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dlinn [17]
3 years ago
8

A decrease in direct materials costs often results in a,a. Favorable sales volume variance. b. None of the answers are correct.

c. Unfavorable sales volume variance. d. Unfavorable sales price variance.
Business
2 answers:
andreev551 [17]3 years ago
6 0

Answer:

B) None of the answers are correct.

Explanation:

Lower costs of direct materials result in favorable material cost variance, this means that the estimated costs of production where actually higher than the actual costs of production.

Lower production costs should help the company either increase sales volume by decreasing price, or increase profit margins. But the company will decide which approach to take, either sell more units or earn more money per unit sold.

crimeas [40]3 years ago
3 0

Answer: The correct answer is "b. None of the answers are correct.".

Explanation: A decrease in direct materials costs means that a lower price than planned was paid for materials therefore it is favorable to the company since it will have less costs than planned and as a consequence a greater profit on each sale.

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John Wiggins is considering the purchase of a small restaurant. The purchase price listed by the seller is $890,000. John has us
Phantasy [73]

Answer:

$763,057

Explanation:

Present value is the sum of discounted cash flows

Present value can be calculated using a financial calculator

Cash flow in year 1-6 =  $89,000

Cash flow in year 7 = 79,000

Cash flow in year 8 = 69,000

Cash flow in year 9=  59,000

Cash flow in year 10 =  49,000 +  $790,000 = 839,000

I = 11%

Present value = $763,057

To find the PV using a financial calculator:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. after inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.

3. Press compute

8 0
3 years ago
What are the 4 targeting strategies a company can use to select a target market? Explain each one.
Maslowich
Undifferentiated Marketing, Multi-Segment Targeting, Focus Targeting, and Customized Marketing.

Hope this helps!
5 0
3 years ago
Elway Company purchases land for $85,000 cash. Elway assumes $2,500 in property taxes due on the land. The title and attorney fe
defon

Answer:

c. $90,700

Explanation:

The computation of the cost of the land is shown below:

= Purchase cost of land + property taxes + attorney fees + land graded cost

= $85,000 + $2,500 + $1,000 + $2,200

= $90,700

We added the property taxes, attorney fees, and the land graded cost to the purchase cost of the land. We do not include the parking lot expenses

3 0
2 years ago
n a free-market system, the allocation of benefits and costs is determined primarily by a. Interaction between a private party a
ivann1987 [24]

Answer:

The answer to this question is A. Interaction between a private party and another private party

Explanation:

A free market economy, otherwise known as a capitalist economy is one that is controlled by private individuals with little or no government control.

A free or capitalist system may be defined as one in which all or most means of production are owned and controlled by private individuals and in which the economic activity of the government is at minimum.

In a capitalist economic system, private individuals play greater role than the government in taking decision about on what to produce, how to produce and the distribution of what is produced.  

Hence, the allocation of benefits and costs is determined in a free market economy by  A. Interaction between a private party and another private party

7 0
3 years ago
According to anthropological ethics, the first responsibility of the anthropologist is to the people studied.
Len [333]

<span>The answer is true. The anthropologists have main ethical obligations to the people, species, and materials they research and to the people with whom they work. These duties can exchange the goal of seeking new knowledge, and can lead to decisions not to start or to stop a research project when the primary obligation conflicts with other responsibilities, such as those unsettled to sponsors or clients.</span>

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2 years ago
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