Alanco, Inc. manufactures a variety of products and is currently manufacturing all of their own component parts. An outside supplier has offered to sell one of those components to Alanco. To evaluate this offer, the following information has been gathered relating to the cost of producing the component internally: Direct Materials$4Direct Labor$6Variable Manufacturing Overhead$2Fix Manufacturing Overhead, Traceable*$5Fix Manufacturing Overhead, Common but Allocated$8Total Cost$25.00Supplier Price= $21Units Per Year= 12,000
Fix manufacturing overhead, traceable is composed of two items:
Depreciation of Equipment:30%Supervisor Salary:70%
Assuming the company has no alternative use for the facilities now being used to produce the component, complete the following analysis to determine if the outside supplier's offer should be accepted.
Based on this analysis, write an if statement to determine if Alanco should make or buy the component.
Alanco should ............. the component.
Answers
To determine if Alanco should make or buy the component, we need to compare the cost of producing the component internally with the cost of purchasing it from the outside supplier.
The relevant costs of making the component are:
Direct materials: $4
Direct labor: $6
Variable manufacturing overhead: $2
Traceable fixed manufacturing overhead (30% x $5): $1.50
Total relevant cost per unit: $13.50
If Alanco buys the component from the supplier, the cost will be $21 per unit.
Since the relevant cost of making the component internally is less than the cost of buying it from the supplier, Alanco should make the component.
Therefore, the if statement should be:
if (13.50 < 21) {
Alanco should make the component.
} else {
Alanco should buy the component.
}
The cost of producing the component internally is $25 per unit, while the outside supplier is offering it for $21 per unit. This means that Alanco can save $4 per unit by purchasing from the outside supplier.
Therefore, the if statement to determine if Alanco should make or buy the component would be:
If the cost of producing the component internally is greater than the cost of purchasing it from the outside supplier, Alanco should buy the component.
In this case, since the cost of purchasing the component from the outside supplier is lower than the cost of producing it internally, Alanco should buy the component.
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Related Questions
if d varies directly as t and d = 20.5 when t=12 find:(a) the value of the constant (b) the relationship between d and t (c) the value of d when t =6.
Answers
Answer:
(a) \(k=\frac{41}{24}\)
(b) \(d=\frac{41}{24} t\)
(c) \(d=\frac{41}{4}\)
Explanation:
As d varies directly as t,
\(d=kt\)
Here, k is a constant.
(a)
Put \(d=20.5\,,\,t=12\)
\(20.5=12k\\\\k=\frac{41}{24}\\\\k= 1.71\)
(b)
Put \(k=\frac{41}{24}\) in \(d=kt\)
\(d=\frac{41}{24} t\)
(c)
Put \(t=6\) in \(d=\frac{41}{24} t\)
\(d=\frac{41}{24} (6)\\\\d=\frac{41}{4}\)
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Answers
Answer:
akvsgsssgsuajawgwgwjwiwbwiqk
The function f(x) = 2,000(1 + )12t models the balance in a savings account.
The savings account had an initial balance of _ and compounds
_ at an interest rate of _
Answers
Answer:
In the exponential function f(x) = P(1 + )nt :
P = principal value
r = the annual interest rate
n = number of compounding periods in a year
t = time in years
For the given function, P = 2,000, r = 0.0225, or 2.25%, and n = 12. So, the interest compounds 12 times a year, or monthly.
Therefore, the savings account had an initial balance of $2,000 and compounds monthly at an interest rate of 2.25%.
Explanation:
Explanation from PLATO
hello , What are three common tools for qualitative research in business and marketing?
Answers
Answer:
they would be in-depth interviews, focus group discussions and observation over data
Explanation:
Hope this helps, please rate and mark as brainlest :)
What is telemarketing?
Answers
Answer:
Using the telephone or the Internet to promote products or services to prospective clients is known as telemarketing. Outbound calls, inbound calls, lead generation calls, and sales calls are the four most prevalent types of telemarketing calls.
Explanation:
Hope it helps:)
Definition : A telemarketer makes phone calls on behalf of the company to provide information about products and services to potential clients. When interviewing telemarketers the successful candidate will have a positive attitude with excellent sales skills.
What is a Telemarketer?
Telemarketers, also known as sales representatives, sell products or services over the telephone or through web conferencing. They usually work in call centers or at home for third-party call center companies. Additional responsibilities include: ... Contact potential and current customers to promote products or services.
What is a telemarketing in business?
