All categories

2 years ago

Costs, also called differential costs, are the additional costs from selecting a certain course of action.

1 answer:

8 0

It is true that Costs, also called differential costs, are the additional costs from selecting a certain course of action.

<h3>What is differential costs?</h3>

Differential cost serves as the difference between the cost of alternative decisions.

Therefore, It is true that Costs, also called differential costs, are the additional costs from selecting a certain course of action and the cost do take place when a business have several similar options,

Learn more about differential costs, at

brainly.com/question/25799822

#SPJ1

You might be interested in

How to calculate the free cash flow of the firm (also referred to as the firm’s free cash flow) directly?

VashaNatasha [74]

Answer:

Explanation:

The formula to compute the free cash flow of the firm is shown below:

= EBIT × (1 -Tax Rate) + Depreciation & Amortization - Change in Net Working Capital - net capital Expenditure

In this we deduct the changes in net capital and net capital expenditure and added the depreciation and amortization expenses to the Earning after tax so that the correct amount can be computed

4 0

4 years ago

The perfectly competitive price and output level occur where

jasenka [17]

Answer:

It occur where MR = MC

Explanation:

Perfectly competitive organization or firm is the one who is price taker, which states that they must accept the price at which it sells the goods to consumer.

In a firm that is a perfectly competitive, the level of output as well as the price happen where the Marginal Cost is equal to the Marginal Revenue.

It is stated as MR = MC.

7 0

3 years ago

Butler Corporation is considering the purchase of new equipment costing $45,000. The projected annual after-tax net income from

ladessa [460]

Answer:

-$4,889.94

Explanation:

The computation of the net present value is shown below:

Net present value = Present value after considering the depreciation and discounting factor - initial investment

where

Present value is

= After-tax net income + Depreciation expense

= $1,700 + $15,000

= $16,700

And its discounting factor is 2.4018

So, the present value is

= $16,700 × 2.4018

= $40,110.06

And, the initial investment is $45,000

So, the net present value is

= $40,110.06 - $45,000

= -$4,889.94

8 0

3 years ago

Tremonti, Inc., is obligated to pay its creditors $9,200 during the year. a. What is the value of the shareholders’ equity if as

miskamm [114]

Answer:

a. Assets equal $10,900, Shareholders' Equity: $1,700

b. Assets equal $8,500, Shareholders' Equity: -$700

The company losses and does not remain Shareholders' Equity

Explanation:

Basing on the balance sheet equation:

Assets = Liabilities + Shareholders' Equity

Shareholders' Equity = Assets - Liabilities

In Tremonti, Inc., the company is obligated to pay its creditors $9,200 during the year, therefore Liabilities are $9,200

a. Assets equal $10,900

Shareholders' Equity = $10,900 - $9,200 = $1,700

b. Assets equal $8,500

Shareholders' Equity = $8,500 - $9,200 = -$700

The company losses and does not remain Shareholders' Equity

7 0

3 years ago

Individual taxpayers have less than a 1 percent chance of being audited Group of answer choices True False

Anestetic [448]

Answer: True

Explanation: The chances of a taxpayer being audited by the IRS has decreased substantially over the last decade. This is in part due to a decrease in the IRS 's budget, an increase in their workload with a subsequent decrease in its enforcement workforce. In fiscal 2019 the IRS audited about 0.45% of individuals returns, and this figure decreased from 2018, which sat at 0.59%. Nowadays IRS focuses more on auditing the taxes of the wealthy, and organisations nationwide.

3 0

4 years ago