Answer:
a. Depreciation expense is not explicitly included, but depreciation's effects are reflected in the estimated tax payments.
Explanation:
The cash budget is the budget that represents the receipts and payment of transactions held in cash
It includes the interest and dividend payment as it shows the outflow of cash if payment is made in cash
Moreover, it also affects the DSO and includes cash inflows with related to the long term sources such as issuance of bonds
But as we know that the depreciation is a non cash expense so it not much included but its effects are projected in the payment of tax
Answer:
The contribution margin ratio can be calculated using either total amounts or per unit amounts.
Explanation:
Contribution margin ratio = 
This can even be done by 
This will calculate contribution as a percentage of Sales, with this margin ratio we get break even sales value, and not the units.
Whenever there is an increase in variable cost it decreases the contribution.
Therefore, correct statement is
The contribution margin ratio can be calculated using either total amounts or per unit amounts.
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Answer:
INCREASE the consumption of Pepsi and REDUCE the consumption of Hamburger
Explanation:
Based on the information given we were told that Bill uses his whole budget to purchase the following :
5 cans of Pepsi
3 Hamburgers per week
And the following were the price:
Pepsi costs $1 per can
Hamburger cost $2
Bill marginal utility:
Pepsi 4
Hamburgers 6
Based on the above details this means that Bill could increase his utility by INCREASING Pepsi consumption and REDUCING hamburger consumption reason been that 5 cans of Pepsi costs $1 per can which will gives us income of $5 ($5×1) while 3 Hamburgers per week cost $2 which will give us income of $6 ($3×2) which typically means that the Hamburgers has more income that Pepsi.
Secondly since the marginal utility for Pepsi is 4 while that of Hamburgers is 6 which means that Hamburgers has higher MARGINAL UTILITY than that of Pepsi because the consumption of Hamburgers is higher than the consumption of Pepsi.
Therefore the best thing that Bill could do in order to increase his Pepsi utility is for Bill to increase Pepsi consumption and reduce hamburger consumption.
Answer: D. $20
Explanation:
Total cost to produce 50 cookies = Total cost to produce 100 cookies - Marginal cost to produce 50 cookies
Total cost to produce 100 cookies is:
= Average total cost * number of cookies
= 0.25 * 100
= $25
Marginal cost to produce 50 cookies is:
= Constant marginal cost * number of cookies
= 0.10 * 5
= $5.00
Total cost to produce 50 cookies = 25 - 5
= $20.00