Telemarketing is the direct marketing of goods or services to potential customers over the telephone, Internet, or fax.
What is telemarketing example?
Definition and examples. Telemarketing usually means contacting customers and potential customers by telephone, but can also include using fax or the Internet. Direct mail and face-to-face meetings are not part of telemarketing.
Hope this helps : )
anybody can help with this too ??
Answers
Answer:
1. The three types of business mentioned are – Manufacturing, Retail store and School
2. She means that whenever there is loss both Ashley’s father and aunt get tensed.
3. They sell their product on sale to increase the revenue
4. Sale is better than having no sale at all as it caters the immediate financial requirement without ant further invetsment
Explanation:
1. The three types of business mentioned are – Manufacturing, Retail store and School
2. She means that whenever there is loss both Ashley’s father and aunt get tensed.
3. They sell their product on sale to increase the revenue
4. Sale is better than having no sale at all as it caters the immediate financial requirement without ant further invetsment
which one of the following is not an attractive way to reduce costs and help a company achieve a competitive advantage based on lower overall costs per pair sold than rival companies?
Answers
Avoiding the use of overtime at the company's plants is not a way to reduce costs and strive to achieve competitive advantage.
Anything that gives a business an edge over its rivals, enabling it to draw in more clients and increase its market share, is considered a competitive advantage.
Three main types of competitive advantages are possible: Cost advantage: the ability to produce a good or deliver a service for less money than rivals Offering an edge by differentiating a product with qualities that consumers value highly A competitive advantage that comes from providing superior service to a particular market segment
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The new video game console from Kashikoi Games was just released for sale to the public. The console has been a huge success. Kashikoi Games makes the console available for purchase on their website and at TechMart and SmartShopper retail stores. In this scenario, which is the best example of a delivery system?
A, Kashikoi Games's website and the public sector
B. TechMart and the new console
C. The new console and Kashikoi Games
D. SmartShopper and Kashikoi Games's website
Answers
The best example of a delivery system in this scenario is D. SmartShopper and Kashikoi Games's website, as these are the channels through which the new video game console from Kashikoi Games is delivered to the consumers.
Explanation:In this scenario, the best example of a delivery system is D. SmartShopper and Kashikoi Games's website. These are the channels through which the product, the new video game console from Kashikoi Games, is delivered to the consumer. This means that these channels are part of the delivery system because they bridge the gap between the producer (Kashikoi Games) and the end user (the gamer). TechMart is another example of a part of the delivery system in this scenario.
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VRIO analysis on Afterpay
why is afterpay facing the challenges.
is afterpay using its competitive advantage on (O) organized to its full potential?
Answers
Afterpay a leading player in the buy-now-pay-later, industry can be analyzed using the VRIO framework. VRIO stands for Value, Rarity, Imitability, and Organization.
Value: Afterpay provides value to customers by offering them a convenient and flexible payment option. This differentiates it from traditional credit providers.
Rarity: Afterpay's business model is relatively unique in the market, giving it a rare advantage over competitors.
Imitability: While the basic concept of buy-now-pay-later can be replicated, Afterpay has built a strong brand and network of merchants, making it difficult for competitors to imitate.
Organization: Afterpay's organizational structure and capabilities determine if it is leveraging its competitive advantage to the fullest. However, without further information, it is challenging to assess if Afterpay is fully utilizing its resources and capabilities.
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One disadvantage of a corporation is:
Answers
Answer:
The disadvantages of a corporation are as follows: Double taxation. Depending on the type of corporation, it may pay taxes on its income, after which shareholders pay taxes on any dividends received, so income can be taxed twice. Excessive tax filings.
You and a friend have just started a small business. How could you use the Internet to make your business successful?
Answers
Answer:
You could use the internet to make ads for your business and you can also make a website for your business, and focus on customer service and you can make social media to share what you do.
Project: How Entrepreneurs Improve the Economy
This project will focus on researching different ways that entrepreneurs improve the economy. You will then explore these ways and
explain whether you agree or disagree with how each can improve the economy.
During this project, you'll accomplish the following:
O Objectives
• Research at least five ways that entrepreneurs improve the economy and explain whether you agree or disagree with each.
Directions
Use the Internet to research different ways that entrepreneurs improve the economy. You will need to have at least five ways. Be sure
to include the URL links you used as resources in the space below.
