Answer:
$393,000
Explanation:
The computation of the research and development expense reported is shown below:
= Materials consumed in R&D projects + Consulting fees paid to outsiders for R&D projects + Personnel costs of persons involved in R&D projects + Indirect costs reasonably allocable to R&D projects + depreciation expense
= $59,000 + $100,000 + $128,000 + $50,000 + $56,000
= $393,000
The depreciation expense is computed below:
= (Cost of equipment acquired - salvage value) ÷ (useful life)
= ($280,000 - $0) ÷ (5 years)
= $56,000
D. Both A and B
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Answer:
This indicates that the manager perceives demand to be:_______.
c. unit elastic.
Explanation:
Unit elastic demand describes a demand curve which is perfectly responsive to changes in price. This implies that the quantity supplied or demanded changes according to the same percentage as the change in price. For example, if the manager raises the price of her famous goods by $2.00, the unit elastic demand for that $2.00 increase would result in a decrease in the quantity demanded by one unit.
Answer:
C. subject to review by higher levels of management in order to prevent the budgets from becoming too loose.
Explanation:
Self-imposed budgets typically are subject to review by higher levels of management in order to prevent the budgets from becoming too loose.
Self-imposed budget also known as the participative budget is a type of budget where individuals having responsibility for controlling costs, prepares their own budget estimates and present them to the top level of management for review.
