Total cost

Extra transport cost: For one price to prevail throughout the market, it is essential that there is no extra transport cost for the consumers while buying a commodity while buying commodity…

This number comes from the production budget, which demonstrated the company would produce 162 units of product for April. With a total budgeted production of 632 units, the company requires an adequate amount of raw materials to meet that production. $5,325.58 was obtained from the budgeted production in April with the approximated direct material costs from direct materials budget. Meanwhile, the beginning finished goods balance is assumed to be $781.87. DelaSol Supply Co. does not hold…

accounting to evaluate the cost behavior, cost allocation, and activity-based costing in their organizations. In management accounting, “cost behavior refers to how a cost reacts to changes in…

1. Theory of Production and Costs, Long and Short-Run Equilibrium a. As LTC (q) = 9 + q2, the long run average cost curve of a representative Greek firm is LATC (q) = (9/q) +q, and this is minimized where the LAC is minimized when LATC=MC⇒ (9/q) + q = 2*q ⇒ q=3. Thus output per firm is 3 (see diagram, point X). Long run domestic supply curve could be found by setting price equal to marginal cost at minimum LAC: p=2*q= (2)*(3) = 6, this supply curve is a horizontal line at p =6. In the short run…

of manpower. This used up manpower could have been dedicated to the production of bombers and tanks. Examples such as the dam busters’ raid, where dams very close to the Ruhr were blown up meant that German production was brought to a standstill. A total of 100 factories had been damaged and coal production had dropped a massive 400,000 tonnes meaning that Germany’s economy was affected. The bombing also meant that Germany had to focus production more on anti-aircraft artillery and fighters…

things that led them to fail in market in 1986 was the Quality in Process (QIP), Stata attended a Quality program in Philips Crosbys Quality School and understood the imprortance of Total Quality management (TQM). In 1986, ADI hired Schneiderman as vice president Quality and Productivity Improvement, stata wanted Total Quality program to be a way of life at ADI. Question 2: Critically Evaluate the half light concept, in light of Analog Devices Strategy, What are the potential and…

his parents business. The gift baskets will contain fruit, nuts and confectionary that will be supplied by the business. To see if this is a profitable business venture, there are a few things Tony should consider. These include, fixed and variable costs, location, competition and the number of baskets that need to be sold for Tony to breakeven. Once Tony has decided he wanted to pursue the gift basket venture, he must negotiate terms with his parents. They have agreed to let Tony to retain…

Case Problem: Specialty Toys Solution: 1. From the Case, Management team recommends ordering quantities of 15,000; 18,000; 24,000 and 28,000. Expected sales price = $24 per unit Product cost = $16 per unit And surplus products will be sold for $5 per unit Sales forecaster predicts demand = 20,000 units with a 0.95 probability that demand would be between 10,000 and 30,000 units. Let T be the demand for specialty’s toy. Based on normal distribution above with mean µ = 20,000 and standard…

investment and dedicated equipment. For outsourcing the advantages are cost savings, gain outside experience, improving operations and services, focusing on core competencies and gain outside technology.…

Question 1. The operating budget includes the revenues and expenses during the fiscal year, while the cash budget focuses on the coming year. The operating budget is usually more in depth. The cash budget would let the people know if they have enough money on hand or will there be able to collect the money needed during the upcoming year. The focus of a cash budget would be to estimate the incoming revenues the company has coming in the upcoming year of the budget. It would allow…