Guaranteed Appliance Co. produces washers and dryers in an assembly-line process. Labor costs incurred during a recent period were: corporate executives, $500,000; assembly-line workers, $180,000; security guards, $45,000; and plant supervisor, $110,000. The total of Guaranteed direct labor cost was:
$735,000.
$110,000.
$155,000.
$235,000.
$180,000.

$180,000.

Explanation:

The Guaranteed direct labor cost to be recognized by the company is the cost of labour incurred directly in the course of production.

From the cost group given, the cost of plant supervisor, corporate executives, and security guards are all indirect cost.

The only direct cost for this company is the assembly-line workers cost at $180,000.

answer; /// blank(1); increases; blank(2); decreases;

the answer is "b.the increased supply will create a surplus. "

the essential thought behind price controls is straightforward - utilize the power of law to modify the equilibrium of a market. for instance, the legislature may choose that the steel business needs to survive, and in this way pass a law to set a value floor on steel. this implies all steel sold must offer at or over the floor value, which must be set over the equilibrium cost for it to have any impact. the switch could likewise happen - the administration can choose that steel is excessively costly and set a value roof underneath its equilibrium value, with the goal that all steel must be sold at or beneath that ceiling.