equity                        $13,690

Explanation:

a) This Yahoo!'s 2017 classified balance sheet shows the current assets, current liabilities, non-current assets, non-current liabilities, and the stockholders' equity with their separate totals.  It helps in calculating important financial ratios and in making comparisons in absolute dollar terms from one period to the other or from one company to another entity.

Answer:

There are many alternative suppliers

Explanation:

Bargaining power of suppliers is one of Porters Five Forces. It refers to the extent to which a supplier can exert influence over buyers.

If there are many suppliers and a supplier raises price, consumer can easily change suppliers. But if the cost of changing suppliers is high (Switching costs), consumers would have less incentive to change suppliers. Thus, the bargaining power of suppliers would be high.

If there are few substitutes, there are few alternatives to the product offered by the supplier. so, the bargaining power of the supplier is high because consumers have little alternatives to the suppliers product.

Answer:

variable costs per unit = $10.57

variable cost per unit for utilities = $0.85

variable cost per unit for maintenance = $0.25

Explanation:

I believe that the question is incomplete: the missing part is that both utilities and maintenance costs are mixed.

Production in units 3,900

Variable production cost s:

Direct materials $9,675  / 3,900 = $2.4808 per unit

Direct labor $27,420  / 3,900 = $6.9846 per unit

Utilities ($3,702 - $387) / 3,900 = $0.85 per unit

Maintenance ($1,233 - $258) / 3,900 = $0.25 per unit

total variable costs per unit = $10.5654 ≈ $10.57

Answer:

(a)

Dr Unrealized Holding Gain or Loss -Equity $1,410

Cr Fair Value Adjustment $1,410

(b)

Dr Cash $9,410

Dr Loss on Sale of Investment $590

Cr Equity Investment $10,000

(c)

Dr Fair Value Adjustment $1,120

Cr Unrealized Holding Gain or Loss-Equity $1,120

Explanation:

(a) Preparation of the adjusting journal entry needed on December 31, 2017.

Dr Unrealized Holding Gain or Loss -Equity $1,410

Cr Fair Value Adjustment $1,410

(To Adjust to Fair Value for 2017)

(b) Preparation of the journal entry to record the sale of the Colorado Co. stock during 2018.

Dr Cash $9,410

Dr Loss on Sale of Investment $590

(20,200- 20,790)

Cr Equity Investment $10,000

($9,410+$590)

(To Record Sale of Stock)

(c)Preparation of the adjusting journal entry needed on December 31, 2018.

Dr Fair Value Adjustment $1,120

Cr Unrealized Holding Gain or Loss-Equity $1,120

(To Adjust to Fair Value for 2018)

Investments Amortized Costs, Fair Value , Unrealized Gain (Loss)

Clemson Corp. stock

$20,200 $19,410 ($790)

Buffaloes Co. stock

$20,200 $20,700 $500

$40,400 $40,110 ($290)

Previous Fair Value Adjustment (Credit)

$1,410

Fair Value Adjustment (Debit)$1,120

Answer:

22.81%

Explanation:

The computation of the rate of return is shown below:

= (cash inflow ÷ total cost) - 1

where,

Cash inflow is $595,000

And, the total cost is

= $475,000 + $475,000 × 2%

= $475,000 + $9,500

= $484,500

So, the rate of return is

= ($595,000 ÷ $484,500) - 1

= 22.81%

Hence, the rate of return is 22.81%

Basically we applied the above formulas

Answer:value of stock for the required return of 12 % =  $53

Explanation:

Given

current dividend just paid = $3.00

dividend to grow at constant rate of 6%

required rate of return =12%

to calculate the value of stock for the requitred return of 12 % , we use the dividend growth model which is  

Current price = dividend ( 1 + growth rate )/ (required rate -growth rate )

                        = 3 x (1+6%) / 12-6 = 3 x 1.06 /6% =3.18/0.06=  $53

Therefore  value of stock for the requitred return of 12 % ,=  $53

Answer:

a. Society's welfare is paramount.

Explanation:

A commission on the freedom of press also known as "The Hutchins Commission" was formed in the United States of America (USA) during the World War II (WWII) by Robert Maynard Hutchins.

In 1947 after deliberating on the issues of press for four (4) years, the Hutchins Commission concluded that society's welfare is paramount, this is one of the two fundamental issues that the recommendations of the 1947 Hutchins Commission on social responsibility in journalism is based on. The commission stated that the development and stability of a society is influenced by the operations of the press and as such it is very important that the mass media (press) is socially responsible.

