Answer:
The operating income for the year using absorption costing and variable costing is $45,100 and $49,000 respectively
Explanation:
The computation of the operating income for the year using absorption costing and variable costing is shown below:
Absorption costing:
Sales (320 units × $250) $80,000
Less: Total manufacturing cost (320 units × $85) ($27,200)
Contribution margin $52,800
Less: Selling and Administrative Costs ($7,700)
Net income $45,100
Variable costing:
Sales (320 units × $250) $80,000
Less: Variable cost (320 units × $55) ($17,600)
Contribution margin $62,400
Less: Fixed manufacturing costs (190 units × $30) $5,700
Less: Selling and Administrative Costs ($7,700)
Net income $49,000
The question is incomplete:
Clare, a florist, opened a new store and wanted to purchase a new refrigeration display cabinet for fresh-flower arrangements. She entered into a deal with Alpha Refrigeration Systems for two refrigeration units at $600 each. But, after delivering the units, the salesperson demanded another $100 as delivery charges, which was not mentioned in the deal. Identify the win-lose strategy used by the salesperson.
-Good guy-bad guy routine
-Browbeating
-Red herring
-Trial balloon
-Lowballing
Answer:
-Red herring
Explanation:
-Goog buy-bad guy routine is a strategy in which one person appears to be on your side and when you get to an agreement, this person goes to the bad guy for approval who will renegotiate.
-Browbeating is a strategy in which the buyer tries to affect the saleperson atittude by saying unflattering things.
-Red herring is a strategy in which one of the parties tries to distract the other one from certain isues to get an advantage.
-Trial balloon is an strategy in which one of the parties says something to the other one to get information about its position in the negotiation.
-Lowballing is an strategy in which the buyer makes a really low offer to test the seller.
According to the definitions, the answer is that the win-lose strategy used by the salesperson is red herring because Clara didn't consider the information related to the delivery when purchasing the units as she was probably distracted by other aspects and didn't consider this.
Answer:
The answer is C. Kristin, Lindsey, and Mobile
Explanation:
In partnership, there is no distinct difference between the partners(Kristin and Lindsey) and their firm(Mobile Devise). Any contract either of the partners signs on behalf of Mobile Devise is binding on the partners and their firm.
Also in partnership, their liabilities are unlimited. Whatever loss Mobile devise incurs will be their loss unlike in corporation firms.