Answer:
B. average total cost
Explanation:
In the terms of economics, the Average total cost is the cost which is obtained by dividing the total production cost involved by the total number of output units.
The average total cost also determines the cost per unit for a product.
It helps in deciding the selling cost of the product for a specified profit margin.
Answer: Participation
Explanation:
Participation financing is a firm of financing whereby a loan is shared by several parties because such loans are too huge and a party cannot take the loan alone.
Since we are informed that works for a life insurance company that funds commercial investment projects and often insures these projects by insisting on an equity position, this means that participation financing is being practiced.
Answer:
$37,000
Explanation:
The computation of the bad debt expense is shown below:
= Amount estimated as uncollectible + written off amount - credit balance of allowance for bad debts
= $28,000 + $15,000 - $6,000
= $37,000
We simply applied the above formula to determine the bad debt expense. Hence, all other information which is given is not relevant therefore, ignored it
Answer:
No
Explanation:
The trial balance shows the totals of all transactions that have been recorded. It has no way of knowing if there are additional transactions that have not been recorded.
Answer:
Explanation:
1. Some of the operational and behavioral benefits that are generally attributed to a participatory budgeting process are as follows:
a) Utilization of the best knowledge of activities in a specific area, because the participants are close to daily operations.
b) Goals that are more realistic and acceptable.
c) Improved communication and group cohesiveness.
d) A sense of commitment and willingness to be held accountable for the budget.
2. Four deficiencies in Patricia Eklund’s participatory policy for planning and performance evaluation, along with recommendations of how the deficiencies can be corrected:
Deficiencies Recommendations The setting of constraints on fixed expenditures includes uncontrollable fixed costs, thereby mitigating the positive effects of participatory budgeting. Rewards should be based on meeting budget and/or organizational goals or objectives. The arbitrary revision of approved budgets defeats the participatory process. The contingency budget should be separate, over and above each department’s srcinal submission. The division manager holds back a percentage of each budget for discretionary use. Managers should be involved in the revision of budgets. Managers could submit a budget with programs at different levels of funding. Evaluation based on budget performance must be accompanied with intrinsic rewards. Divisional constraints could be at a budget "kick-off meeting;however individual limit of controllable expenses should be set by each manager