Some of the guidelines or recommendations made by the Hutchins Commission for the press are;

1. Present meaningful, reliable and accurate news to the general public; not opinions.

2. Present an overall view of what was known about society.

3. Avail the citizens an opportunity for constructive criticism and exchange of comment about the government.

Answer:

Zero, because the selling of fixed asset is reported as cash inflow under investing activity.

Explanation:

Cash flow from investing activities includes all the investments in the long term assets and sale of investments or individual assets. The investment items may include Property, Plant and Equipment.

So this means that it will not be included in the Cash from Operating Activities because it is a Cash from Investing Activities.

Answer: E. Only the implied warranty of assignability arises automatically under common law

Explanation:

Implied warranty is a term that is used in common law to refer to assurance that are given to a a product that the said product is fit and in good condition for the purpose it'll be used for.

Of all the options that are given, the one that is true regarding warranties under common law is that only the implied warranty of assignability arises automatically under common law.

Answer: The minimizing the imbalance in the workloads among workstations.

Explanation:

Workspace can inspire informal and productive encounters if it balances what three physical and social aspects.

Answer:

b. $19,020

Explanation:

Note: This question is not complete. The complete question is therefore provided in the attached pdf file before answering the question. Please, see the attached file for the full question.

Also note that the "1. Option A 2. Option B 3. Option C" are not actually part of the question.

The explanation to the answer is now provided as follows:

Note: This is an example of annuity. An annuity can be described as a series of payments made or income received at equal intervals.

Therefore, the relevant table in the question is the second table, i.e. table for the present value of an annuity of $1 at compound interest.

To calculate the present value (PV), the following for formula is used:

PV = ACI * PVA10% ............................ (1)

PV = Present value = ?

ACI = Annual cash inflows = $6,000

PVA = Present value of annuity of $1 at 10% for 4 years = 3.170

Note that the PVA is obtained for year 4 at 10% from the second table as already explained above.

Substituting the values into equation (1), we have:

PV = $6,000 * 3.170

PV = $19,020

Therefore, the correct option is option b. $19,020.

Answer:

Current price of stock = $130.76(Approx).

Explanation:

Given:

Dividend paid = $4.25

Required return of return = 10%

Growth rate = 6.75%

Find:

Current price of stock = ?

Computation:

Current price of stock = D1 / (Required return of return - Growth rate)

Current price of stock = 4.25 / (0.1 - 0.0675)

Current price of stock = 4.25 / 0.0325

Current price of stock = $130.76(Approx).

Answer:

b. 30.29

Explanation:

Perpetuity is the state that lasts forever. In statistics the benefit that last for an indefinite period of time is calculated through perpetuity method.  

1/1.06 + 1/1.06^2 +1/1.06^3 + 1/1.06^4 + 1/1.06^5 + 1/1.06^6 + 1/1.06^7 + 1/1.06^8 + 1/1.06^9 =

0.942 + 0.893 + 0.87 + 0.821 + 0.791 + 0.752 + 0.691 + 0.652 + 0.604

=  7.017

7.017 / 0.23 = 30.29

Answer: Form 8-K

Explanation:

An 8-K is a report the corporate changes that happens at an organization. The information given in form 8-K is important to the shareholders of the organization and also to the Securities and Exchange Commission.

Events such as bankruptcy, acquisitions, resignation of directors can all be seen in the report.

Answer:

c. The Berne Convention Implementation Act of 1988.

Explanation:

This was put into force in the United States of America in the year 1988 even though its laws were been vehemently upheld from the next year. This was a law put in place to be a guide to a lot of United States citizens who are known to ply their trades in the literary and also artistic sphere. It was seen as a protection agency to writers and artists in literary world. Their work at this early stages may have been performed only pursuant to appropriate domestic law. Also, in a bid to make this law a better one, it was said to be amended together with the law as it exists on the date of the enactment of this law been amended, satisfy the obligations to the citizens of the US.

Answer: B) balances of the partners' capital accounts.

Explanation:

Final cash distributions should be made proportionally to partners based on what they have in their Capital Accounts.

The balance in the Capital accounts of Partners shows the level of contribution that each partner has made to the business as well as their ownership proportion. When cash is to be distributed finally, it should therefore be based on the proportion of these Capital account balances to reflect the contribution and ownership.

