Ruth Company Produces 1,000 Units of a Necessary Component with the Following

question 75

Multiple Choice

Ruth Company produces 1,000 units of a necessary component with the following costs: $$\begin{array} { l r } \text { Direct Materials } & \$ 34,000 \\\text { Direct Labor } & 15,000 \\\text { Variable Overhead } & 9,000 \\\text { Fixed Overhead } & 10,000\end{array}$$ Ruth Company could avoid $6,000 in fixed overhead costs if it acquires the components externally.If cost minimization is the major consideration and the company would prefer to buy the components, what is the maximum external price that Ruth Company would accept to acquire the 1,000 units externally?

• A)$58,000
• B)$64,000
• C)$59,000
• D)$62,000

Identify the major external factors that influence the marketing environment of a firm.

Differentiate between direct and alternate competition in the marketplace.

Grasp the concept of environmental scanning and its importance for businesses in detecting and responding to threats and opportunities.

Understand the concept of motivation including its characteristics and how it is influenced by various theories.

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Definitions:

Anonymity

The state of being anonymous, where an individual's identity is unknown or unacknowledged.

Self-Esteem

The subjective evaluation or perception of one's own worth or value as a person.

Altruistic Punishment

The act of punishing violators of social norms at personal cost, with the intention of promoting group cooperation.

Self-Sacrifice

The act of giving up one's own interests, desires, or well-being for the benefit of others or for a cause.