Answer:
False
Explanation:
Retained earnings have no flotation costs, but have opportunity costs. For example, if companies distribute the earnings to shareholders, shareholders can invest the funds in alternative sources for returns.
Answer:
a. $34,900
Explanation:
The computation of the cost of direct material used is shown below:
= Opening balance of raw material + purchased materials - ending balance of raw material
= $10,300 + $34,400 - $9,800
= $34,900
Hence, the correct option is a.
Answer: c. No, since the MC and AVC curve intersect at the minimum of AVC
Explanation:
Marginal cost is the cost of producing one extra unit of a product while average cost is the average of all the units produced so far. Therefore, when Marginal cost is low, it pulls the average costs down with it because it will be lower than the Average costs.
However, as Marginal costs start to rise, average cost will still be low because it is taking into account the lower previous marginal costs. Marginal cost will then keep rising until it intersects the average costs at it's minimum. Once this happens Average cost will start being pulled up because the current high costs will on average eclipse the current low costs.
Answer: Decrease by $70000
Explanation:
Before the Barbecue Division is eliminated, the profit gotten will be:
Revenue from Barbecue Division sales = $510,000
Less: Salaries = $110000
Less: Direct material = $315000
Profit = $70000
Therefore, based on the analysis above, If Barbecue Division were eliminated, profitability would decrease by $70000
It means your order should leave (usually does not mean always) the warehouse ( or the store) within 1 or 2 days after your order is received.
The arrival time will depend on how your order is shipped.
