Answer:
Costs and benefits are weighed to determine if producing the good will be profitable.
Explanation:
Production of goods refers to the process through which raw material and resources are converted to a finished product. In most economies, production of goods are services is necessary to meet the demand for these goods. Companies and firms utilize resources like labor and materials to produce finished products. This is usually a costly activity that needs to be planned and organized for it to be successful. Since most businesses is for profit making, the production process has to be done in such a way that in the end, profits are made. Production processes requires financial strategies to be applied and assessed to ensure that the process is profitable in the long run.
An example of a financial analysis that can be used is the cost benefit analysis. The cost benefit analysis involves determination of all the resources that will be needed as input. The input is then convert into monetary terms, then summed together. The total amount of input in monetary terms is the cost, since that i the total amount needed to process the raw materials to finished goods. The future benefits are also forecasted and converted into monetary terms. The comparison of the costs versus the benefits forms what is collectively termed as the cost and benefits analysis.
When the costs outweigh the benefits, then the good should not be produced. When the costs are equal to the benefits, it means the business will break-even, so there will be no profits, it is advisable not to produce the good. Finally, when the benefits outweigh the costs, it is advisable to produce the good.
<span>Answer D, determining savings or debt, is correct. The first step is identifying and writing down your financial goal(s). The second one is to start writing down every single one of your transactions, this is the most important because it shows you your spending habits. The third step is to create the actual budget. Set aside a certain amount of money for each bill/necessity. The last step is to determine what your savings are.</span>
Answer:
4
Explanation:
receivable turnover = net credit sales / average inventory
avarage iventory = ($761000 + $841000) / 2 = $801,000
$3,204,000 / $801,000 = 4
Answer:
d. Detailed reporting of daily production is sent to the president
Explanation:
Fundamental responsibilities involves process in which the controller notifies the business reporting department of various adjusting entries, which are sent to the financial reporting officer as adjusted trial balance figures.
The treasurer notifies the business reporting department of investing and financing transaction activities.
