Answer:
2. time spent due to the decision
3. actual financial cost of the decision
4. benefits from the best foregone alternative
Explanation:
Opportunity costs are those costs that provide benefits from the alternatives which are available. The better one is accepted while the worst one is rejected. The chosen alternative should be made from the available alternatives only
Decision regarding the opportunity cost would depend upon the spending time for taking the decision, decision financial cost, and the benefits which are generated from choosing the alternative
Answer:
D) Indirect materials.
Explanation:
indirect material cost is not closely associated with production.
Bitcoin, Equal Dollars, Ithaca Hours, Starbucks Stars, Amazon Coins, Sweat.
Answer:
b. Purple Hedgehog Forestry's annual dividend will be greater if it goes forward with this decision.
Explanation:
In any company, interests on debts must be paid before dividend is paid. This implies that the higher the amount of debt, the will be the interest on debt to pay; and the lower will be the amount that will be left to pay dividend assuming that all other factors are held constant. Also, the lower the amount of debt, the lower will be the interest on debt to pay; and the greater will be the amount that will be left to pay dividend assuming that all other factors are held constant.
Based on the above explanation, Purple Hedgehog Forestry's annual dividend will be greater if it goes forward with this decision.
Answer:
$738 under applied
Explanation:
For computing the overhead at the end of the year first we have to determine the predetermined overhead rate which is shown below:
Predetermined overhead rate is
= $540,708 ÷ 21,980 hours
= $24.6 per hour
Now
Actual overhead applied is
= $24.6 × 21,950
= $539,970
And, the actual overhead is $540,708
So,
Overhead under applied is
= Manufacturing overhead - Actual overhead applied
= $540,708 - $539,970
= $738 under applied