Answer:
The accurate answer is option "C": services are predominantly labor-intensive.
Explanation:
A labor-intensive sector relies heavily on human effort to produce its products or services. In such industries, the expense of labor plays a more significant role compared to capital expenses. While technological advancements have reduced the number of labor-intensive sectors, many still exist, such as hospitality, agriculture, and mining.
Explanation:
a) Sales tax = (Sales Revenue x sales tax rate) / 100 + sales tax rate
= ($148,400 x 6%) / 100 + 6 = ($148,400 x 6%) / 106% = 8904 / 1.06 = $8,400
Sales tax = $8,400
The retailer is permitted to retain 2%, thus
b) the sales taxes payable = Sales tax x (100-2%) = $8400 x 98% = $8,232
Answer:
c) $40,000 to purchase the component
Explanation:
To determine the better option, we first need to calculate the per unit cost as follows:
= Direct material cost per unit + Direct labor cost per unit + variable overhead + allocated variable overhead
= $12 + $25 + $13 + $30 × 30%
= $12 + $25 + $13 + $9
= $59
The difference in cost is then calculated as
= $59 - $55
= $4
Consequently, the improved financial situation would be
= Quantity of units × difference in cost
= 10,000 units × $4
= $40,000
Response:
The company's initial salary expenditure amounts to Rs. 72,000
Clarification:
First, we need to denote the employee ratio with letters
3A=B
2C=D
where A and C indicate the number of employees
B signifies the salary before, while D is the salary after
It is stated that the salary after the change is the original minus Rs. 12,000
which we represent as D=B-12,000
We also know the salaries for each employee rose from 4 to 5
This leads to C=(5/4)A or A=(4/5)C
From here, we can formulate the equation
2((5/4)A)=B-12,000
A=(2/5)(B-12,000)
We employ this in the initial expression
3(2/5)(B-12,000)=B
1.2B-14400=B
0.2B=14400
B=72,000
