Available Options:
a) The budget helps motivate employees to achieve sales growth and cost-reduction goals.
b) The budget provides managers with a benchmark against which to compare actual results for performance evaluation.
c) The planning required to develop the budget helps managers foresee and avoid potential problems before they occur.
d) All of the above.
Answer:
Option D. All of the above.
Explanation:
The reason is that when budgets are set every personnel in the organization is given a task along with the restriction on the use of excessive resources of the company by generating a standard number of output, which is benefitial to the company and the managers as well.
Furthermore, standard costs are used in budgeting to estimate the costs of the operations of the company which means that the standard cost would be used for actual units to compare the actual results to make meaningful conclusions.
At the end, the main benefit of the budgeting is that it highlights the potential issues in the operating systems of the organization which must be corrected to avoid the same advers outcome in the future.
So all of the statements are correct.
Answer and Explanation:
Given:
Total car = 200
Rate = $29
Computation:
Total increase in rate = a
So , Total decrees in car = 5a
Total income (y) = [200-5a][29+a]
y = 5,800 + 200a - 145a - 5a²
y = 5,800 + 55a - 5a²
y' = dy / da [5,800 + 55a - 5a²]
y' = -10a + 55
in which , y' = 0
0 = -10a + 55
a = 5.5
So , Maximum rate = $ [29+5.5]
Maximum rate = $34.5
maximum income = 5,800 + 55(5.5)- 5(5.5)²
maximum income = 5,800 + 302.5 - 151.25
maximum income = $5951.25
Answer:
As the $3,000 is unrecaptured losses, it will be carried forward to this year and would be set off against the current year's capital gains.
Explanation:
The previous year unrecaptured loss of $3000 will carried forward and would be set off against the capital gains of $12,000. The gain for the year can be calculated as under:
Capital Gain for the year = Gain Before unrecaptured losses - Carried Forward Losses
By putting values, we have:
Capital Gain for the year = $12,000 - $3,000 = $9,000
The resultant $9,000 would be the capital gain for the year.
Answer and Explanation:
The computation is shown below:
The Price level in the normal case
= Money supply ÷ Real GDP × Velocity
= $6,000 ÷ 10,000 units × $5
= $3
Now in the case when the money supply doubled i.e $12,000
So, the price level is
= Money supply ÷ Real GDP × Velocity
= $12,000 ÷ 10,000 units × $5
= $6
When the money supply doubles, the price level is also doubled that indicated the direct relationship between the price level and money supply