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1 year ago

Opportunity costs are not found in accounting records because they are not relevant to decisions.

1 answer:

6 0

The following statement "Opportunity costs are not found in accounting records because they are not relevant to decisions" is false.

The opportunity cost is the time spent learning and the money that might have been used for something else. When a farmer decides to grow wheat, there is an opportunity cost associated with not doing so or using the resources in another way (land and farm equipment).

The apparent advantage of not selecting the next best alternative when resources are limited is what is commonly referred to as opportunity cost. Opportunity costs are not just monetary or financial expenses. An opportunity cost is also the real price of missed productivity, time, or any other for-profit gain.

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Where might someone in an urban forestry career work?

dsp73

Answer:

Explanation:

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4 years ago

Read 2 more answers

Strategically, having more than 1,000 suppliers results in a complex task of managing those suppliers, ensuring the quality of t

slavikrds [6]

Answer:

There are pros and cons of having 1,000 different suppliers for IKEA. In one way you can are not limited to choice, price or quality and have enough suppliers to shift production requirements to meet demand surges.

However, manage 1,000 different suppliers can also lead to quality issues that are difficult to sustain. IKEA can do a number of things including:

Explanation:

With so many products, IKEA can categorize each supplier e.g. fabric suppliers, wood suppliers, kitchen etc. In this way, it will be easier for different departments to be set up that actively manage these category of suppliers.

Since IKEA is a global brand, they can further categorise each supplier based on location. For example, they can have suppliers for the Asia-Pacific Market, other suppliers for the Middle East and another group for Europe and North America.

IKEA can also outsource is supply. Going by an 80:20 strategy where 80% of them are direct suppliers while 20% of them are outsourced, third part suppliers who only step in when required.

4 0

3 years ago

A project is expected to produce cash flows of $48,000, $39,000, and $15,000 over the next three years, respectively. After thre

german

Answer:

$80,809.09

Explanation:

Present value of the cash flows = ∑(Cash flow × Present value factor)

Present value factor = (1 + r)⁻ⁿ

Here,

r is the discount rate = 15.25% = 0.1525

n is the year of cash flow

thus,

Year n Cash flow PVF Present value

Year 1 1 $48,000 0.86768 $41,648.59

Year 2 2 $39,000 0.75287 $29,361.80

Year 3 3 $15,000 0.65325 $9,798.70

=============================================================

Present value of the project = $41,648.59 + $29,361.80 + $9,798.70

= $80,809.09

7 0

4 years ago

The Richmond Corporation uses the weighted-average method in its process costing system. The company has only a single processin

Morgarella [4.7K]

Answer:

Cost of Ending WORK in Process $ 139496

Explanation:

Richmond Corporation

Weighted-Average Method

Ending work in process inventory 21,200 units

<em>First we find the equivalent units in the ending work in process inventory.</em>

Materials = 100% complete = 21200 units

Conversion= 60 % complete = 60% of 21200= 12720 units

<em>Then we multiply the equivalent units of the work in process inventory with the equivalent cost per unit and then add the materials and conversion costs to get the total cost of the ending work in process inventory.</em>

Materials = 21200 * $3.55 = $75260

Conversion = 12720 * $5.05= $ 64,236

Cost of Ending WORK in Process= $75260+$ 64,236= $ 139496

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3 years ago

A machine cell uses 192 pounds of a certain material each day. Material is transported in vats that hold 22 pounds each. Cycle t

kari74 [83]

Answer:

Number of vats is 1.75 or 2

Explanation:

given data

Cycle time for the vats T = 1.50 hours

Material is transported C = 22 pounds

inefficiency factor X = 0.07

to find out

How many vats will be used

solution

we get here planned used rate that is

planned used rate = $\frac{192}{8}$

planned used rate = 24 pieces per hour

so here total no of container will be

N = $\frac{DT(1+X)}{C}$ ..............1

here N is total no of container

put here value and we get

N = $\frac{24*1.50*(1+0.07)}{22}$

N = 1.75

so Number of vats is 1.75 or 2

8 0

3 years ago