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3 years ago

The purpose of a flexible budget is to:

Business

1 answer:

Ksenya-84 [330]3 years ago

8 0

Answer:

c. update the static planning budget to reflect the actual level of activity for the period

Explanation:

A flexible budget is a financial plan of expenses and revenues based on the actual level of output. A flexible budget adapts to changes in prices and company needs. Because the budget varies with the market condition, it is called a variable cost.

Due to their variable nature, flexible budgets are used to update the static estimates at the end of a period. The company compares the actual result in the flexible budget with that of a static budget. The management uses a flexible budget to evaluate the business performance for the period. Specific areas of success and failures are highlighted. Decisions on areas that need improvement can then be made.

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You can spend $10 for lunch and you would like to purchase two cheeseburgers. When you get to the restaurant, you find out the p

nalin [4]

Answer: income effect of a price change.

Explanation: The income effect is known as the effect on real income when price changes, it can however be positive or negative. The income effect expresses the impact of increased purchasing power on consumption.

In this scenario, spending $10 for lunch, and you would like to purchase two cheeseburgers. When you get to the restaurant, you find out the price for cheeseburger has increased from $5 to $6, so you decide to purchase just one cheeseburger, this scenario best illustrates the income effect of a price change.

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3 years ago

________ occurs when a product's performance is below expectations and the consumer is dissatisfied. Group of answer choices A.P

Stella [2.4K]

Answer:

Explanation:

Negative disconfirmation of expectations occurs when a product's performance is below expectations and the consumer is dissatisfied. This can occur for a large number of reasons , including wrong target market, beter competition, and even bad pricing strategy or some of the many possible reasons. This disconfirmation is negative, which is posited to decrease post-purchase or post-adoption satisfaction

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3 years ago

An establishment owned by two or more persons in which only one person has unlimited personal liability for the business describ

chubhunter [2.5K]

Limited partnerships

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3 years ago

To arrive at operating cash flows, you should start with _______, _______ non-cash items and then adding or subtracting changes

Aleks04 [339]

To arrive at operating cash flows, you should start with net income, adding non-cash items and then add or subtract changes in working capital.

A measure of the amount of money made by a company's regular business operations is called operating cash flow (OCF). Operating cash flow shows if a business can produce enough positive cash flow to support and expand its operations; if not, it may need outside finance for capital growth.

An essential metric for assessing the financial performance of a company's main business operations is operating cash flow.

A cash flow statement's opening part, which also contains cash from investing and financing activities, shows operating cash flow.

The indirect method and the direct approach are both ways to show operating cash flow on a cash flow statement.

Learn more about operating cash flow here:

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2 years ago

Exercise 25-3 Stefani Company has gathered the following information about its product. Direct materials: Each unit of product c

katovenus [111]

Answer:

Total standard cost per unit= $71,41 unit

Explanation:

Standard cost is the sum of direct materials, direct labor, and manufacture overhead.

Direct materials:

Each unit of the product contains 3.40 pounds of materials.

The average waste and spoilage per unit produced under normal conditions is 0.10 pounds.

Materials cost $2 per pound, it takes a 5.00% cash discount.

Freight costs $0.45 per pound.

Direct materials= (3,4+0,10)*(2*0,95)+ (0,45*3,5) =$8,20unit

Direct labor:

Each unit requires 2.80 hours of labor.

Setup, cleanup, and downtime 0.10 hours per unit.

The average hourly pay rate of Stefani’s employees is $13.10.

Payroll taxes and fringe benefits are an additional $3.00 per hour.

Direct labor=($13,10*2,9hours)+($3*2,9hours)=$46,69 unit

Manufactured overhead:

Overhead is applied at a rate of $5.90 per direct labor hour.

Overhead=$5,90*2,8hours=$16,52unit

Total standard cost per unit= 8,20+46,69+16,52=$71,41 unit

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3 years ago