risk
reward
risk
risk
reward
risk
risk
reward
(hopefully these are right, I just started Business studies)
Answer:
Option 1 is wrong because in the case of multi-product, breakeven is weighted average which means the sales price will weighted average of sale prices of all the multi-products in the sales mix. If we change the weightings the weighted average costs and selling prices changes and so the contribution changes.
Option 2 is also sligthly wrong because Contribution margin per composite unit decreases if the volume of low contribution margin products increases in the sales mix. This means:
Breakeven Point=Fixed Cost/ Contribution per unit.........equartion 1
If the contribution per unit has been decreased the breakeven will rise.
Its impact depends upon the portfolio of products company is managing. It means it increases breakeven with high effects if the products in sales mix 2 to 3.
Option 3 is 100% right because equation 1 is
Breakeven Point=Fixed Cost/ Contribution per unit
Which says
If the contribution per unit has been decreased the breakeven will rise.
Option 4 is absolutely wrong because if we shift to higher volume in low contribution margin products, Contribution margin per composite unit decreases if the volume of low contribution margin products increases
which means Weighted average contribution has been decreased and as a result breakeven point according to equation 1 has been incresed.
Answer:
Operation costing
Explanation:
Operating costing is the combination of the job costing and the process costing. In this the cost are received for each and every operation rather for each and every process
Since in the given situation it is mentioned that they need some outside services like legal services etc so here the costing system that used for the loan department is operation costing
Answer: Oncologist
Explanation: An oncologist is a doctor that has specialized his skills in cancer treatment. Oncology has three major branches in it medical, surgical and radiation.
An oncologist also specializes in diseases like anemia, hemophilia, sickle cell disease, lymphoma and leukemia.
Hence, the correct answer to the given problem is oncologist.
Answer:
A) $6,745.20
Explanation:
The total warrant liability should equal to the number of units sold times the estimated warranty repairs per unit = 2,044 units sold x $11 per unit = $22,484
Current year's warranty expenses = total warranty liability x 30% = $6,745.20
Research company must debit $6,745.20 to the warranty expense account (which is included in the income statement).
