Lydia is a senior in high school. she works 20 hours a week at a popular clothing store. she is trying to save as much
money as possible for her college tuition. however, she has to buy a dress for prom, pay her car insurance, and get a
birthday gift for her sister. this week she received a $400 paycheck. she wants to deposit the entire check in her savings
account for her college tuition, but she stops herself. she decides instead to put $100 in the bank, spend $200 for her
prom dress, pay $80 for her car insurance, and buy her little sister a $20 birthday gift. while shopping, she sees a doll
worth $21, which she thinks her sister will absolutely love. as a result, she decided to buy the more expensive doll and
spend less on her dress.

what is lydia's scarce resource?

Eliza works for a consumer agency educating young people about advertisements. instead of teaching students to carefully read advertisement claims, she encourages them to develop a strong sense of self and to keep their life goals and dreams separate from commercial products. why might eliza's advice make sense?

Nichols inc. manufactures remote controls. currently the company uses a plantminuswide rate for allocating manufacturing overhead. the plant manager is considering switchingminusover to abc costing system and has asked the accounting department to identify the primary production activities and their cost drivers which are as follows: activities cost driver allocation rate material handling number of parts $5 per part assembly labor hours $20 per hour inspection time at inspection station $10 per minute the current traditional cost method allocates overhead based on direct manufacturing labor hours using a rate of $20 per labor hour. what are the indirect manufacturing costs per remote control assuming an method is used and a batch of 10 remote controls are produced? the batch requires 100 parts, 5 direct manufacturing labor hours, and 3 minutes of inspection time.

Laws corporation is considering the purchase of a machine costing $16,000. estimated cash savings from using the new machine are $4,120 per year. the machine will have no salvage value at the end of its useful life of six years and the required rate of return for laws corporation is 12%. the machine's internal rate of return is closest to (ignore income taxes) (a) 12% (b) 14% (c) 16% (d) 18%