Now that you have completed the research, record your findings in the table below and include the links,
1 Fillin five ways that entrepreneurs improve the economy
Answers
Answer:
time management
make best decision
saving the budget
having ideas
never relaxed
1. Are you surprised by this number? Why or why not?
2. What are some emergency expenses that could amount to $400?
3. How do you think the 33% cover this emergency cost if they don’t have money saved to cover it?
4. What is more important to your decision to save money: the interest rate you earn on your savings or the interest rate you pay on borrowing?
5. How do you think we (as a country) could increase the number of people that can handle a $400 emergency expense?
Answers
Answer:
1. No. With all the people who dont have jobs, are homeless, moneyless, or overdue, no I am not surprised.
2. Surgery, severe accidents, cancer costs, bone fractures x-ray, bone fracture repairs, bone replacements.
3. borrow it, take out a loan and pay it with intrest.
4. the intrest rate you pay on borrowing, because the greater the intrest on it the more I have to pay!
5. I dont know?
Explanation:
no explanation!
hope this helps!! :)
Which of the following are used for operating expenses?
Intermediate-term loans Operating-term loans
Long-term loans
Short-term loans
Answers
Answer:
i think po is operating-term loans
Answer:
Short term loans are used for operating expenses
in terms of course planning, what is bdp an acronym for?
Answers
Create a fictitious product. Be creative — it can be anything you want, including clothing, a beverage, food, a gadget, a video game, or whatever.
Using the ten advertising strategies that are discussed in this chapter, think of a way you could use each strategy in a commercial to sell your product. Explain in detail how you would go about using each strategy to sell the product.
Answers
Answer:
A video game:
Explanation:
Target your audience: kids love videos games, and crazy colors. Grab your audiences attention
If someone hire you today, what are some skills that you have that you can use in the workplace?
Answers
Linkcomn expects an Earnings after Taxes of 75000$ every year. The firm currently has 100% Equity and cost of raising equity is 10% If the company can borrow debt with an interest of 10%. What wit be the value of the company if the company takes on a debt equal to 50% of its unlevered value? What will be the value of the company if the company takes on a debt equal to 60% of its levered value? Assume the company's tax rate is 30% (Must show the steps of calculation)
Answers
The value of the company with a debt equal to 50% of its unlevered value would be $386,250, and the value of the company with a debt equal to 60% of its levered value would be $161,452.50.
To calculate the value of the company under different debt levels, we need to consider the concept of levered and unlevered value.
Given information:
Earnings after taxes = $75,000
Cost of raising equity = 10%
Interest rate on debt = 10%
Debt-to-equity ratio for the first scenario = 50%
Debt-to-equity ratio for the second scenario = 60%
Tax rate = 30%
First, let's determine the unlevered value of the company, which represents the value of the company with no debt:
Unlevered value = Earnings after taxes / Cost of raising equity
Unlevered value = $75,000 / 0.10
Next, let's calculate the levered value of the company for each scenario:
Scenario 1: Debt equal to 50% of the unlevered value
Debt = 50% * Unlevered value
Equity = Unlevered value - Debt
Interest tax shield = Debt * Interest rate * Tax rate
Levered value = Equity + Interest tax shield
Scenario 2: Debt equal to 60% of the levered value
Debt = 60% * Levered value
Equity = Levered value - Debt
Interest tax shield = Debt * Interest rate * Tax rate
Levered value = Equity + Interest tax shield
Now, let's perform the calculations:
Unlevered value = $75,000 / 0.10 = $750,000
Scenario 1:
Debt = 50% * $750,000 = $375,000
Equity = $750,000 - $375,000 = $375,000
Interest tax shield = $375,000 * 0.10 * 0.30 = $11,250
Levered value = $375,000 + $11,250 = $386,250
Scenario 2:
Debt = 60% * $386,250 = $231,750
Equity = $386,250 - $231,750 = $154,500
Interest tax shield = $231,750 * 0.10 * 0.30 = $6,952.50
Levered value = $154,500 + $6,952.50 = $161,452.50
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why do your feet stink
Answers
Answer:
feet become smelly if sweat soaks into shoes and they don't dry before you wear them again. Bacteria on the skin break down sweat as it comes from the pores.
Type the correct answer in the box. Spell all words correctly.
Ideally, what should more than one member of the family contribute to for a better financial position?
A family can have more than one person contributing to the household _______
for a better financial position.
Answers
A family can have more than one person contributing to the household income for a better financial position.
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Our daily personal financial transactions has been made easy with the use of A. B. money. cheque. C. pay slips. D. documents.
