Answer:
<em>When manufacturing overhead costs are assigned to production in a process cost system, it means that the business uses absorption costing system.</em>
Explanation:
When manufacturing overhead costs are assigned to production in a process cost system, it means that the business uses absorption costing system.
Absorption costing system is that where units of products and inventories are valued using full cost. Full cost implies that each product would be charged for an amount of the<em> fixed production overhead </em>in addition to the variable cost.
The fixed overhead is charged using a predetermined overhead absorption rate.
Answer: Increase of $8,200
Explanation:
Currently, the company is making a net operating income of;
= Contribution Margin - Fixed expenses
= (90 * 6,700) - 547,700
= $55,300
If the company advertises, net operating income becomes;
= Contribution margin with increase in sales - Fixed expenses including advertisements
= (90 * (6,700 + 170)) - (547,700 + 7,100)
= $63,500
Increase in operating income = 63,500 - 55,300
= $8,200
Answer:
D. $28
Explanation:
Given the following data;
Cost price = $20
Markup = 40%
To find the selling price;
Markup price = 40/100 * 20
Markup price = 800/100
Markup price = $8
Next, we would add the markup to the cost price;
Selling price = markup price + cost price
Selling price = 8 + 20
Selling price = $28
Therefore, the price of each pair of jeans is $28.
The two basic types of life insurance policies are B. Term and Permanent Whole Life.
A life insurance policy is a contract that someone gets with an insurance company. The purchaser makes payment to the company and if the person passes away, the insurance company will pay a large lump-sum payment known as a death benefit. Life insurance policies vary based on the purchaser. Whole and Term are two different types of life insurance policies. Whole life insurance coverage covers you your entire life whereas term life insurance only pays if needed during a certain term in life.
