Felix runs a surfing school on the North Shore of Oahu. He has two inputs: surfboards, which he rents from a local shop for $10 per day, and surfing instructors, whom he hires for $40 per day. Felix has figured out that the marginal physical product (MPP) of the last instructor hired is 4 lessons, and the MPP of the last board used is 3 lessons. Which of the following statements is correct?A.) Felix could lower his costs without reducing his output if he employed more instructors and used fewer surfboards. B.)Any of these answers may be right, depending on the price of a lesson. C.) Felix could lower his costs without reducing his output if he employed fewer instructors and used more surfboards. D.) Felix currently employs a cost-minimizing combination of surfboards and instructors.

Allen's office department manufactures computer desks in its​ moosejaw, saskatchewan, plant. the company uses activity based costing to allocate all manufacturing conversion costs​ (direct labour and manufacturing​ overhead). its activities and related data​ follow: ​(click the icon to view the activity areas and related​ data.) requirements 1. compute the​ per-unit manufacturing product cost of standard desks and unpainted desks. 2. premanufacturing​ activities, such as product​ design, were assigned to the standard desks at $ 5 each and to the unpainted desks at $ 2 each. similar analyses were conducted of postmanufacturing​ activities, such as​ distribution, marketing, and customer service. the postmanufacturing costs were $ 31 per standard and $ 26 per unpainted desk. compute the full product costs per desk. 3. which product costs are reported in the external financial​ statements? which costs are used for management decision​ making? explain the difference. 4. what price should allen's managers set for standard desks to earn a $ 52 profit per​ desk?