Answer:

$5,180 and $35,120

Explanation:

The computation of the cost of goods sold and the ending inventory is shown below:

There are 500 unit sold so according to that the cost of goods sold is

Jan 1        60 units         $66         $3,960

May 5      280 units       $69         $19,320

Nov 3       160 units      $74           $11,840

Cost of goods sold                        $35,120

Now the ending inventory is

Since there is a 70 ending inventory units i.e comes from

= 570 units - 500 units

= 70 units

So this should be at $74

i.e $5,180

Answer:

The current market rate is 8%

Explanation:

The market rate is the return on market or the market portfolio. To calculate the market rate (rM) we will use the CAPM equation which is used to calculate the required rate of return on a stock or portfolio. The formula for required rate of return under CAPM is,

r = rRF + Beta * (rM - rRF)

Where,

We already know the value of r, rRF and Beta. We will input these values in the above equation to calculate the market rate.

0.12 = 0.04 + 2 * (rM - 0.04)

0.12 - 0.04 = 2 * rM - 0.08

0.08 + 0.08 = 2 * rM

0.16 / 2 = rM

rM = 0.08 or 8%

Answer:

Differential cost is $0

Explanation:

A company should process further a product if the additional revenue from the split-off point is greater than than the further processing cost.  

Additional sales revenue = Sales revenue after further processing - sales revenue after split-off point

. A company should process further a product if the additional revenue from the split-off point is greater than than the further processing cost.

Also note that all cost incurred up to the split-off point are irrelevant to the decision to process further .  

                                                                               $

Sales after split off point  (Product C)                  58  

Sales at the split off point (Product B)                 33

Additional sales revenue                                     25

Further processing cost                                        (25)

Differential cost                                                        0

Differential cost is $0

Answer: $60

Explanation:

From the question, we are informed that At an oral auction for a lamp, half of all bidders have a value of $50 and half have a value of $70.

The expected winning bid if there are four bidders goes thus:

Since there are four bidders, the probability that the winning bid is $50 is 1/2 and for $70, it's 1/2 as well based on the question.

The expected winning bid will now be:

= ($50 × 1/2) + ($70 × 1/2)

= ($50 × 0.5) + ($70 × 0.5)

= $25 + $35

= $60

Answer:

balanced scorecard

Explanation:

The term that is being mentioned in this question is known as a balanced scorecard. This is a strategic management performance metric that is used to measure and provide feedback to a company's management by identifying and improving different internal business functions and their outcomes, usually in regards to the employees themselves. An example of a balanced scorecard can be seen in the attached photo.

Answer:

Year    NCF Processing Mill     NCF Processing Mill     NCF Electric Shovel

0          -$750,000                        -$750,000                      -$750,000      

1           $310,000                          $310,000                        $330,000

2          $260,000                         $260,000                       $325,000

3          $260,000                         $260,000                       $325,000

4          $260,000                         $540,000                       $320,000

5          $180,000

6          $130,000

7          $120,000

8          $120,000

discount rate = 15%

NPV Processing Mill (8 years) = -$750,000 + ($310,000 x .87) + ($260,000 x .756) + ($260,000 x .658) + ($260,000 x .572) + ($180,000 x .497) + ($130,000 x .432) + ($120,000 x .376) + ($120,000 x .327) = -$750,000 + $267,700 + $196,560 + $171,080 + $148,720 + $89,460 + $56,160 + $45,120 + $39,240 = -$750,000 + $1,014,040 = $264,040 HIGHEST NPV, SO THIS PROJECT SHOULD BE SELECTED

NPV Processing Mill (4 years) = -$750,000 + ($310,000 x .87) + ($260,000 x .756) + ($260,000 x .658) + ($540,000 x .572) = -$750,000 + $267,700 + $196,560 + $171,080 + $308,880 = -$750,000 + $944,220 = $194,220

NPV Electric Shovel (4 years) = -$750,000 + ($330,000 x .87) + ($325,000 x .756) + ($325,000 x .658) + ($320,000 x .572) = -$750,000 + $287,100 + $245,700 + $213,850 + $183,040 = -$750,000 + $929,690 = $179,690

Answer:

Amount = (Total periodic pay / Number days in period) * Number days for current period

Amount = ($10,000/5) * 4

Amount = $8,000

Therefore, the amount to be recorded for adjusting entry is $8,000.

                                          Journal Entry

 Date          Description                               Debit       Credit

31 Dec     Payroll expenses                        $8,000

                    Payroll expenses payable                     $8,000

                (Being Payroll expenses recorded)