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Mademuasel [1]
1 year ago
7

Only variable costs can be differential costs. Do you agree? Explain.

Business
1 answer:
Nostrana [21]1 year ago
5 0

I do not agree with the given statement that is "Only variable costs can be differential costs.".

The difference in the costs of two alternative decisions is referred to as differential cost.

When a company is faced with several similar options, it must make a decision by selecting one and discarding the other.

Variable costs in cost accounting are costs that vary according to how much a company produces.

Variable costs are typically proportional to output.

As a result, the cost difference between two alternatives, rather than the fixed and variable nature of costs, is relevant for decision-making.

Hence, I disagree with the statement given in the question.

Learn more about variable cost:

brainly.com/question/9212451

#SPJ4

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The following information relating to a company's overhead costs is available. Actual total variable overhead $ 75,000 Actual to
NARA [144]

Answer:

$5,000 favorable

Explanation:

The computation of the total variable overhead variance is given below:

= Budgeted machine hours allowed for actual output × Budgeted variable overhead rate per machine hour - Actual total variable overhead

= 32,000 hours × $2.50 - $75,000

= $80,000 - $75,000

= $5,000 favorable

Since the favorable is more than the actual so it should be favorable

6 0
3 years ago
Use the following information to answer this question. Windswept, Inc. 2017 Income Statement ($ in millions) Net sales $ 9,500 C
romanna [79]

Answer:

The return on equity for 2017 is 21.46 %

Explanation:

Return on equity measures the return earned on the owners investment in the company.

<em>Return on equity = Net Income for the year / Total Shareholders Funds × 100</em>

                            = $822 / ( $2,980 + $850) × 100

                            = 21.4621 or 21.46 %

Note : That Retained earning is part of Owners Investment.

Conclusion :

The return on equity for 2017 is 21.46 %

6 0
3 years ago
Phil Bord is a CEO for a large auto manufacturer and is interested in improving the product quality. Phil had overheard his frie
Setler [38]

Answer:

Six sigma quality is the result of a well-defined and structured process.

Explanation:

Six Sigma is a methodology to improve processes that helps to concentrate in avoiding the constant changes in them eliminating problems in products delivery and customer service, among others. A key point is that the client is really important  and it is crucial that the processes fulfill the clients requirements.

5 0
3 years ago
Which common saying best captures the concept of incentives (specifically, positive and negative incentives), which is one of th
lesantik [10]

Answer:

If the carrot doesn't work, try the stick.

Explanation:

This phrase clearly describes how advertising and promotions work:

If the carrot doesn't work: the tempting carrot refers to advertisement, and the doesn't work part refers to advertisement that is not able to change consumer habits and increase sales.

Try the stick refers to offering promotions or positive incentives like discounts or larger packs.

Another example would be the penalty imposed on individuals that refused to purchase health care insurance (eliminated in 2018). The carrot were the benefits obtained by having health insurance and the stick was the negative incentive (or penalty) imposed as a fine for those who didn't purchase health insurance.

6 0
3 years ago
What is a reason people might travel, other than going to visit friends/relatives?
Juli2301 [7.4K]

Answer: Another reason people might travel is maybe for a vacation or get away or people also might travel for their work.

Explanation:

4 0
3 years ago
Read 2 more answers
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