Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

show solution The old filter system of a water station incurs a fixed filter expense of $150 per month. They also have a variable filter

show solution

image text in transcribed

The old filter system of a water station incurs a fixed filter expense of $150 per month. They also have a variable filter expense that is based on the number of refilling services they acquire that is $4 per service. In a new filter system, the fixed filter expense will lessen by 45% and the variable filter expense remains the same. The new filter system will have a one time contract cost of $1800. They need to examine the two alternatives for a span of 1 year in which they forecast that the number of services they can attain for the next 12 months is 1 560 customers. What should be the decision of the water station? A Cannot be determined. Do not purchase the new system since it is cheaper by $990. C D purchase the new system since it is cheaper by $990. Don not purchase the new system since it is cheaper by Sl 200. Question 25 2 Points A manufacturing company leases fr $1 OO,DOO per year building that houses manufacturing facilities. In addition, the machinery in the building is being paid for installments of $20,000 per year, Each unit of the product produced costs $1 5 and $10 in materials, can be sold for $40. If 10,000 units were sold per year, what is the annual profit? A 280,000 30,000 c D 150.000 -50,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Modern Advanced Accounting In Canada

Authors: Hilton Murray, Herauf Darrell

7th Edition

1259066487, 978-1259066481

Students also viewed these Accounting questions