Answer:
the United States Congress
Explanation:
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Since the units can be produced within existing plant capacity, the special order will not increase fixed costs. Let’s identify the relevant data for the decision. First, the variable
manufacturing costs will increase $30000 (15000×2). Second, the expected revenue will increase $37500 (15000×2.5). Thus, will increase its net income by $7500 (37500-30000) by accepting this special order.
Common between optimization using total value and optimization using marginal analysis is:
Both techniques require the conversion of all costs and benefits into a common unit of measurement.
What is the principle of optimization at the margin?
The Principle of Optimization at the Margin states that an optimal feasible alternative has the property that moving to it makes you better off and moving away from it makes you worse off.
Optimization using total value:
calculates the change in net benefits when switching from one. alternative to another.
optimization using marginal analysis:
calculates the net benefits of. different alternatives.
Total Value analysis :
has a wide range of applications. The analysis can be used to assess an organization's key impacts, or provide more detailed information such as an assessment of the life cycle impacts of a product.
marginal analysis:
is an examination of the additional benefits of an activity compared to the additional costs incurred by that same activity. Companies use marginal analysis as a decision-making tool to help them maximize their potential profits.
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An Activity-based system uses numerous overhead cost pools.
<h3>What is activity-based costing?</h3>
Activity based costing is a method of costing that is used in accounting to apportion costs to a good or service produced. It believes that manufacturing requires the use of resources which require activities and so these activities can be given costs.
To give these activities costs, there is a need to use overhead cost pools which is why activity-based systems use several overhead cost pools.
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Answer: B2B ( Business to business)
Explanation:
The Business to business (B2B) is one of the marketing process in which the products are promoted to the other organization or any business by using the various types of business operations or functions.
The business to business marketing plays an important role as it allow various types of organization for expanding the business in the market.
According to the given question, the ABC auto supply is one of the firm that are basically using the E commerce software that allow the users or consumers for ordering their auto parts.
Therefore, The ABC company is basically follows the B2B business model.
