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Alexandra [31]
3 years ago
8

Activity-based costing strives to create an environment that

Business
1 answer:
tankabanditka [31]3 years ago
4 0

Answer:

D. encourages process-value analysis.

Explanation:

Activity based costing aims to allocate cost of different processes and activities to the department which utilizes the cost at maximum, on the basis of actual cost drivers.

Every activity has a cost driver, as for example for the expense or activity of rent is based on area allocated to each department thus cost driver here is area of the department.

Therefore, Activity based Costing encourages the process value analysis, which process is best.

It states which process added how much value to each product or department, it is a kind of process analysis.

Thus, correct option is D

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There are 45 potential workers in this economy. How many people are unemployed?
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Annual demand for an item is 11,000 units with the cost per unit at $250. The holding rate is 10% and the order cost is $14.00 p
frutty [35]

Answer:

93 units

Explanation:

Annual demand for an item = 11,000 units

cost per unit = $250

holding rate = 10%

Order cost = $14.00 per order

No. of days in a year = 260

Lead-time = 2 days

Average\ daily\ demand=\frac{Annual\ demand\ for\ an\ item}{No.\ of\ days\ in\ a\ year}

Average\ daily\ demand=\frac{11,000}{260}

                                              = 42.3 units

For a service level of 97%, the value of z is 1.881

Therefore,

Reorder point:

= Average daily demand × Lead time + Standard deviation of the daily demand × no. of standard deviation corresponding to service level probability × \sqrt{Lead\ time}

= (42.3 × 2) + (3 × 1.88 × \sqrt{2})

= 92.57

= 93 units

5 0
3 years ago
Profit-maximizing firms enter a competitive market when existing firms in that market have.
alexdok [17]

Answer:Profit-maximizing firms enter a competitive market when, for existing firms in that market, total revenue exceeds fixed costs.

Explanation:

that is what i think sorry if im not right

6 0
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