Answer: $1,200,000
Explanation:
The firm should include $1,200,000 as the cost of the Manufacturing facility for a new project in it's analysis.
This is because $1,200,000 is the opportunity cost of not selling the facility. The old costs that were incurred for the land and the facility are to be considered sunk costs as they have already been incurred and the only relevant cost now is what the market will pay for the facility which is $1,200,000.
Answer:
C. Increasing efficiency by allowing for greater specialization
Explanation:
A free economy is one where the forces of demand and supply determine production and consumption. The government or the central authority does not interfere with economic activities in a free economy.
In a free economy, the factors of production are held by the private sector. There is increased business competition as entrepreneurs have the freedom to open a business of their choice. Buyers have the liberty to buy from their preferred suppliers. Businesses are profit-motivated, which forces entrepreneurs to be creative and innovative to win customers and make more sales. They have to specialize and increase their efficiency to be more competitive.
This kind of reasoning is said to be DEDUCTIVE REASONING.
Deductive reasoning is the process of reasoning based on multiple premises that are generally believed to be true. Deductive reasoning usually moves from the general to the specific. For instance, in the question given above, Jason reasoned that if other products are sold at discounted prices, then the items that are newly available will also be sold at discounted prices.
Answer:
correct option is b. job-order cost sheet
Explanation:
A job order cost sheet is subsidiary to work in process
because job-order cost sheet are the documents that is use for record the manufacture cost.
and all necessary and important detail of cost & job is written in job cost sheet
and it is also accounting record of the company
so here given that primary document for accumulate all cost related to a particular task
so correct option is b. job-order cost sheet
