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nadezda [96]
3 years ago
7

Net income computed under absorption costing will be: higher than net income under variable costing when units produced are grea

ter than units sold. higher than net income under variable costing when units produced are less than units sold. higher than net income under variable costing in all cases. equal to net income under variable costing in all cases.
Business
1 answer:
nordsb [41]3 years ago
4 0

Answer:

higher than net income computed under variable costing when units produced are greater than units sold

Explanation:

Absorption costing and variable costing techniques are used to compute the accounting cost of various operation. The calculation procedures of both the techniques are different; that is why the results are different. The net income under absorption costing is higher because it takes into account the indirect expenses and indirect costs. Likewise, absorption costing technique also includes manufacturing or overhead cost.

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An establishment has three departments with variable costs as a percentage of sales revenue of 30 percent, 40 percent, and 50 pe
zalisa [80]

Answer:

60 percent

Explanation:

Contribution margin refers to the revenue a firm derives after deducting the variable cost it has incurred.

Contribution margin = Sales - Variable costs

Contribution margin or contribution to sales ratio represents the percentage of contribution a firm earns from the sale of it's output.

It is represented mathematically as,

= \frac{Contribution\ margin}{Sales}

Also, contribution margin ratio = 100 - variable cost ratio percentage.

Hence, contribution margin for three departments would be:

A = 100 - 30% = 70%

B = 100 - 40% = 60%

C = 100- 50% = 50%

This represents if sales revenue is 100, contribution margin earned is 70, 60 and 50 under three cases.

Since sales revenue in all three departments is the same, let us assume the sales revenue of a department as y.

\frac{0.70y\ +\ 0.60y\ +\ 0.50y}{3y}    

Thus, weighted average contribution margin would be, 60 percent

7 0
3 years ago
Tara works as a programmer for XYZ Electronics Company. About one month ago, Tara bought 500 shares of a small start-up firm wit
Aliun [14]

Answer:

D) insider trading information

Explanation:

Insider information is defined as private facts (non-public information) about a public corporation that are used by investors in order to gain advantage. Insider trading is illegal since 1934 (made illegal by the Securities and Exchange Act) since it provides unfair advantage to those investors who have the insider information over those investors who don't.

3 0
3 years ago
Cedric, a brand manager, transferred from the united States to japan He dscovered that athough people in the Unted States highly
Firdavs [7]

Answer: collectivism

Complete Question:

Cedric, a brand manager, transferred from the united States to japan He discovered that although people in the United States highly valued individualism, people in Japan expect individuals to conform to group expectations. Cedric concluded that Japan places more of an emphasis on:

Explanation: Collectivism values the group over individuals belonging to the group. In cultures where collectivism is the norm, individuals tend to want to conform to the group expectations. Also, it is common for individuals in collectivist societies to define themselves as belonging to a group than as individuals so groups are a way of identifying themselves.  

While individualism values individuals's right and uniqueness, collectivism does not  but sees value in maintaining the cohesion in a group, which in turn promotes conformity.

6 0
4 years ago
Susan Barnes is a self-employed consultant. She travels to Chicago on June 30th for business purposes. She attends business meet
larisa [96]

Answer:

Susan Barnes

Total deductible business expenses:

= $1,300.

Explanation:

a) Data and Calculations:

Dates for business meetings = July 1st and 2nd

Flight charge = $480

Lodging for 3 days = $600 ($200 *3)

Meals for 3 days:

6/30: $40;

7/1:    $70;

7/2:   $70

7/5: $40

Total  for meals = $220

Total business expense = $1,300 ($480 + $600 + $220)

b) According to the IRS (Internal Revenue Service), business expenses have been defined as any expenses that are "helpful and appropriate" for a business.  This definition excludes lodging and meal expenses incurred by Susan on July 3rd and July 4th, when she takes personal time.

6 0
3 years ago
In early December, the Snowland Resort was paid $1,600 by a company to host its holiday party that month.
Svetlanka [38]
The answer is a which is profit
4 0
3 years ago
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