Work in process inventory
Explanation:
The overall costs assigned to the department is shown in a costing system for "work in the process inventory"
Work in the process stock shows all costs of the product manufacture and the applicable overhead is also charged to the process stock account.
With goods at various stages of the production process, the WIP applies to the raw materials, the work and overhead costs involved. WIP is part of the balance sheet inventory asset account. These costs will then be converted to the finished product account and ultimately to sales costs.
Answer:
Option D is correct one.
<u>Capital improvements are added to the basis.
</u>
Explanation:
Capital expenditure increase the capacity of the asset and an asset cannot function effectively without such improvements. Thus the value of the asset is to be increased by such expenditure. Thus, to calculate adjusted basis capital improvements are added. This is the reason of adding improvements to the basis.
Answer:
With contribution of $1,050 million to fixed costs, The vice president must introduce the computer
Explanation:
Decision on whether or not to introduce a product relies on the variable cost or Relevant costs. The Vice President must only consider the incremental costs incurred as a result of introducing the new product. Incremental Costs are cost that will be incurred only if they decide to produce and introduce. Incremental costs or Revenue are Relevant cost or incomes that are a resulting of deciding to introduce, if the vice president decides not to introduce then all those incremental relevant costs and revenues will be avoided and not incurred. Fixed costs are irrelevant costs and are not a factor in deciding as the decision will depend on the contribution by the new product.
Details DC6900-X
Sales (500,000*$3,900) $1,950,000,000
Variable costs (500,000 *$1,800) -$900,000,000
Contribution $1,050,000,000
Answer:
Explanation:
Barney's revenue = $ 12000
explicit costs = $ 75 + $ 50 = $ 125
a) Barney's accounting profit = total revenue - total explicit cost = $ 12000 - $125 = $ 11875
b) Barney's economic cost = total revenue - ( explicit cost + implicit cost )
where ( explicit cost + implicit cost ) = $ 10000 + $ 300 + $ 75 + $ 50 = $12000 - ( $ 10000 + $ 300 + $ 75 + $ 50) = $ 1575
Answer:Capitalism had too many limits
Explanation: