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3 years ago

A cost that remains unchanged in total despite variations in volume of activity within a relevant range is a

2 answers:

8 0

A cost that remains unchanged in total despite variations in the volume of activity within a relevant range is a fixed cost. The fixed cost is a type of cost behavior which remains unchanged regardless of the unit or activity changes in a production process. There are four types of cost behavior, which are the fixed cost, the variable cost, the mixed cost, and the step cost.

shepuryov [24]3 years ago

6 0

That's called a fixed cost. Examples of fixed cost include salaries, rent, maintenance, etc. In a nutshell, any cost the company incurs irrespective of what the extent of operations is. The opposite type is variable cost, which will increase or decrease depending on the activity level. Both fixed and variable costs make up the total cost of the firm.

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Golebiewski Corporation has provided the following contribution format income statement. Assume that the following information i

Andrews [41]

Answer:

Margin of safety= $9,000

Explanation:

First, we need to calculate the selling price and unitary variable cost:

Selling price= 150,000 / 5,000= $30

Unitary varaible cost= 112,500 / 5,000= $22.5

Now, we need to determine the break-even point in dollars:

Break-even point (dollars)= fixed costs/ contribution margin ratio

Break-even point (dollars)= 35,250 / [(30 - 22.5) / 30]

Break-even point (dollars)= 35,250 / 0.25

Break-even point (dollars)= $141,000

Finally, the margin of safety in dollars:

Margin of safety= (current sales level - break-even point)

Margin of safety= 150,000 - 141,000

Margin of safety= $9,000

8 0

3 years ago

Stephani Corporation has provided data concerning the Corporation's Manufacturing Overhead account for the month of May. Prior t

VashaNatasha [74]

Answer:

the manufacturing overhead for the month should be overapplied by $16,000

Explanation:

Given that

The debit to the manufacturing overhead is $53,000

And, the credit balance is $69,000

So, it should be overapplied by the

= $53,000 - $69,000

= $16,000

Therefore the manufacturing overhead for the month should be overapplied by $16,000

This is the answer but the same is not provided in the given options

7 0

3 years ago

Suppose that Rich and Sheri each own the two largest helicopter tour companies at the Grand Canyon. If each uses a pricing strat

Eddi Din [679]

Answer:

D) Tourists would end up receiving great deals for helicopter tours.

Explanation:

A prisoner's dilemma is a paradox formulated by Merrill Flood and Melvin Dresher. It refers to a situation where two competing individuals (or businesses) should cooperate in order to obtain the best possible results, but they do not cooperate because they lack incentive to do so.

When competing individuals do not cooperate with each other, other people will benefit. In this case since Rich and Sheri will not cooperate with each other, their customers will benefit. In order to win more clients, Rich may start to lower the price of his tours, and eventually that will force Sheri to lower her prices in order to not lose clients. At the end, their customers will benefit because they will pay lower prices.

6 0

4 years ago

Ramon and Sammy are working on a group homework assignment. The homework consists of a set of essay questions and a set of quest

Sladkaya [172]

Answer and Explanation:

The computation is shown below:

It is given that Ramon would completed an essay question in approx 15 minutes and for graphing question it finished approx 30 minutes

On the other hand Sammy would completed an essay question in approx 20 minutes and for graphing question it finished approx 35 minutes

a) Ramon's opportunity cost of completing an essay question is

= 15 ÷30

= 0.5 graphing question

b) Ramon's opportunity cost of completing a graphing question is

= 30 ÷ 15

= 2 essay question

c) Sammy's opportunity cost of completing an essay question is

= 20 ÷ 35

= 0.57 graphing question

d) Sammy's opportunity cost of completing a graphing question is

= 35 ÷ 20

= 1.75 essay question

7 0

3 years ago

A stock market boom causes consumer wealth to increase which results in consumer spending to increase. This increase results in

BaLLatris [955]

Answer:

The correct answer is: 10,71%.

Explanation:

The Gross Domestic Product (GDP) is a measure of the growth of an economy given a period. It considers government expenditures, private investments, consumers' consumption, and net exports (exports minus imports). Real GDP, on top of what the GDP includes, accounts for fluctuations in prices which contributes reflecting a better picture of the growth of an economy.

In the example, if the real GDP increases from $28,000 to $31,000, being "x" the percentage change and by the rule of three:

$28,000 → 100%

$31,000 → x

$x = \frac{(31,000)(100)}{28,000}$

x = 110,71%

Percentage change = 110,71% - 100% = 10,71%

4 0

3 years ago