Answer:
The correct option is Dana might be indifferent between C, A, and B.
Explanation:
Note: See the attached photo for the indifference curve showing points A, B and C.
The answer can be explained using an indifference curve.
An indifference curve is a graph that depicts the combination of two commodities that provide equal satisfaction or utility to the consumer. A consumer is indifferent between the two commodities at each point on an indifference curve because all points on the curve provide him with the same level of satisfaction or utility.
In the attached photo, bundles A, B and C are plotted as points on the same indifference curve (IC). Since points A, B and C are on the same IC, it therefore implies that Dana might be indifferent between C, A, and B.
Therefore, the correct option is Dana might be indifferent between C, A, and B.
Available Options Are:
A. 401 units
B. 294 units
C. 441 units
D. 305 units
Answer:
Option C. 441 Units
Explanation:
The first thing would be to analyze the situation. It is crystal clear in the Accessibility Elite table that the accessibility of Digby products are 2nd largest among the rival companies.
Now we will look at whether the company has taken advantage of its second largest accessibility position or not. This can be seen in Actual Vs Potential Market Share table. The units produced were sold in the year which means that the accessibility of the product is even more than its rivals as the market share captured in the year by Digby is above 40%. This means that their is an increased demand for Digby's Product. This can also be seen by segment growth rate in the Elite Statistics (Top Left Corner) which is anticipated to be at 16%.
All these things says that Digby must produce as much as possible, hence quantity would be a greater number.
Answer:
Orange Co.'s budget will include the cost of production, which is made up of raw materials, direct labor, and manufacturing overhead. The above cost of production and the accompanying items will not be found in the budget of Pineapple Company. The latter's budget will focus on purchase of goods for sale (instead of raw materials) and inventories of finished goods (instead of raw materials and work in process). Orange Co. determines its product cost per unit from the cost of production divided by the quantity produced. Pineapple Company's product cost is based on the purchase price of goods, which includes the manufacturer's profit.
Explanation:
The operations and accounting for the cost of production of Orange Co. will be different from Pineapple Company's. The difference is a reflection of their statuses as manufacturer and merchandiser respectively. Orange Co. manufactures and sells goods while Pineapple Company sell manufactured goods.
Answer:
b. $3,000
Explanation:
According to the above information, the following data are given
Credit sales = $100,000
Uncollectible percentage = 3%
So, after the adjustment by using allowance method, Bad debt expense can be calculated as;
Bad debt expense = Credit sales × Uncollectible percentage
= $100,000 × 3%
= $3,000
Answer:
The revenue recognition principle
Explanation:
The revenue recognition principle states that revenue should be recorded when services have been performed or products have been delivered to customers and not when cash is received for the service rendered
For example, if a supplier delivers 10,000 worth of goods to consumers in November and is paid for the goods in December. Revenue should be recognised in November and not December.
