Currently the firm is using a pure chase strategy. It has 60 workers who produce 1200 units per quarter each. The cost per unit is $35.00 . The cost of holding 1 unit per quarter is $1.50 . The cost of hiring a worker is $50 . The cost of firing a worker is $200 . Calculate the cost associated with changing capacity. Q1: 120,000 Q2: 100,000 Q3: 80,000 Q4: 92,000
$9,166.67
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Summit Financial Advisors provides accounting and finance assistance to customers in the retail business. Summit has four professionals on staff and an office with six clerical staff. Total compensation, including benefits, for the professional staff run about $731,000 per year, and it normally has about 8500 billable hours per year. The professional staff keep detailed time sheets organized by client number. The total office and administrative costs for the year are $561,000. Summit allocates office and administrative costs to clients monthly, using a predetermined overhead allocation rate based on billable hours. During July, Summit's professionals spent 41 hours on their client. What is the total amount of cost that Summit will record for the client for the month? (Round any intermedia
A) $3526 B) $2706 C) $1,292,000 D) $6232
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What will be an ideal response?
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Indicate whether the statement is true or false