budgets. 3. The costs of direct materials are classified as: A. Choice A B. Choice B C. Choice C D. Choice D 4. The three basic elements of manufacturing cost are direct materials‚ direct labor‚ and: A. cost of goods manufactured. B. cost of goods sold. C. work in process. D. manufacturing overhead. 5. 25. Prime cost consists of direct materials combined with: A. direct labor. B. manufacturing overhead. C. indirect materials. D. cost of goods manufactured.
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all the points outside the PPC are unattainable. All points on a production possibility curve are points of maximum productive efficiency or minimum productive inefficiency. THE THREE MAIN ECONOMICS CONCEPTS USING THE (PPC) ARE: SCARCITY‚ OPPORTUNITY COST AND CHOICE. SCARCITY. One of the main
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“perform different activities”. Cost leadership strategy Tiger airways has chosen the former it exploiting a cott leadership strategy. It has an integrated set of actions taken to produce services with features that are acceptable to customer at the lowest cost relative to that of competitors. Tiger’s costs structure foolows the shirt-haul low-cost model of Ryanair. It targets a broad customer segment and concentrates on finding ways to lower its costs relative to competitors by constantly
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borrow $10‚000 from you. He has offered to pay you back $12‚000 in a year. If the cost of capital of this investment opportunity is 10%‚ what is its NPV? Should you undertake the investment opportunity? Calculate the IRR and use it to determine the maximum deviation allowable in the cost of capital estimate to leave the decision unchanged. NPV = 12000/1.1 – 10000=909.09. Take it! IRR = 12000/10000 – 1 = 20% The cost of capital can increase by up to 10% without changing the decision 8. You are considering
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Everything has a trade-off and opportunity cost. Electric cars are no exception. The first thing that caught my attention was the mileage. In the article and video‚ Rick Peters’ electric car only goes 25 miles per hour. You cannot get very far with that‚ especially since the farthest you can go in it is 30 miles per charge. I drive a Toyota Camry‚ and I drive 9.2 miles every day to school. It takes me 12-15 minutes to drive to school. If you ignore the speed limit on the roads (it is 55 mph)‚ it
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Chapter 1 Ten Principles of Economics Multiple Choice 1. THE ENGLISH WORD THAT COMES FROM THE GREEK WORD FOR "ONE WHO MANAGES A HOUSEHOLD" IS |a. |market. | |b. |consumer. | |c. |producer.
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___________________________________________________________________________ 1.|Economics is a study of: A. |scarcity.|B. |production.|C. |labour resources.|D. |money.|| 2.|Opportunity cost means: A. |wasted opportunities.|B. |costs incurred in purchasing goods and services.|C. |alternatives forgone.|D. |the costs of production.|| 3.|The production possibilities frontier illustrates: A. |current production levels.|B. |a society’s level of consumption.|C. |a range of alternative levels
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Marketing Opportunities (Assignment 2) Total market potential Financial Year (FY) BBQs Outdoor Furniture BBQ Accessories Total FY 2008/9 25000 13000 42000 80000 FY 2009/10 35000 15000 58000 108000 FY 2010/11 40000 17000 68000 125000 FY 2011/12 45000 19000 75000 139000 FY 2012/13 50000 20500 83250 153750 Own Branded products Assume market share of 24% for BBQfun. BBQs Outdoor Accessories Number of buyers 30000 13000 56000 Quantity 1 1 3 Average price $600 $850 $50 Bargain market Assume market
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10/12/04 4:49 PM Page 259 8 C H A P T E R COST CURVES 8.1 LONG-RUN COST CURVES APPLICATION 8.1 The Long Run Cost of Trucking APPLICATION 8.2 The Costs of Higher Education APPLICATION 8.3 Economies of Scale in Refining Alumina? APPLICATION 8.4 Hospitals Are Businesses Too APPLICATION 8.5 Tracking Railroad Costs APPLICATION 8.6 Economies of Scope for the 8.2 S H O RT- R U N C O ST C U RV E S 8.3 SPECIAL TOPICS IN COST Swoosh Experience Reduces Costs of Computer Chips APPLICATION 8.7 8.4
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indirect cost Direct cost- We can easy compare direct to fixed cost. They are very similar. Direct cost we can name this cost which are directly attributable to the sale of a product. Direct costs can be identified specifically with a particular sponsored project‚ or that can be directly assigned to such activity relatively easily with a high degree of accuracy.It is necessarily to good understand that cost shared expenditures are considered to be direct costs. We have 3 types of direct cost: • direct
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