Use the Information Below to Answer the Following Question(s)

question 28

Multiple Choice

Use the information below to answer the following question(s) .Honda Heaven produces and sells an auto part for $20.00 per unit.Direct materials are $8 per unit, while direct manufacturing labour averages $1.50 per unit.Variable manufacturing overhead is $0.50 per unit and fixed manufacturing overhead is $250,000 per year.Administrative expenses, all fixed, run $90,000 per year, with sales commissions of $2 per part.Production is 100,000 parts per year.And this year, 75,000 boxes were sold.
-What is Honda Heaven's inventory cost per box using variable costing?

• A)$9.50
• B)$10.00
• C)$12.50
• D)$13.40
• E)$15.40

Master the concepts of net balance, finance charge, and new balance in credit terms.

Acquire the ability to compute the monthly payments for various loan amounts, interest rates, and terms.

Understand the calculation of monthly interest rates and the effective rate on loans.

Develop proficiency in completing loan amortization schedules for different loan scenarios.

---

Definitions:

Contingent Payment

A payment that is due only upon the occurrence of certain events specified in a contractual agreement.

Cash Flows

The overall volume of cash inflows and outflows within a business, significantly affecting its financial fluidity.

Probability-Weighted

An approach to decision-making or forecasting that involves taking into account the likelihood of various outcomes, each weighted by its probability.

Time Value

Time value relates to the concept that money available at the present time is worth more than the same amount in the future due to its potential earning capacity.