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Verizon [17]
3 years ago
10

7) A company that produces a single product had a net operating income of $65,000 using variable costing and a net operating inc

ome of $95,000 using absorption costing. Total fixed manufacturing overhead was $60,000 and production was 10,000 units both this year and last year. Last year was the first year of operations. Between the beginning and the end of the year, the inventory level: A) decreased by 5,000 units B) increased by 5,000 units C) decreased by 30,000 units D) increased by 30,000 units
Business
1 answer:
zheka24 [161]3 years ago
7 0

Answer:

B) increased by 5,000 units

Explanation:

For computing the inventory level, first we have to determine the fixed cost per unit which is shown below:

Fixed cost per unit = Total fixed cost ÷ number of units produced

                                 =$60,000 ÷ 10,000

                                 =$6

Now the inventory level would be

= (Net operating income using absorption costing - Net operating income using  variable costing) ÷ (Fixed cost per unit)

= ($95,000 - $65,000) ÷ $6

= $30,000 ÷ $6

= 5,000 units increased

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saul85 [17]

Answer:

The eccentricity, denoted by e, is defined as that fraction of an ellipse size which causes the focus to move away from the center. When an ellipse has an eccentricity of zero, this means that the focus and the center are in one same place. Thus the eccentricity of the secondary focus located at the sun is zero when located at the sun. Thus with an eccentricity of zero, the focus and center will be at same place therefore making the shape of the orbit to be a perfect circle.

Explanation:

5 0
2 years ago
The break-even in units sold will decrease if there is an increase in: a. unit sales volume. b. total fixed expenses. c. unit va
s2008m [1.1K]

Answer:

d. Selling Price

Explanation:

Break even point is calculated as \frac{Fixed\ cost}{Contribution\ per\ unit}

Thus, break even point in units only in two cases,

  1. Fixed cost is reduced that is decreased,
  2. Contribution per unit is increased.

Now, here the options are

a. Increase in units sales volume is of no relevance as will not impact the fixed cost or contribution per unit.

b. Increase in fixed cost will result in higher break even point, as numerator in the fraction will increase.

c. Increase in unit variable cost will ultimately decrease the contribution thus, it is of no relevance.

d. Increase in selling price will increase the contribution per unit, that is the increase in denominator value in fraction, thus, break even units will decrease.

Correct option is

d. Selling Price

7 0
3 years ago
What is an example of print advertising? A. a web banner B. a radio commercial C. a t-shirt D. a poster
Fed [463]
D. a poster
Although 'A' could also be used as an example, it isn't exactly print advertising in its purest form.
7 0
3 years ago
The date the board of directors votes to declare and pay a cash dividend is called the?
harkovskaia [24]

The date the board of directors votes to declare and pay a cash dividend is called the date of declaration.

<h3>What does the declaration date mean?</h3>

A declaration date refers the date on which the board of directors of a company announces the next date of dividend payment. The board of directors of a company announces a cash dividend on a declaration date, which involve paying a certain amount of money per common share.

A declaration statement is issued that mainy includes the details such as the size of the dividend, the record date and its payment date.

Basically, the date on which the directors vote to declare and pay a dividend is called the declaration date.

Learn more about declaration date here:-

brainly.com/question/23156395

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5 0
1 year ago
The Anderson Company has equal amounts of low-risk, average-risk, and high-risk projects. The firm's overall WACC is 12%. The CF
astra-53 [7]

Answer:

e. The company will take on too many high-risk projects and reject too many low-risk projects.

Explanation:

By using the WACC for discounting purposes in case of the higher risk projects the net present value would be greater in such cases and also the high discount rate is applied. It is easily accepted but at the same time it also rise the organization risk

Therefore in the given case, the option e is correct and the same is to be considered

8 0
3 years ago
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