Answer the Following Questions Using the Information Below

question 95

Multiple Choice

Answer the following questions using the information below:
Merrill Company makes a household appliance with model number X800. The goal for 2012 is to reduce direct materials usage per unit. No defective units are currently produced. Manufacturing conversion costs depend on production capacity defined in terms of X800 units that can be produced. The industry market size for appliances increased 5% from 2011 to 2012. The following additional data are available for 2011 and 2012:

-What is the revenue effect of the growth component?

• A)$2,500 U
• B)$52,500 U
• C)$47,500 F
• D)$50,000 F

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Definitions:

Substitution Reaction

A chemical reaction in which an atom or group of atoms in a molecule is replaced by another atom or group of atoms.

Mechanism

The detailed process by which a chemical reaction occurs, at the level of molecular structure.

Protic Solvents

Solvents that have hydrogen atoms capable of forming hydrogen bonds, often used in reactions requiring proton transfer.

Alkenes

Hydrocarbons containing at least one carbon-carbon double bond, characterized by their unsaturated nature.