1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Dimas [21]
3 years ago
12

Which of the following are true about cost allocation? A. Cost allocation is a form of transfer pricing for indirect costs B. Co

st allocation is an internal tax on services C. Cost allocation distorts choices that managers would make otherwise D. Cost allocation should be imposed when marginal cost exceeds average cost of an internal resource E. All of the above
Business
1 answer:
zhannawk [14.2K]3 years ago
6 0

Answer:

E. All of the above

Explanation:

all of the given options qualify as being true about cost allocation.

You might be interested in
Which of the following is a con of buying a franchise?
kipiarov [429]

Answer:

A con of buying a franchise is limited business control and creativity.

Explanation:

A franchise is an authority by a company or government to an individual or groups of people to enable them to conduct specified business activities. It is a kind of license to utilize and have access to specific knowledge about a company or organization. The entity that can purchase the franchise at a certain cost depending on the value of the franchise, in return he/she gets a license to use the franchise within the threshold of the licensing agreement.

Purchasing a franchise has it's advantages and disadvantages.One major advantage is; since buying a franchise involves buying the right to use a company's name, this is beneficial since there is a ready-made business operation. On the other hand, franchise has also a disadvantage. The major disadvantage of buying a franchise is that there is no business control since one has limited creativity with the product. The franchise always has a certain in built brand, limiting the ability of the person buying the franchise to be creative with adding or taking from the franchise.

8 0
3 years ago
The Outlet Mall has a cost of equity of 16.8%, a pretax cost of debt of 8.1%, and a return on assets of 14.5%. Ignore taxes. Wha
krok68 [10]

Answer:

0.36

Explanation:

Cost of equity of 16.8%,

Pretax cost of debt of 8.1%

Return on assets of 14.5%

As per NN proposition: Cost of equity = Return on asset + D/E ratio (Return on asset-Cost of debt)

0.168 = 0.145 + D/E (0.145 - 0.082)

0.168 - 0.145 = D/E (0.064)

0.023 =  D/E (0.064)

D/E = 0.023/0.064

D/E = 0.359375

D/E = 0.36

Thus, the debt-equity ratio is 0.36

8 0
2 years ago
Federal Bank of America has loaned $9,000 to Southgate Animal Hospital, using a 90-day non-interest-bearing note. The bank disco
eduard

Answer: $180

Explanation:

From the question, Federal Bank of America has loaned $9,000 to Southgate Animal Hospital, using a 90-day non-interest-bearing note. The bank discounted the note at 8%.

Therefore, the debit to Discount on Notes Payable in the general journal will be:

= $9,000 × 8% × 90/360

= $9,000 × 8/100 × 1/4

= $9,000 × 0.08 × 0.25

= $180

The correct answer is $180

It should be noted that we used 360 days for a year.

7 0
3 years ago
When Kim and Liam move from spending 30 minutes of each hour producing pies and 30 minutes producing cakes to specializing in th
Novay_Z [31]

Answer:

A) 30 pies and 100 cakes.

Explanation:

Kim can produce 40 pies or 400 cakes an hour. Liam can produce 100 pies or 200 cakes an hour.

Since each one will specialize in the production of the good in which they have a comparative advantage, Kim will produce cakes and Liam will produce pies.

before specialization Kim produced 20 pies and 200 cakes, while Liam produced 50 pies and 100 cakes.

So the total gains from trade are:

  • 50 pies - 20 pies = 30 pies
  • 200 cakes - 100 cakes = 100 cakes
8 0
3 years ago
Childress Company produces three products, K1, S5, and G9. Each product uses the same type of direct material. K1 uses 3.1 pound
photoshop1234 [79]

Answer:

Contribution margin per pound

K1  - $16.90

S5 - $8.60

G9  - $10.40

Explanation:

Both sales and variable cost are dependent on the number of units sold.

The sales less the variable cost gives the contribution margin. The contribution margin less the fixed cost gives the net operating income.

The contribution margin per pound for each of the three products is the ratio of the contribution margin per unit of a product to the number of pounds required per unit of that product.

                                           K1                  S5                        G9

Selling price                      $147.39        $112.64                 $215.56

Variable costs                     $95.00       $92.00                 $149.00

Contribution margin            $52.39       $20.64                 $66.56

Pounds per unit                       3.1                2.4                       6.4

Contribution margin/pound  $16.90       $8.60                   $10.40

7 0
3 years ago
Other questions:
  • Carol was preparing for the next employee appraisal at her company. She already had her work accomplishments documented and read
    6·2 answers
  • QuickBooks Online offers many solutions for categorizing financial transactions. The most common categories used are Chart of Ac
    12·1 answer
  • Which type of electronic meeting held between people at two or more locations combines audio and video transmission?
    5·1 answer
  • TB MC Qu. 6-70 Awtis Corporation has a margin of ... Awtis Corporation has a margin of safety percentage of 25% based on its act
    14·1 answer
  • Carol is in charge of a meeting to decide what the company should do about the new sales people who don't know how to follow-up
    10·1 answer
  • Wells Technical Institute (WTI), a school owned by Tristana Wells, provides training to individuals who pay tuition directly to
    9·1 answer
  • If Japan uses a certain amount of resources to produced cars, then it cannot use these sames resources to produce corn. The fore
    11·1 answer
  • Your friend Sam has been asked to prepare appetizers for a university reception during homecoming weekend. She has an unlimited
    7·1 answer
  • Full from of WAN ........
    8·1 answer
  • All of the following are defined as "institutional buyers" under the Uniform Securities Act EXCEPT:________a. banksb. insurance
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!