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Ilia_Sergeevich [38]
3 years ago
6

Which of the following price bases is mostly likely to be used for commercial construction projects or custom-made equipment?

Business
1 answer:
Svet_ta [14]3 years ago
4 0

Answer:

b. cost-plus pricing

Explanation:

cost-plus pricing is a price base that involves a markup addition to the cost of services and goods to get to the final selling price. In this technique you compute all cost (material, labor, etc) and then add a percentage in order to obtain the product's price

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Under variable costing, if a manager's bonus is tied to operating income, then increasing inventory levels compared to last year
inysia [295]

Answer: not affecting the manager's bonus

Explanation:

Under Variable costing, fixed manufacturing overhead is not charged on inventories produced or not sold for the year which means that regardless of inventory level, the relevant inventory here when it comes to calculating operating profit is the one that was sold.

The manager's bonus will therefore not change as a result of higher inventory levels. Were this absorption costing where fixed overhead was charged to inventory that was not sold, the manager's bonus would increase because the higher inventory level would absorb more of the cost.

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Descriptors are provided below for six situations involving notes receivable being discounted at a bank. In each case, the matur
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Is this a real question just curious
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Suppose a company is financed with $20 million of equity and $60 million of debt. That is, the company obtained $20 million from
alexgriva [62]

Answer:

Existing Equity = 20 million

Existing debt = 60 million

Total capital = 20 million + 60 million = 80 million

a. Given company issued 30 million of equity to retire debt

Equity after raise = $20 million + $30 million = $50 million

Debt = $60 million - $30 million = $30 million

Total capital size remain at $80 million

Capital structure, Equity = $50 million/$80 million = 0.625 = 62.50%

Debt = (1-0.625) = 0.375 = 37.50%

b. The market would welcome the new issue as the risk of  the firm would be reduced.

6 0
2 years ago
Financial statements that give effect to a subsequent event as though the event had occurred at the balance sheet date are known
mojhsa [17]

Answer:

The correct answer to the following question is Pro forma financial statements.

Explanation:

A subsequent event can be defined as an event which takes place after the reporting period, but before the financial statements of a company are issued.  And depending on what kind of event they are like additional information or new events, it will be decided whether these events should be disclosed in a company's financial statement or not.

If it is decided that the subsequent event should be disclosed in the company's financial statement then a pro forma financial statement would be made, in which nature and financial effect of the subsequent event should be disclosed.

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3 years ago
When McDonald's corporate headquarters offers a local McDonald's franchise to a franchisee on Bourbon Street in New Orleans, it
Sloan [31]

Answer: exclusive  

Explanation: Exclusive distribution refers to the distribution system in which the company allows only some retailers exclusively to distribute their product in a particular geographic region.

In the given case, McDonald's is offering franchise to an existing franchisee of the company. Thus, we can conclude that the above case is an example of exclusive distribution system.

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3 years ago
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