Answers
Answer:
Money
Explanation:
Money is used as mode of exchange
The following are methods of delivering a presentation except:____. group of answer choices
a. manuscript.
b. impromptu.
c. extemporaneous.
d. informal.
Answers
Answer: informal
Explanation: memorized replaces informal
Which of the following statements about experience rating are true?I. The insured's past loss experience is used to determine the premium for the next policy period.II. Its use is generally limited to small firms whose actual experience lacks credibility
Answers
The insured's past loss experience is used to determine the premium for the next policy period and Its use is generally limited to small firms whose actual experience lacks credibility. Both statements about experience rating are true.
I. Experience rating involves using the insured's past loss experience to determine the premium for the next policy period.
Insurance companies analyze the historical data of claims and losses incurred by the insured to assess the risk and determine the appropriate premium for the upcoming policy period. This approach takes into account the specific loss experience of the insured, which can help tailor the premium to their individual risk profile.
II. Experience rating is commonly used for small firms whose actual experience lacks credibility. For larger firms with more substantial loss data, insurers can rely on their own experience and industry-wide statistics to assess risk and set premiums.
However, small firms may not have a significant claims history, making it difficult for insurers to accurately estimate their risk profile. In such cases, experience rating allows for a more customized approach based on the insured's specific experience.
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Carl's monthly take-home pay is $2,000 and his monthly rent is $500 if both his monthly take-home pay in his rent increase $100 what percentage of Carl's take-h...
Answers
Answer: 28.6%
Explanation:
Please help, <3
Analyze two pricing strategies for their advantages and disadvantages and give reasons for a business to use each of those pricing strategies.
Answers
hope it helps
One major advantage of pure competition compared to a monopoly is that:
O A. businesses have more incentives to keep prices low.
B. economies of scale become less important.
C. consumers have to make fewer economic choices.
D. more capital is available for research and development.
Answers
Answer:businesses have more incentives to keep prices low
Explanation:apex
Using the crossover mileage between the hybrid vehicle and the alternative vehicle from a competing auto manufacturer below, what is the crossover point in years? Hybrid Vehicle Vehicle Purchase Cost $18 comma 000 Vehicle Operating Cost per Mile $0.13 Useful Life of Vehicle 14 Miles per Year 16 comma 500 Miles per Gallon 31 Average Fuel Price per Gallon $3.95 Alternative Vehicle Vehicle Purchase Cost $19 comma 500 Vehicle Operating Cost per Mile $0.10 Useful Life of Vehicle 14 Miles per Year 16 comma 500 Miles per Gallon 36 Average Fuel Price per Gallon $3.95 Given that the crossover mileage is 31 comma 449 miles, the crossover point in years is nothing years (round your response to two decimal places).
Answers
Answer:
1.91 years
Explanation:
The car manufacturer assumed that the owners of both cars would drive them on average 16,500 miles per year. So they made all their cost calculations based on that average annual mileage, and the final result was the crossover point of 31,449 miles. To determine the crossover point in years, all you need to do is divide 31,449 miles by 16,500 miles = 1.906 years ≈ 1.91 years
How does thinking at the margin change the decision-making process.
Answers
Answer:
Decision making process are as follows
Identification of problem
Collection of problem
Analyzing the problem
Taking Multiple Alternatives
Selecting best alternates
Taking decision
Which of the following is an example of an entrepreneur being influenced by
the economic principle of supply and demand?
A. Wendy has researched ways to maximize productivity in her new
business.
B. Lindsey notices that the only coffee shop in town is very popular,
so she opens her own coffee shop.
C. Saul has come up with an advertising budget for his new
business's marketing campaign.
D. At his new bike shop, Nick hires polite, friendly individuals to work
the registers.
Answers
Answer:
B. Lindsey notices that the only coffee shop in town is very popular, so she opens her own coffee shop.
Explanation:
According to the economic principle of supply and demand, the relationship between the two is directly proportional to each other. With the increase in the demand of any product, there arises an increase in the supply of the product and vice versa.
From the given options, option B. is representing the relationship between supply and demand. The popularity of coffee shop among the people in the town led Lindsey to open her own coffee shop. Increase in demand led to the increase in the supply of the product.
Answer:
Lindsey notices that the only coffee shop in town is very popular,
so she opens her own coffee shop.
Explanation:
What is an investment portfolio?
A. A selection of varied accounts
B. A selection of varied instruments
C. A selection of varied applications
D. A selection of varied stocks and bonds
Answers
Answer:
In finance, a portfolio is a collection of investments aka stocks and bonds!