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3 years ago

Sunk costs:

Business

1 answer:

Vika [28.1K]3 years ago

8 0

Answer:

The correct answer to the following question is option C) this cost is ignored when evaluating alternatives .

Explanation:

Sunk cost which is also know as retrospective cost, where it can be described as a cost that business has already incurred and this cost cannot be recovered . These cost are usually ignored when decisions regarding future business are being taken , the reason behind this that the business will have to incurred this cost and it will remain the same no matter what decision is being taken .

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In 2009, the worst recession in 80 years hit the United States, generally reducing household incomes. Despite this, profits and

Lelu [443]

Answer:

These stores sell inferior goods and services.

Explanation:

An inferior good or service is a good or service whose demand decreases as the income of their consumers increases, i.e. if the consumers are earning more money, they will consume less of them.

On the other hand, when their consumers' income decreases, their demand increases.

Both McDonald's and Dollar General are business that sell cheap goods and services, so when the financial crisis decrease American households' incomes, they more people purchased their goods and services.

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3 years ago

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Flynn Industries has three activity cost pools and two products. It expects to produce 2,200 units of Product BC113 and 1,430 of

netineya [11]

Answer:

Results are below.

Explanation:

First, we need to calculate the allocation rate:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Machine setup= 19,608 / 38= $516 per set up

Machining= 123,650 / 4,945= $25 per machine hour

Packing= 33,530 / 479= $70 per order

Now, we can allocate to each product:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Product BC113:

Machine setup= 516*21= $10,836

Machining= 25*1,122= $28,050

Packing= 70*192= $13,440

Total= $52,326

Product AD908:

Machine setup= 516*17= $8,772

Machining= 25*3,824= $95,600

Packing= 70*287= $20,090

Total= $124,462

Finally, the unitary cost:

Product BC113= 52,326 / 2,200= $28,79

Product AD908= 124,462 / 1,430= $87.04

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3 years ago

Lifeworks is a nongovernment not-for-profit organization that recently received a large gift from a donor in the amount of $3,00

blagie [28]

Answer:

Explanation:

The net assets would increase. This is because the $100,000 earnings from investments are additional cash inflows hence an increase in current assets. For the $3,000,000 if invested, it will be considered an asset. It is a cash donation invested to generate earnings for the non-profit organization. Thus, these two instances add onto the net asset value of Lifeworks.

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3 years ago

A company uses a perpetual inventory system. The company began its fiscal year with inventory of $998,000. Purchases of merchand

Kitty [74]

Answer:

Date Account Titles and Explanation Debit Credit

Inventory $3,124,089

Account payable $3,124,089

(To record purchase of merchandise inventory)

Account receivables $6,909,879

Sales revenues $6,909,879

(To record sales on account)

Cost of goods sold $3,456,980

Inventory $3,456,980

(To record the cost of sales)

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4 years ago

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Marianna [84]

If you write a check that doesn't balance out

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3 years ago

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