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Stone Muffin Inc. is considering three different independent investment opportunities. The initial investment and net present value for each of the projects are as follows:
Stone Muffin Inc. is considering three different independent investment opportunities. The initial investment and net present value for each of the projects are as follows: Calculate the profitability index. Using the profitability index you calculated, how should the projects be prioritized? B, C, A A, B, C B, A, C A, C, B Landau Corp. currently makes 10,000 components a year in one of its factories. The cost per unit to produce the components is: An outside supplier has offered to sell 10,000 components to the company for \\( \\$ 65 \\) per unit. If the company accepts the outside offer, what will be the effect on short-term profits? \\( \\$ 150,000 \\) decrease no change \\( \\$ 50,000 \\) decrease \\( \\$ 200,000 \\) increase Eddyville Lumber applies overhead based on direct labor hours. The variable overhead standard is 2 hours per unit at \\( \\$ 12 \\) per hour. During July, \\( \\$ 116,700 \\) was spent for variable overhead. 8,890 labor hours were used to produce 4,700 units. What is the variable overhead rate variance? \\( \\$ 10,020 \\) unfavorable \\( \\$ 2,400 \\) favorable \\( \\$ 6,120 \\) unfavorable \\( \\$ 3,200 \\) favorable The Possum Logic Company has budgeted sales for the next quarter as follows: The company wants the ending inventory of finished goods each month to equal \20 of the next month's budgeted sales in units. The finished goods inventory at the beginning of October is 2,000 units. Scheduled production for November is units. 11,200 12,800 10,400 13,600
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