Answer: D. Product costs are expensed in the period the related product is sold
Explanation:
The statement that is true with regards to product cost is that product costs are expensed in the period the related product is sold.
It should be noted that the account for the cost of goods sold consist of product cost. In a situation whereby goods are not sold, the goods will be carried to the next period.
Answer:
d. Transactions exposure.
Explanation:
Transactions exposure -
It is the level of uncertainty involved in a business in the international trade face .
It is the risk which currency exchange rates would fluctuate after the firm has taken a financial obligation .
The high level of vulnerability to shift the exchange rates can lead to the loss of the major capital for the international business .
Hence from the information of the question , the correct answer is d. Transactions exposure .
Answer:
The answer is D.
Explanation:
Gross profit or margin is the profit a business generate after deducting cost of sales from its sales or revenue.
Gross profit or margin percentage is expressed as gross profit/sales(revenue) x 100
In the question, gross profit for company A is $400 and sales is $1000
Therefore, gross profit percentage is 400/1000 x 100
=40%
Answer:
$154,000
Explanation:
Calculation to determine the total conversion cost
Using this formula
Total conversion cost=Direct labor cost incurred
+Applied factory overhead
Let plug in the formula
Total conversion cost =$109,800+$44,200
Total conversion cost=$154,000
Therefore Total conversion cost is $154,000
