1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
vodomira [7]
3 years ago
6

When making business changes in the short run, management sometimes gets locked in to certain costs arising from previous decisi

ons. This is type of cost is best known as:_______.
a. controllable.
b. differential.
c. uncontrollable.
d. sunk.
Business
1 answer:
Jlenok [28]3 years ago
3 0

Answer: This is the type of cost known as Sunk.

  • sunk cost is a cost that has already been incurred and cannot be recovered. Sunk costs are contrasted with prospective costs, which are future costs that may be avoided if action is taken.

  • A sunk cost refers to money that has already been spent and which cannot be recovered. ... Sunk costs are excluded from future business decisions because the cost will remain the same regardless of the outcome of a decision.

  • The sunk cost effect is manifested in a greater tendency to continue an endeavor once an investment in money, effort, or time has been made. Evidence that the psychological justification for this behavior is predicated on the desire not to appear wasteful is presented.

You might be interested in
What will be the nominal rate of return on a perpetual preferred stock with a $100 par value, a stated dividend of 8% of par, an
Marrrta [24]

Answer:

a. 13.33%

b. 10%

c. 8%

d. 5.71%

Explanation:

The computation of nominal rate of return is given below:-

Rate of return = Dividend ÷ Current market price

For the first case

= $8 ÷ $60  

= 13.33%

For the second case

= $8 ÷ $80

= 10%

For the third case

= $8 ÷ $100

= 8%

For the fourth case

= $8 ÷ $140

= 5.71%

Note :- To get $8 you need to multiply by $100 by the 8%

8 0
3 years ago
Here are the 2015 revenues for the Wendover Group Practice Association for four different budgets (in thousands of dollars):
erastova [34]

Answer: The answer is provided below

Explanation:

a). The revenue here shows that

Wendover's patients were capitated. The is because the actual revenue figures were assumed to be $180, but it

later came to $300 which means that the revenue increased.

The reason is that a capitated patient provides fixed payment a year, while a fee for service client pays per usage. With this explanation, it can be concluded that majority of Wendover's patients are fee for service because the difference between static results and the actual results is very high.

) 1. Revenue variance

= Actual Revenues - Static budget

= $ 300 - $ 425

= - $125

2. Volume variance

= Flexible Revenue - Static Budget

= $ 200 - $ 425

= - $ 225

3. Price Variance

= Actual Revenues - Flexible Revenues

=$300 - $200

= $100

4. Enrollment variance

= Flexible Revenues - Static Budget

= $ 180 - $ 425

= - $ 245

5. Utilization variance

= Flexible Revenue- Flexible Budget

= $ 200 - $ 180

= $ 20

8 0
3 years ago
Read 2 more answers
Identify the impact on the accounting equation of the following transactions. 1. Purchased 36-month insurance policy for cash. 2
Y_Kistochka [10]

Answer:

Insurance reduces one asset and increases another

Purchase of supplies on account increases liabilities and increases asset

Receipt of unpaid utility bill increases liability and reduces capital

Payment of accrued utility bill reduces asset as well as liability

Explanation:

The purchase of 36-month insurance brings about increase in asset,insurance prepayment  and reduction in another asset,cash.

The purchase of supplies on account brings about increase in liability,accrued liabilities or other accounts payable as well as increase in asset,inventory of supplies.

The receipt of utility bill yet to be paid,increases liability,accrued expenses and reduces capital,since an increase in expenses reduces retained earnings which is an integral part of capital

Payment of utility reduces asset,cash and at the same time reduces liability,accrued expenses

7 0
3 years ago
One of the potential benefits to a firm of introducing new-to-the-world products or services is Multiple Choice cost savings. th
Assoli18 [71]

The best answer to this question is the unlisted option of <u>d) establishment </u><u>of a </u><u>completely new market.</u>

<h3>Benefits of introducing products to market</h3>
  • A chance to build a new market that buys the good you sell.
  • A chance to build strong brand loyalty to the new type of products introduced.

Being the first to bring a product to market is therefore very advantageous as it puts one in the dominant market position in a new market thereby guaranteeing profit.

In conclusion, option d is correct.

Find out more on new products at brainly.com/question/25181857.

7 0
3 years ago
China and the United States account for nearly half the increase in world oil demand.. True. False
Simora [160]
It is True that China and the United States account for the nearly half the increase in the world oil demand. 
6 0
3 years ago
Read 2 more answers
Other questions:
  • Porter Veterinary Services recently purchased several new stock trailers for their equine and bovine clients. The stock trailers
    14·1 answer
  • Madison Company issued an interest-bearing note payable with a face amount of $24,000 and a stated interest rate of 8% to the Me
    12·1 answer
  • Why shouldn’t applicants to job openings send their cover letter as an attachment in an e-mail? When would it be acceptable to s
    5·1 answer
  • If the government sets out to make home buying easier for more people by forcing lenders to accept ____________ down payments an
    10·1 answer
  • Gilbert notices that his sausage is sliced into six pieces, whereas his brother's is sliced into nine pieces. he understands, ho
    14·1 answer
  • Robyn Company produces and sells automobile batteries. The sales forecast for 2019 is as​ follows:
    10·1 answer
  • To find out which ads and other marketing strategies are working, many companies ask customers how they _____ about the company
    8·1 answer
  • QUESTION 7 of 10: Which is NOT a use for market research?
    5·1 answer
  • if a business purchases items to sell during the year, the cost of any items that are not used or consumed are reflected
    11·1 answer
  • Categorize each item below as a component of Gross Domestic Product (GDP): consumption, investment, government purchases, or net
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!