<span>When acquring and integrating IT systems, senior professional must pay attention to the business value of it because most companies today cannot afford to invest in IT systems unless they serve the purpose to increase the equity of the company as well. If senior professionals do not pay attention to the details of the monetary value of acquring and/or integrating IT systems, no one else will. It is imperative that senior professional take this task very seriously.</span>
Answer:
Process costing would be appropriate for a jeweler who makes custom jewelry to order.
Explanation:
Product costing is defined as the process by which the best costing method is chosen to suit a particular product.
There are three main types: process costing, specific order costing, and service costing.
Process costing is a method that determines the cost incurred at each stage of production. It is best used for processes that are repetitive such as manufacturing plants.
However a jeweler who makes custom jewelry to order will most appropriately be served by a specific order costing.
This involves costing according to distinct jobs or contracts.
There is no specific or repetitive process, rather the job is usually carried out according to specific needs of a customer.
<u>Solution and Explanation:</u>
The number of units that must be sold in order to achieve a target pretax income of $218,000
<u>Calculation of contribution Margin per unit </u> Selling price [$986000 divided by58000 units] $17.00
Less : Variable cost - Direct Materials = $2.77
- Direct Labor = $4.15
- Variable Factory overheads = $2.60
- Variable Marketing cost = $0.88
Contribution Margin per unit = $6.60 <u>
Total Fixed cost </u>
Fixed factory overhead = $104,000.00
Fixed marketing costs = $110,800.00
Total Fixed cost = $214,800.00 The number of units that must be sold in order to achieve a target pretax income of $218,000
= 65576 units.
The three major parts of company compensation systems are pay, on par to industrial standards, rewards and motivation. Since only three systems are mentioned in the question, we cannot add another category, because we already have Pay, Rewards and Motivation.....so the blank should be an attribute because of which I added this answer.