Bonita Industries produces 5000 units of part A12E. The following costs were incurred for that level of production: Direct materials $ 60000 Direct labor 165000 Variable overhead 80000 Fixed overhead 175000 If Bonita buys the part from an outside supplier, $45000 of the fixed overhead is avoidable. If the outside supplier offers a unit price of $73, net income will increase (decrease) by $145000. $(60000).$85000. $(15000).

($15,000)

Explanation:

The computation of net income will increase (decrease) is given below:-

First we need to find out the relevant cost per unit which is shown below:-

Total relevant cost = Direct material + Direct labor + Variable overhead + Fixed overhead

= $60,000 + $165,000 + $80,000 + $45,000

= $350,000

Relevant cost per unit = Total relevant cost ÷ Number of units to be produced

= $350,000 ÷ 5,000

= $70

Price of supplier per unit = $73

Net increase in cost per unit = ($73 - $70) $2

Number of units to be produced = 5,000

Decrease in net income = Number of units to be produced × Net increase in cost per unit

= 5,000 × $2

=  $15,000

hi,

henry is an economist and wants to understand the relationship between inflation and consumer spending habits. for his research, he needs the consumer price index for 2014 and the inflation rate. based on the prices of goods given, what will he find to be the cpi and inflation rate for 2014? assume that a consumer’s basket for three consecutive years consists of the following:

you dont privide answer choices.

answer - 15% of a inflatation rate is 15% less in cpi

answerthe united states of america;