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4 years ago

The basic cost flow model applies only to physical units and not to costs. Group of answer choices True False

Business

2 answers:

MrRa [10]4 years ago

8 0

Answer:

The statement is: False.

Explanation:

Cost flows refer to the forms costs flow in an out a company. The cost flow model is used to compare perpetual and physical inventory and is calculated by taking the balance of the firm at the beginning of the year adding the transfers that flow in and subtracting all the transfers flowing out the company. The result will be the ending cost flow balance.

Eddi Din [679]4 years ago

3 0

Answer:

False

Explanation:

The basic cost flow model is used for inventory, and the formula is:

(Starting balance)+(Incoming Cost)-(Outgoing cost) = Ending balance

Starting balance = represents cost of resources that have been used so far.

Incoming cost = represents cost from previous periods.

Outgoing cost = represents cost attributed to goods ready for sale.

Ending balance = is the cost at the end of period under consideration.

So as can be seen in the formula, basic cost flow also involves costs. So the statement is False

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What are some of the advantages and disadvantages of a) individuals as innovators, b) firms as innovators, c) universities as in

ch4aika [34]

Answer:

a. Individuals as innovators

Advantages

1. Individuals have no limits (no hard rules) as to whom they can sell their innovation to.

2. An individual can be able lead a successful career with their innovation is any company

Disadvantages

1. Capital is a major limit for most individuals who may not be able to market their innovations.

2. Lack of Knowledge in Patenting innovation ideas have led to most individuals losing their innovation to others.

b. firms as innovators

Advantages

1. Successful innovation can help a firm improve its processes and increase its revenues.

2. Innovation in a unique product can often lead a firm to monopoly as the product becomes a necessity

Disadvantages

1. Firms have more rivalry such that others can copy the innovation or produce another close substitute which can render all efforts to a loss.

2.It takes so much time for the innovation to be approved in a firm as some structures of authority have to be followed and also depending on the culture of the firm towards innovation.

c. universities as innovators

Advantages

1. Universities are better able to raise capital through the Research Funds granted to them by stakeholders.

2. Innovation increases a University`s reputation and improves it rankings.

Disadvantages

1. High dependence on government agencies for funding by Universities means Innovation successes are easily affected by the fiscus.

2. Universities are not effective at marketing Innovations on their own.

d. government institutions as innovators

Advantages

1. The government can increase revenue by improving processes and cutting costs.

2. Innovation can improve transparency and help improve governance and administration.

Disadvantages

1. Adoption of innovation is usually slow as it has to pass so much bureaucracy.

2. Most personnel prefer working in private institutions hence the personnel to drive innovation in governments may be unavailable or inadequate

e. nonprofit organizations as innovators

Advantages

1. There is so much option for funding of innovations ranging from Individuals, Companies and Government

2. Most innovations are driven by Human Need hence their increased success.

Disadvantages

1. The innovation may not be able to generate the revenue to cover the costs.

2. The organizations are usually lacking personal's to drive innovations as people prefer to be paid more for their work.

Explanation:

Innovation is defined as the creation, development and implementation of a new product, process or service. The aim of innovation is to improve efficiency, effectiveness or competitive advantage. Innovation presents advantages and disadvantages to various players as listed above.

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3 years ago

The ability to perform more than one complex encoding tasks simultaneously demonstrates the importance of

lys-0071 [83]

The ability to perform more than one complex encoding tasks simultaneously demonstrates the importance of automatic processing. Automatic processing does not require attention to be paid and deliberately to be put in effort. Something that is done without giving it any thought is automatic processing.

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3 years ago

Read 2 more answers

Todrick Company is a merchandiser that reported the following information based on 1,000 units sold: Sales $ 405,000 Beginning m

skelet666 [1.2K]

Missing information:

Fixed administrative expense $ 16,200 Variable selling expense $ 20,250 Variable administrative expense $ ? Contribution margin $ 81,000 Net operating income $ 24,300

1. Prepare a contribution format income statement.

2. Prepare a traditional format income statement.

3. Calculate the selling price per unit.

4. Calculate the variable cost per unit.

5. Calculate the contribution margin per unit.

Answer:

First we must determine cost of goods sold = $27,000 + $270,000 - $13,500 = $283,500

now we must find total variable costs = total sales - contribution margin = $405,00 - $81,000 = $324,000

variable administrative expenses = total variable costs - COGS - variable selling expense = $324,000 - $283,500 - $20,250 = $20,250

1. Prepare a contribution format income statement.

Total sales $405,000

Cost of goods sold $283,500

Gross contribution margin $121,500

Variable selling expense $20,250

Variable adm. expense $20,250

Contribution margin $81,000

Fixed period expenses:

Fixed selling expense $40,500
Fixed administrative expense $16,200

Net operating income $24,300

2. Prepare a traditional format income statement.

Total sales $405,000

Cost of goods sold $283,500

Gross profit $121,500

Operating expenses:

Selling expenses $60,750

Adm. expenses $36,450

Net operating income $24,300

3. Calculate the selling price per unit.

$405

4. Calculate the variable cost per unit.

$324

5. Calculate the contribution margin per unit.

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4 years ago

Riverboat Adventures pays $450,000 plus $5,000 in closing costs to buy out a competitor. The real estate consists of land apprai

kkurt [141]

Answer:

$150,150

Explanation:

Total fair value of all assets:

= Land + Building + Paddleboats

= $67,200 + $158,400 + $254,400

= $480,000

Building accounted for:

= Fair value of building ÷ Total fair value

= $158,400 ÷ $480,000

= 33%

Therefore, the building is 33% of the total fair value of assets.

Cost of acquisition of assets:

= Amount paid + Closing cost to buy out a competitor

= 450,000 + 5,000

= $455,000

Cost to be allocated to the building:

= Cost of acquisition of assets × Percent share in total fair value

= $455,000 × 33%

= $150,150

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3 years ago

In 2020, Simon, age 12, has interest income of $7,980 from funds he inherited from his grandmother and no earned income. He has

Digiron [165]

A—he has no unearned income

B—$82,250

C—I think $7,980
Because I done see his total tax

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3 years ago