Of supply increases and demand increases.
<span>The veteran chosen would probably be Veteran B. Veteran A seems like he has been doing well for himself financially, and additional funds would only help to enrich him further. Veteran B has a more immediate need for the money: to buy a house large enough for him and his mother, who is probably the caretaker due to his severe injury.</span>
Answer:
Question 1, overhead cost are applied to products on the basis of only one appropriate basis (absorption basis) and no overhead manufacturing cost is traceable to the goods. Traditional costing systems allocates the overhead cost to products on inappropriate basis.
So the answer is Option-C.
Question 12
Option A is incorrect because it is Activity based costing that identifies the cost drivers that are the cause of the cost generation.
Option B is also incorrect because in traditional absorption costing, the manufacturing overheads are not written off, they are absorbed in the unit product cost.
Option C is correct because there is no concept of cost drivers in absorption costing so saying that all the funds are aggregated to one cost pool generally known as manufacturing overhead cost.
Option D false again. it is the activity based costing that improves the overhead absorption basis.
Option E is also incorrect because activity based costing is superior than traditional costing.
Question 13
Option C is correct simply because it is its definition. Cost estimation, cost prediction and cost approximation is about forecasting techniques whereas cost analysis is about different cost arising and managing & controlling them.
Question 14
Cost estimation is about forecasting cost that is on relevant basis like using activity - cost relation.
Question 15
Variable cost changes in direct relation to the activity level. Fixed does not changes with activity level. Semi fixed is fixed and variable as well. Step fixed remains fixed for the threshold and then again remains fixed for another threshold level of activity.
Answer:
Nova City is a prime location in Islamabad
Explanation:
It is a few kilometers away from the New Islamabad International Airport. It is right next to CPEC Ring Road Interchange and is at the center of twin cities.
The project is not yet launched, but the development of the infrastructure has started that will attract the investors towards the project.
Explanation:
The safety margin can be defined as the difference between actual sales and breakeven sales. That is, it is all billing that exceeds breakeven billing. So having a safety margin means having results above break-even point, ie profit.
It is important for managers to use the safety margin as an aid in the decision-making process, as through this it is possible to establish sales decrease provisions before a project is no longer useful in the company.