Answer:
The average total cost of production will decrease.
Explanation:
Average total costs consists of total fixed cost plus the total variable cost divided by the number of output/unit produced.
Now, since the fixed cost is fixed and doesn't change due to the change in output, the fixed cost per unit or the average fixed cost will decrease when the output will increase. Hence, resulting in the decrease of the average total cost of production.
I hope I cleared your concept above.
Best of luck and Good luck.
The answer is D the indirect strategy does not allow a set order of ideas
Answer:
Profit and loss are directly linked to the amount of money the company is spending to run its business -- its operating expenses. So changes in operating expenses naturally affect owner's equity.
Answer:
The answer is $330,000
Explanation:
Cash paid to suppliers is the total amount of cash paid to its creditors.
We can find that through:
Cost of sold
Minus: Decrease in inventory
Plus: Decrease in accounts payable
=Cash paid to suppliers.
Now let's start:
Cost of sold - $450,000
Decrease in inventory - $160,000
Decrease in accounts payable- $40,000
$450,000 - $160,000 + $40,000
=$330,000
Therefore, Cash paid to suppliers is $330,000
