Answer:
$50 per unit.
Explanation:
Relevant cost are the only cost that will be affected by the management decision to produce the special order. All fixed costs are sunk costs and are therefore irrelevant to the decision. Since to selling cost will be incurred, this implies that only the Variable manufacturing $50 is relevant.
Therefore, the proper relevant cost in deciding whether to accept this special order would be $50 per unit.
And the total relevant cost would be:
Total relevant cost to order no 656 = Number of units * Variable manufacturing = 5,900 * $50 = $295,000.
Answer:
Option b is correct
Net income = $370,000
Explanation:
Dividend paid to common stock holders = Dividend payout ratio× earnings available to common stockholder
Let the total earnings be "y"
120,000 =80%× y
y = 120,000/0.8
y= 250,000
Net income = Earnings payable to common stockholders + Preferred dividend
Net income = 250000 + 120,000 = $370,000
Net income = $370,000
Answer: Option A
Explanation: In simple words, current liabilities refers to the obligations that are risen due to borrowings made for uses that were short term or non repetitive.
The liquidity of a company is a measurement of its ability to pay short term debt. The current liabilities are either paid in a year or in an operating cycle whichever is longer.
Hence the correct option is A.
Answer:
decrease and demand curve will shift to the left.
Explanation:
When new firms enter a monopolistically competitive market, the economic profits of existing firms will decrease. This is because, new firms enter an existing market if they spot a profit opportunity . The entry of these new firms will therefore increase the quantity of products or services supplied in the market which gives consumers more choices and substitutes. As a result, the demand curve of the existing firms will also shift to the left. because their
The answer is B I believe
