Answer:
The cost of goods manufactured equals 650,000.
Explanation:
Based on the following details:
Beginning inventory= $250,000
Cost accumulated during the period= $500,000
Ending work in process inventory= $100,000.
To find the cost of goods manufactured, apply this formula:
cost of goods manufactured= beginning WIP + cost incurred - Ending WIP
cost of goods manufactured= 250,000 + 500,000 - 100,000
cost of goods manufactured= 650,000
Answer:
Option "B" is the correct response for the statement provided.
$15
Explanation:
Marginal revenue refers to the additional income generated from selling one more unit of a product. Meanwhile, marginal benefit is defined as the earnings a business or entity receives when producing and distributing one additional or marginal product.
Marginal Benefit = New revenue - Previous revenue
= ($40) - ($25)
=$15
Thus, Lionel's Lawn Care's marginal benefit amounts to $15.
The share of the overall price attributed to the product is under 50%, likely around 35-40%.
Clarification:
Given that the product's standalone price is $450 while the service is priced at $550, the total cost when both are purchased separately comes to at least $1000. However, the company is currently offering a promotion, selling both for $800.
This indicates that the business is experiencing some loss that must be absorbed. The discount provided to clients results in a loss of $200, which acts as a motivation for the customers.
Thus, the internal rate of return stands below the anticipated rate, and therefore the project should be rejected. To elaborate, the cash flow for the project over years 0 to 3 consists of amounts: -$161,900, $60,800, $62,300, and $75,000. The required rate of return is 13%. Let's denote the internal rate of return as y%. At this rate, the present value of inflows equals the present value of outflows, leading to the equation for internal rate of return: 161900 = 60800/1.0y + 62300/1.0y^2 + 75000/1.0y^3. This gives an internal rate of return of y = 10.41%.
Answer: The assertion in the question is false.
Explanation: In calculating interest expenses using the effective interest rate method of amortization, the market interest rate is applied, multiplied by the bond value at the start of the respective period. The question incorrectly states that the face value is considered, which is inaccurate.
Thus, the claim in the question is false.
