Grace is president of Mayweather Farm, one of the largest pork producers in the U. S. A business consultant tells Grace that if she moves the pigs into small pens and feeds them cheap, hormone-filled food, the Farm would gross 20 percent more each year. There is little research about housing pigs in tiny pens, but such a life seems less enjoyable for the pigs, and Grace has read medical studies that say hormones are dangerous to both pork consumers and pigs. Analyze Grace's options using the beliefs of Milton Friedman.

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Aquatic marine stores company manufactures special metallic materials and decorative fittings for luxury yachts that require highly skilled labor. aquatic uses standard costs to prepare its flexible budget. for the first quarter of the year, direct materials and direct labor standards for one of their popular products were as follows: direct materials: 3 pounds per unit; $ 6 per pound direct labor: 4 hours per unit; $ 19 per hour during the first quarter, aquatic produced 5 comma 000 units of this product. actual direct materials and direct labor costs were $ 65 comma 000 and $ 330 comma 000, respectively. for the purpose of preparing the flexible budget, calculate the total standard direct materials cost at a production volume of 5 comma 000 units.

Why do you think the compensation plans differ at the two firms? in particular, why do you think kaufmann’s pays commissions to salespeople, while parkleigh does not? why does parkleigh offer employees discounts on purchases, while kaufmann’s does not?