In most societies, resources are allocated by the combined action of millions of households and firms.
Resources are very important to setup and build societies. Resources are scare and this is the reason why societies and households faces many decisions. How societies manage scare resources, we study this in economics.
Answer:
The adjusted sale price of the comparable is $270,000
Explanation:
The formula is used to compute the adjusted sale price of the comparable:
= Sale Price - Superior material cost - Square footage cost
= $315,000 - $20,000 - $25,000
=$270,000
The sale price reflects that price on which the property is sold, whereas the superior material is an expense related to the property. Hence, it is deducted from the sale price.
And, the more square footage is produced which is also an expense for a company. So, this also would be deduct from the sale price.
Hence, the adjusted sale price of the comparable is $270,000
Answer: a. $120,000.
Explanation:
The inventory lost can be calculated by;
= Opening inventory + Purchases - Cost of Goods sold
Cost of goods sold = Sales - Markup on price
= 600,000 - (600,000 * 25/125)
= 600,000 - 120,000
= $480,000
Inventory lost = 100,000 + 500,000 - 480,000
= $120,000
Answer:
Will the financial statements of a company always differ when different choices at the start of the accounting period are made regarding the denominator-level capacity concept?
A. No. It depends on how a company handles the production-volume variance in the end-of-period financial statements. For example, if the adjusted allocation-rate approach is used, each denominator-level capacity concept will give the same financial statement numbers at year-end.
Explanation:
Level capacity strategy
The organisation manufactures or produces at a constant rate of output ignoring any changes or fluctuations in customer demand levels. This often means stockpiling or higher holdings of inventory when customer demand levels fall
The purpose of this question is to:
1) Assess the personal values of the individual.
2) Assess the interviewee's command of language.
3) Assess if the interviewee is witty enough to answer the questions.
4) Assess if the interviewee is able to carry himself well to impress.
Hope this helps you.
