Answer:
INCREMENTAL cost allocation method
Explanation:
Incremental cost allocation method is the ranking of individual users of the cost object in such a way that the order of users most responsible for the common cost and then uses its ranking to allocate cost among those users. So they'd be ranked from primary user to first incremental user to second incremental user and so on until the cost have been assigned to all users. It requires one user to be seen as the primary user/party and other users to be seen as incremental user/party.
The marketing plan, which should include <em>specific plans</em> to deal with all opportunities and threats.
Answer:
$25,161.15
Explanation:
The computation of the present value of the cash flows is presented below:
Years Cash flows Discount factor Present value
1 $7,500.00 0.9174311927 $6,880.73
2 $3,000.00 0.8416799933 $2,525.04
3 $9,000.00 0.7721834801 $6,949.65
4 $12,430.00 0.7084252111 $8,805.73
Present value $25,161.15
The discount factor should be computed below
= 1 ÷ (1 + rate)^years
Answer:
24,000 units
Explanation:
Given that
Fixed Cost (mainly Depreciation)= $17,000
Variable Costs = $1.00 per deck
Fixed Cost = $5,000
The computation of operating income is shown below:-
Assume the number of units be x
Option 1
Total costs = $17,000 + x
Option 2
Total costs =$5,000 + $1.5x
So,
$17,000 + x=$5,000 + $1.5x
x × ($1.5 - 1) = ($17,000 - $5,000)
x = $12,000 ÷ $0.5
= 24,000 units
