Answer:
d. it causes profits to be understated when prices are rising and allows a company to dodge taxes.
Explanation:
The LIFO method should not be permitted to determine the net income as in this case the profits would be understated at the time when price is increased due to this it permits the company to dodge taxes as the inventory consumed in the production process also the high inventory value would be involved in the cost of sales that represent the high cost, this result in lower profits and taxes
Hence, the option d is correct
Answer:
offering a wide range of products
Explanation:
Answer:
Budgeted overhead= $283,400
Explanation:
Giving the following information:
Production:
October= 192,000
variable overhead is applied at a rate of $0.70 per unit of production.
Fixed overhead equals $149,000 per month.
To calculate the budgeted overhead, we need to determine the total variable overhead for the month:
Budgeted overhead= fixed overhead + total variable overhead
Budgeted overhead= 149,000 + 0.7*192,000
Budgeted overhead= $283,400
Answer:
They would cause relatively smaller reductions in death from heart disease.
Explanation:
Since in the question it is mentioned that the government incurred $45 million for research on the heart disease and gain that decreased the death occured from the heart disease. Now if the law of diminishing retuns hold, so the extra rise in expenditure on heart disease result in relatively small decline as it decreases the returns
Therefore the same is to be considered
