Answer: A. Incremental revenues will exceed incremental costs by $400
Explanation:
First let us start by calculting the incremental revenue from the special order,
Incremental revenue from special order = Incremental Revenue per unit x no. of units
=200*$85
= $17,000
Then we need to calculate the incremental cost of the special order which would include all the costs,
Incremental cost on special order = Direct materials + Direct labor + Variable overhead + Additional labor cost for monogram + Purchase of equipment for monogram
= (200*$23) + (200*$45) + (200*$7) + (200*$4) + $800
= $16,600
Finally we will then subtract the Incremental cost from revenue,
=17,000 - 16,600
=$400
<em>Incremental Costs increased by $400 so Option A is correct.</em>
Answer:
$ 364,000
Explanation:
Given;
The number of bonds in which investment is made = 26000
Quote price of the bond = $ 14 per bond
Actual price of the bond = $ 24
Now,
the investment amount is carried out using the quote price of the bonds in the balance sheet
therefore,
Nichols should carry the Elliott investment on its balance sheet as :
= number of bonds invested × quote price of the bond
or
= 26000 × $ 14
or
= $ 364,000
The oligopoly is known to have a one producer dominating the market. This results in a few suppliers/sellers in the market, and thus can cause a high increase in the price of the products that are being sold in its respective community.
This one would be IRS.
For example, if<span> you end up paying for personal property taxes to your local government, the IRS would allow you to claim a deduction for it on your federal tax return~</span>
