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bachelor in business administration
Polytechnic State University Sanluis
Jan-2006 - Nov-2010
CPA
Polytechnic State University
Jan-2012 - Nov-2016
Professor
Harvard Square Academy (HS2)
Mar-2012 - Present
Which of the following represent the three major influences on pricing decisions?
|
a. |
customers, competitors, and costs. |
|
b. |
controls, customer, and competitors. |
|
c. |
costs, competitors, and controls. |
|
d. |
costs, controls, and customers. |
b. Sebastian Enterprises sells a product for $25 per unit and has the following costs for the product
|
Direct Materials |
$10 |
|
Direct Labor |
5 |
|
Variable Overhead |
3 |
|
Fixed Overhead |
  2 |
|
Total |
$20 |
The company received a special order for 100 units of the product. The order would require rental of a special tool which costs $200. What is the minimum price per unit that Sebastian Enterprises should charge for this special order if they wish to earn a $300 profit on this order? Assume there is sufficient idle capacity to accept this order.
|
a. |
$18 |
|
b. |
$20 |
|
c. |
$23 |
|
d. |
$25 |
c. In considering a special order that will enable a company to make use of presently idle capacity, which of the following costs would be irrelevant?
|
a. |
Materials |
|
b. |
Depreciation |
|
c. |
Direct Labor |
|
d. |
Variable Overhead |
d. Which of the following is an operation in which the work to be performed equals or exceed the available capacity?
|
a. |
capacity inhibitor. |
|
b. |
throughput blocker. |
|
c. |
bottleneck. |
|
d. |
push-pull constraint. |
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