A multinational corporation will fully benefit from economies of scale when its establish a subsidiary in a new market that can sell products produced elsewhere which allows for increased production and thus possibly greater efficiency.
<h3>What is an
economies of scale?</h3>
This refers to a situation whereby the average costs per unit of output decrease with the increase in output being produced by a firm.
Hence, it is agreed that any multinational corporation will be able to fully benefit from economies of scale when its establish a subsidiary in a new market that can sell products produced elsewhere.
Therefore, the Option D is correct.
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If Niall is an assembly-line worker in a car-manufacturing firm in detroit. assembly-line workers like niall constitute the <u>Factors of production</u> of the car-manufacturing firm.
<h3>
What is Factors of production?</h3>
Factors of production can be defined as factors, inputs or resources that contributed to the production of goods and services.
Labor, land , capital as well as entrepreneurship play a major role when it comes to production of goods and service as they are the factors that contributed to the production of goods and services which in turn means that they are essential.
Therefore If Niall is an assembly-line worker in a car-manufacturing firm in detroit. assembly-line workers like niall constitute the <u>Factors of production</u> of the car-manufacturing firm.
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Answer:
$180,000
Explanation:
The computation of CVP income statement is shown below:-
CVP Income statement
Sales $550,000
Variable cost $370,000
Contribution margin $180,000
Fixed cost $150,000
Operating Profit $50,000
Therefore for computing the contribution margin we simply deduct the variable cost from sales and fixed cost to arrive the operating profit
Answer:
1. FALSE
2.TRUE
3. TRUE
4.TRUE
Explanation:
1. It is FALSE which means each voucher should NOT be approved for payment by a designated official before verifying price, quantities, and terms because it would not reduce the chances of losing cash discount .
2. It is TRUE which means each voucher should tend to be filed by the day which will be the last day of the discount period or the due date if the invoice is not subject to a cash discount because if the voucher is filed at last day, there will be chance of losing it.
3. It is TRUE which means each day, the vouchers should be removed from the appropriate section of the file and checks issued by the disbursing official because yhis will also tend to lead to losing the cash discount for payment to the vendor.
4. It is TRUE which means at the time of payment, all vouchers and supporting documents should be stamped or perforated "Pald" because there will presentation of invoice for the second time.
