Answer:
Explanation:
Part One: Demand falls/ declines once the price of movie ticket increases.
Part Two: Demand declines also when the price of the local Internet Service provider increases.
Part Three: Demand declines when the price of cappuccino increases
Answer:
1. Which of the excluded items represent ongoing costs of running the business and which are one-time "special" costs?
it depends on the company and the actual transactions, e.g. equity based compensation might be a one time special cost because it occurred only once and is doubtful that it happens again. But if the company regularly rewards its top managers with this type of compensation, then it is an ongoing cost. E.g. Tesla awarded a HHHHUUUUUUGGGGGGGEEEEEEE bonus to Elon Musk (worth hundreds of millions) but it was a one time event. While many companies use equity compensation on a regular basis.
Severance and related employee "rebalancing" costs generally take place when a company fires a lot of people because it is cutting down some division or product line. Hopefully, they should never happen, and if they do, it should be only a one time event.
Fees paid to consultants and interest expenses are ongoing costs that will probably occur in the future.
Losses related to the abandonment of excess facility space and a facility fire should be one time events. It would be really bad for them to keep happening (same as severance and rebalancing costs)
Answer:
The cost of the units transferred out and remaining in ending inventory is $ 107,250 and $ 4,000 respectively.
Explanation:
<u>Calculation of total cost of units transferred out</u>
Units transferred out = 750+ 9500- 500 = 9,750 units
Total cost per unit = material cost per unit + conversion cost
= 7 + 4
= $11
Units transferred out = 11 * 9750 = $ 107,250
<u>Calculation of total cost of closing units</u>
Total Material cost = 7 * (500) = 2,500
Total Coversion Cost = 4 * (500*75%) = 1,500
Total cost = $ 4,000
Answer:
receipts of cash from David Levin's
Explanation:
