Answer:
<u>(A) When selecting one of two projects, managers should select the project with the higher total expected cash flow.</u>
Explanation:
- When running a business the managers must take into account the type of business entity they are dealing with and also find the projects that deliver maximum returns and give them the maximum benefits.
- The business run by the sole owners must be based on generating a good client base and reducing the cost associated with the company.
- Thus it's essential to select the cash flow with a high amount of growth and lower risks.
Answer:
Gross margin = $166,500
so correct option is C. $166,500
Explanation:
given data
Planned and actual production = 40,000 units
Sales = 37,000 units @ $15 per unit
Production costs
Variable = $4 per unit
Fixed = $260,000
Selling and administrative costs
Variable = $1 per unit
Fixed = $32,000
to find out
gross margin that the company would disclose on an absorption costing income statement
solution
we get here sale that is
Sales = 37000 × $15
sales = $555,000
and
cost of good sold is
cost of good sold is = variable cost per unit + fixed cost per unit
cost of good sold is = 4 + 
cost of good sold is = 10.5
so total cost of god sold = 37000 × $10.5
total cost of god sold = $388500
so Gross margin is here
Gross margin = $555,000 - $388500
Gross margin = $166,500
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Answer:
The answer is option C) Yes No
Explanation:
Current liabilities are obligations that are reasonably expected to be paid from Existing Creation of Other Current Assets and not current liabilities.
This is because, Current liabilities are short term liabilities due within a year. They include accounts payable, short term debt and overdraft. This means that payment can only be generated by current assets.
Current assets are also short term assets with a life span of on year. They include accounts receivable an cash.
Therefore, Yes, Current liabilities are obligations that are reasonably expected to be paid from Existing Creation of Other Current Assets.
And No, Current liabilities are obligations that are not expected to be paid from Existing Creation of Other Current Liabilities.
Answer:
Ending inventory = 64 units
Explanation:
Given:
Ending inventory for period 7 = 89 units
Forecast demand for period 7 = 120 units
Forecast demand for period 8 = 20 units
Customer order for period 8 = 25 units
MPS = 0 units
Computation:
Ending inventory = Ending inventory for last period + MPS - maximum from (Forecast demand for Current period ,Customer order for current period)
Ending inventory = 89 units + 0 - maximum from (20 , 25)
Ending inventory = 89 units -25 units
Ending inventory = 64 units
