Answer:
$11
Explanation:
Find the incremental effect on net income of assembling the bikes as follows :
<u>Incremental analysis for assembling the bikes per unit</u>
Sales ( $300 - $240) $60
Less incremental costs :
Variable costs ($18)
Fixed production costs ($31)
Incremental Income/(loss) $11
<u>Conclusion</u>
Thus Liberty will increase its net income per unit by $11 if it opts to assemble the bikes.
a. that expenses be ignored if their effect on the financial statements is unimportant to users' business decisions.
Matching principle is where expenses are said to be reported accordingly within a certain period.
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Answer:
An effective price ceiling on coffee would cause the demand curve for lemons to shift to the left.
Explanation:
An effective price ceiling results in lower prices, increased demand, and shortages. Since tea and lemons are complement, a decrease in the price of coffee (substitute of tea) would result in a decrease in the demand for lemons (complement of tea). This means that the demand curve for lemons will shift to the left.
The future amount in the account (Roth IRA) is equal to: D. $180,488. 86.
<u>Given the following data:</u>
To determine the future amount in the account:
Mathematically, the compound interest for this Roth IRA is given by the formula:
<u>Where:</u>
- t is the number of years.
Substituting the given parameters into the formula, we have;
A = $180,488.86
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Answer:
Explanation:
Identifiable costs by definition are expenses that can be identified directly with a specific facility, activity or function. Operating budgets deal with short term expenses and expenses to be incurred in the next one year. Therefore, in regard to operating budget, identifiable costs may generally include cost of inventory, cost of fixed assets like land and equipment, supporting group and the direct care group wages.
