risk and uncertainty

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November 11, 2012 at 8:29 am #55185
olufunmilade
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Please cement co in june 2011 diet, can you explain how they decided to add the loss on disposal of the cement $0.50 to cost of $4 and mutiply it by the current demand, I just don’t get the whole scenario. Thanks
November 11, 2012 at 8:19 pm #106984
John Moffat
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There is not a loss on disposal of 0.50.

$0.50 is the cost of disposing of the cement, so the loss on disposal is actually $4.50! (It cost $4 to make and another $0.50 to dispose of it.)
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