Increasing temperatures, rising sea levels, erratic rainfall, deadly tsunamis, flooding, wildfires, heat waves, shrinking glaciers, and droughts are some visible highlights of a much debated global problem, i.e., the global warming. The problem is so severe that scientists, environmentalists, geographers, government officials, and various national and international tribunals huddle together time-to-time to embark on a sustainable solution to this issue. Nonetheless, the predicament persists putting everything (human beings, animals, birds, societies, environmental resources) in the soup. This paper discusses the impacts of global warming and the efficacy of solutions that are being implemented at national and global levels. Taking ...
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Abstract
This work begins with a brief introduction of the Ski Pro Corporation’s ability to make or buy the bindings. Computations to determine whether the company should buy or make the bindings then follow. As a matter of fact, cost incurred when making the 10,000 skis without the avoidable cost is worked out. Also, avoidable cost of producing one pair of the bindings is computed so that a comparison of the cost of production can be established. The paper then highlights the maximum purchase price acceptable to the Ski Pro Corporation for the bindings. It ends with qualitative factors that the ...
1. Cost incurred when making the 10,000 skis without the avoidable cost
Direct labour $35
Direct material cost $30
Total overhead cost $15
Total cost of production per skis $80
Therefore, the total cost of producing the expected volume of 10000 skis.
Total production costs = $800,000
Cost incurred when subcontracting
Avoidable Cost of producing one pair:
Direct labour (10% of 35) = $3.5
Add: Direct material (20% of 30) = $ 6
Add: Total overhead (10% of 15) = $ 1.5
Total production cost per skis = $11
The total variable cost avoided as a result of subcontracting = $11
Add; Avoidable total overhead cost ...