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3 years ago

Which of the following statements is true of activity−based costing?

1 answer:

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Answer: The answer is Activity based costing is more suited to companies with high product diversity than companies with single product line..

Explanation: Activity-based costing (ABC) system assigns overheads to each activity other than cost centres. It allows the establishment of many ABC cost centres (otherwise known as cost pools), to which overhead costs are assigned.

ABC comprises cost drivers identification, which cause the costs of an organization's major activities.

With increase in the complexity of manufacturing processes, including wider product ranges and shorter life cycles, ABC takes into consideration these complexities with their multiple cost drivers.

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You are considering investing in one of the these three stocks:Stock Standard Deviation BetaA 20% 0.59B 10% 0.61C 12% 1.29If you

Drupady [299]

Answer:

The correct option is B.

Explanation:

Risk aversion is a situation where investor like returns and dislike the risk. The higher the risk, higher the expected return an investor will demand.

In this situation, will look at the standard deviation (SD). The larger the SD, it states that outcome will be dispersed widely and smaller SD, states that the outcome or result will be more tightly cluster around the expected value. So, because of this will be choosing the Stock B for isolation and Stock A for portfolio which well diversified.

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3 years ago

Which one of the following is an argument in favor of a low dividend policy? Few, if any, positive net present value projects ar

g100num [7]

Answer: The tax on capital gains is deferred until the gain is realized

Explanation:

The TAX DIFFERENTIAL VIEW of DIVIDEND POLICY is a notion that states that shareholders generally prefer capital gains fo dividend payouts because capital gains are taxed at a lower rate than dividend payouts.

Therefore they would like to pay less tax on dividends and instead wait until they make a capital gain as the taxes on that are less and are only charged after the gain is realized.

This translates to less dividends being paid by companies that follow this logic therefore the 4th option is correct.

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3 years ago

Lobbying, or building and maintaining relations with legislators and government officials to influence legislation and regulatio

Elanso [62]

The statement that is being described is a part of public relations. It is because the public relations' function is to be able to maintain their image with of the company, organization or to the public. They maintain this relationship in order to display a positive image and to be able to be known to the public and to have a strong support or bond that they want to have or accomplish.

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3 years ago

The following price quotations are for exchange-listed options on Primo Corporation common stock.

balandron [24]

Answer:

$725

Explanation:

Price of call option = Call value * Number of shares in a contract

Where Call value = $7,25, Number of shares in the contract = 100

So, Price of call option = $7.25 * 100 shares

Price of call option = $725

So, the buyer would have to pay $725 for one call option contract assuming each contract is for 100 shares.

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3 years ago

On January 1, 2022, Discipline Company, a calendar-year company, issued $800,000 of notes payable, of which $200,000 is due on J

natali 33 [55]

The proper balance sheet presentation on December 31, 2022, is: Current liabilities, $200,000; Long-term Debt, $600,000.

Based on the information the proper balance sheet presentation on December 31, 2022, will be current liabilities of the amount of $200,000 which is the amount due on January 1 .

While the Long-term Debt will be$600,000 calculated as:

Long-term Debt=Notes payable- Due amount

Long-term Debt=$800,000-$200,000

Long-term Debt=$600,000

Inconclusion the proper balance sheet presentation on December 31, 2022, is: Current liabilities, $200,000; Long-term Debt, $600,000.

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2 years ago

Which of the following statements is true of activity−based ​costing?

Which of the following statements is true of activity−based costing?