Bricka Corporation produces a part that is used in the manufacture of one of its products. The costs associated with the production of 10,000 units of this part are as follows: Direct materials $ 90,000 Direct labor 130,000 Variable factory overhead 60,000 Fixed factory overhead 140,000 Total costs $420,000 Of the fixed factory overhead costs, $60,000 is avoidable.Mauldin Co. has offered to sell 10,000 units of the same part to Bricka Corporation for $36 per unit. Assuming there is no other use for the facilities, Bricka should ________.

Ojalá que la clase ______ interesante. (ser)

Bradley Enterprises has budgeted unit sales as follows: September  3,000 October  5,000 November  6,000 December  6,500 January  5,500 Ending Inventory for each month should be equal to 1,000 units plus 10% of next month’s sales. Total units to be produced for November are:

The selling price per unit is $25, variable cost per unit $15, and fixed cost per unit is $4. When this company operates above the breakeven point, the sale of one more unit will increase net income by $6.

The comparison of actual outcomes with desired outcomes is an example of a(n):

A sunk cost is a relevant cost in a decision making.

Employee morale at Lang, Inc., is very high. This type of information is an example of ________.

An unlevered firm is worth 10,000.  It’s tax rate is 25%.  The required return of the firm’s no debt equity is 10%.  The firm issues 800 of debt to pay a dividend to existing shareholders.  The interest rate on the debt is 5%, the dollar amount of debt is fixed in perpetuity and all interest expense can be used to reduce taxable income.  After the debt is issued and the dividend is paid, what is the value of the levered firm (VL = Debt + Equity).

Did you used to have an imaginary friend?

Which of the following will increase a company’s breakeven point?