Answer:
The company pays $ 500 yearly fee to use Mega Tax Software which is record as fixed costs. Fixed costs do not differ with the variation in the manufacturing levels. Conversely, the fixed cost per unit declines as manufacturing increases, as the same fixed costs are extent over more units. Also the fixed costs per unit rises as the production decreases. Therefore when the production level increased from 300 units to 500 units, the fixed costs per unit reduced and since the variable cost per unit is the same at $ 10 per unit regardless of the levels of production, the total cost per return declines from $ 11.67 to $ 11.
Answer:
The correct answer is letter "B": the excess of sales revenue over variable cost.
Explanation:
In its most simple form, contribution margin is calculated by subtracting variable costs and expenses from revenues. Contribution margin represents a part of the company's revenues that are not allocated for variable cost. Thus, that portion is used to pay the firm's fixed costs. Contribution margin is low usually for <em>labor-intensive</em> entities while <em>capital-intensive</em> companies tend to have a higher contribution margin.
Answer:
The right solution is Option C "$4,000".
Explanation:
The given values are:
Breakdown cost,
= $3,000
Per week cost of preventive maintenance,
= $1,000
Breakdown per week,
= 1
Now,
The cost per week will be:
=
On substituting the values, we get
=
= ($)
Answer:
C. a debit to Bad Debts Expense account
Explanation:
using the direct write-off method, we do not use the allowance. At write-off we recognize the directly the bad debt expense and decrease the accounts receivable.
Is important to notice that the direct method violates the accounting matching principles as, it recognize an expense based on events which occured at prior periods
Answer:
State court in either Montana or Kansas
Explanation:
Since in the question it is mentioned that Ralph who is the owner of resturant is suing to the supplier for breach of the contract as watkins refuse to pay the amount of $20,000
So here the watlkins would properly file the suit to the state court either in the Montana or Kansas
So the above represent the answer