Answer and Explanation:
c. If direct labor cost is the cost driver, direct labor and manufacturing overhead may be combined into the single element of conversion cost.
Answer:
a) Disclose in the notes
b) no Disclosure
c) Record a liability
Explanation:
There are three scenarios to be considered
1) It is reasonably possible that Huprey will lose a pending lawsuit. The loss cannot be estimable
First, premise is that Huprey Co. is facing a lawsuit and the possibility of a loss is most possible. If Huprey Co is able to recognize the amount of loss, then he would have been able to record a liability but the inability to estimate the loss means, the company can o<u>nly make appropriate disclosure in notes</u>
2)Huprey is being used for damages of $2 million. It is very unlikely (remote) that Huprey will lose the case.
This second premise is also a lawsuit on damages for $2 million, however, it is most reasonably acceptable that Huprey will win the lawsuit. As such there is no loss, that way there will be no disclosure in Huprey Co's books.
3. Huprey can reasonably estimate that a pending lawsuit will result in damages of $1.25 million, it is probable that Huprey will lose the case.
The probability of losing a case means that there will be a loss to be recorded in the books and since the damages are already estimable to be $1.25 million. Huprey Co should record a liability
Answer: Scale Economies
Explanation:
Scale Economies or Economies of scale refers to a situation whereby a company stands to save more on costs if it produces more goods and services. The more they produce, the more they save.
Riverside Ranger logo T-shirts take $15,000 to set up and that is a set cost.
After that, it will cost $5,000 to make every 1,000 units per design.
The Marginal cost = 5,000/1,000 = $5
Total Cost is the initial cost + the marginal cost per unit.
Total Cost = $15,000 + 5Q
Average Cost =
<em>Therefore as Quantity increases, Average cost will decrease showing Scale Economies. </em>
Answer:
5th Nov is the latest date don could submit a event request.
Explanation:
- The marketing and sales event can both be organized at the health care. These events can be planned no less than 7 days of the colander before the day of the event. These event can e both formal and informal.
A general agreement.
Hope I helped!