1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
34kurt
3 years ago
14

Fancy Furniture produced a batch of 2,000 coffee tables at a cost of $355,000. It was discovered that the entire batch was finis

hed improperly. Fancy can sell the tables as seconds for $305,000 or spend an additional $315,000 to refinish them and sell them for $605,000. In deciding whether to rework the tables or sell them as is, management should:Compare the $305,000 proceeds from the sale of the tables as is, with the $355,000 cost of the tables.Compare the $605,000 possible revenue from refinished tables with the total cost of $355,000 plus $315,000 to refinish.Compare the $315,000 cost to refinish the tables with the incremental revenue of $300,000 if the tables are refinished.Eliminate any alternative that results in a loss on the sale of the product.
Business
1 answer:
mylen [45]3 years ago
6 0

Answer:

Compare the $315,000 cost to refinish the tables with the incremental revenue of $300,000 if the tables are refinished.

Explanation:

If the tables are sold now, they would cost $305000. If an additional $315000 is spent to refinish the table, the table would the be sold for $605000, that means there would be an additional revenue of $300000 ($605000 - $305000). The company are already operating at a loss as a result of improperly finishing the table. In deciding whether to rework the tables or sell them, the company should compare the $315,000 cost to refinish the tables with the incremental revenue of $300,000 if the tables are refinished.

You might be interested in
A 12-ounce beer with an alcohol content of 5% would have a proof of __________ .
Vera_Pavlovna [14]
Alcohol proof is a measure how much of alcohol ( or ethanol ) is contained in a beer ( same as wine, whiskey, etc ). In the US, alcoholic proof is defined as twice the percentage ( in the UK percentage times 1.75 ).Therefore:  5 * 2 = 10  ( or:  5 * 1.75 = 8.75 ).Answer: It would have a proof of 10. 

3 0
3 years ago
Which of the following best describes deflation?
choli [55]
I believe the answer is A) A decrease in the cost in the goods and services.
7 0
3 years ago
Read 2 more answers
What is the present value of $1,400 a year at a discount rate of 8 percent if the first payment is received 7 years from now and
ioda

Answer:

P V = 1669,5

Explanation:

After seven years, future payment will be 9800$ and from there on we will have 23 annual payments more:

P V = 9800/(1+0.08)^23 = 9800/5,87 = 1669,5

8 0
3 years ago
A tax preparer is part of
USPshnik [31]
C would be the answer
8 0
2 years ago
Read 2 more answers
Earned net income of $65,000 after deducting depreciation of $8,000 and all other expenses. Current assets decreased by $7,000​,
Drupady [299]

Answer:

Cash provided by operating activities is 89.000

Explanation:

The indirect method involves the adjustment of net income with changes in balance sheet accounts to arrive at the amount of cash generated by operating activities.

It depends on the account if it is added or subtracted to net income. Below you will find the added account with a plus (+) and the subtracted ones with a minus (-)

Notice the amounts of any decreases are in parentheses.

Net income 65.000

Adjustment to reconcile the net income to cash  

+ Depreciation expense 8.000

+ Current assets decrease 7.000

+ Current liabilities increase 9.000

Net cash 89.000

7 0
3 years ago
Other questions:
  • After feeding fish in a display tank, a food worker returns to the kitchen.
    6·2 answers
  • Brokers and sales agents who submit required criminal background information and fingerprints to TREC when seeking their origina
    12·1 answer
  • Shares of common stock of the Samson Co. offer an expected total return of 16.2 percent. The dividend is increasing at a constan
    15·1 answer
  • Lancencus, a software company, plans to double its workforce in the next 10 years. To achieve this goal, the human resources man
    9·1 answer
  • Discuss the requisite skills a person needs to lead change for a chosen organization. How can the organization’s structure accom
    15·1 answer
  • If a purely competitive firm is currently facing a situation where the price of its product is lower than the average variable c
    8·2 answers
  • Are the following statements true or false? Explain in each case.
    5·1 answer
  • the lease on a new office requires an immediate payment of $24,000 (in year 0) plus $24,000 per year at the end of each of the n
    7·1 answer
  • Bond X is a premium bond making semiannual payments. The bond has a coupon rate of 9.7 percent, a YTM of 7.7 percent, and has 14
    9·1 answer
  • Hi I need help please!!
    7·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!