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3 years ago

"when the number of units produced exceeds the number of units sold, net income under absorption costing will be:"

Business

1 answer:

r-ruslan [8.4K]3 years ago

5 0

Answer:

The answer is that the net income under absorption costing would be higher than the net income under variable costing.

Explanation:

Absorption costing and variable costing are terms used in accounting contexts. Absorption costing, also known as full costing, incurs overhead costs when the product is sold; not before it. Variable costing, also referred to as direct costing, would include overhead costs during the period the costs occurred. In this condition, net income would be higher using absorption since overhead costs would not be included until the product is sold.

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Which of these approaches will NOT accelerate the completion of a project? Group of answer choices Increase the bureaucratic ove

kogti [31]

Answer:

The correct answer is letter "A": Increase the bureaucratic oversight.

Explanation:

Bureaucratic entities have a well-structured hierarchy that must be respected by all employees. Workers have to transmit information from one unit to the next department in the hierarchy and the process is repeated until the message is received by a representative with decision-making who is a manager.

<em>Bureaucratic organizations processes are slow due to centralized decision-making. In an attempt to accelerate the completion of a project the bureaucratic schemed must be avoided. Increasing resource productivity, the working method or adding more employees and machinery to a project is beneficial to expedite its completion.</em>

8 0

3 years ago

What is the yield to maturity of a nineminusyear bond that pays a coupon rate of 20% per year, has a $1,000 par value, and i

snow_lady [41]

Answer:

12.28%

Explanation:

In this question, we use the Rate formula which is shown in the spreadsheet.

The NPER represents the time period.

Given that,

Present value = $1,407

Future value or Face value = $1,000

PMT = $1,000 × 20% = $200

NPER = 9 years

The formula is shown below:

= Rate(NPER;PMT;-PV;FV;type)

The present value come in negative

So, after solving this, the answer would be 12.28%

8 0

3 years ago

Consider three investment plans at an annual rate of 9.38%.

PolarNik [594]

Answer:

Investor A = $545216 .

Investor B = $352377

Investor C = $897594

Explanation:

Annual rate ( r ) = 9.38%

N = 41 years

<u> Calculate the balance at age of 65</u>

1) For Investor A

balance at the end of 10 years

= $2000 (FIA, 9.38 %, 10) (1 + 0.0938) ≈ $33845

Hence at the end of 65 years ( balance )

= $33845 (FIP, 9.38 %, 31) ≈ $545216 .

2) For investor B

at the age of 65 years ( balance )

= $2000 (FIP, 9.38%, 31) = $322159 x (1 + 0.0938) ≈ $352377

3) For Investor C

at the age of 65 years ( balance )

= $2000 (FIP, 9.38%, 41) = $820620 x (1 + 0.0938) ≈ $897594

7 0

3 years ago

Beasley Company currently sells its products for $30 per unit. Management is contemplating a 10% increase in the selling price

Ray Of Light [21]

Answer:

Explanation:

Selling price per unit (next year) = 30 + 10 % of 30 = $33

Variable cost per unit (next year) = 30 * 40 % = $12

Contribution per unit (next year) = Selling price per unit (next year) - Variable cost per unit (next year) = 33 - 12 = $21

Fixed expenses = $68,250

Break even point (in units) = Fixed expenses / Contribution per unit.

Break even point (in units) = 68,250 / 21 = $3,250

7 0

3 years ago

During the year, Belyk Paving Co. had sales of $2,560,000. Cost of goods sold, administrative and selling expenses, and deprecia

scoundrel [369]

Answer:

Net income -$268,000

Operating Cash Flow $511,000

Explanation:

A. Calculation for the Net income

INCOME STATEMENT

Sales $2,560,000

Cost of goods sold $1,364,000

Other expenses $685,000

Depreciation $477,000

EBIT $34,000

Interest $302,000

Taxable income -$ 268,000

($34,000-$302,000)

Taxes (24%) 0

Net income -$268,000

CALCULATION FOR EBIT

Sales $2,560,000

LESS:Cost of goods sold ($1,364,000)

Other expenses ($685,000)

Depreciation ($477,000)

EBIT $34,000

Based on the information given we were told that we should ignore any tax loss which was why Taxes (24%) was $0

The taxes are zero since we are ignoring any carryback or carryforward provisions.

Therefore NET INCOME is -$268,000

B. Calculation for operating cash flow

Using this formula

Operating Cash Flow = EBIT + Depreciation - Taxes

Let plug in the formula

Operating Cash Flow= $34,000 + $477,000 - 0

Operating Cash Flow = $511,000

Therefore Operating Cash Flow is $511,000

3 0

3 years ago