Answer:
True. It is called Impulse purchase.
an impulse purchase is made when the consumer has no need for the product or service yet he or she purchase it as a result of a quick decision, usually triggered by the marketing strategies employed by the organizations.
Impulsive purchasing behaviour can have negative impacts on the consumers, including buying things they do not need and mounting unnecessary debt.
Explanation:
Answer:
The current BEP is 727 units
with the proposed change it will be 875 units
The change increase the break even point by 148 units
Explanation:
The BEP in units will be:
Where:
40 - 18 = 22 contribution margin
then we calcualte BEP
16,000 / 22 = 727,27 units
<u>with the proposed change:</u>
40 - 16 = 24 contribution margin
16,000 + 5,000 = 21,000 fixed cost
21,000 / 24 = 875
875 - 727 = 148
The obligation of the seller of the receivables to pay the purchaser in case the debtor fails to pay.
Answer: D. Support department cost allocations should be incorporated into a product costing system.
Explanation:Support departments provide essential support services for producing departments and by this the support department costs are part of the total product costs and must be assigned to the products through cost allocation from support departments to producing departments.
All manufacturing costs, direct and indirect must be assigned to the products produced to meet GAAP requirements.
The cost allocation method to use can be: a single charging rate, dual charging rate or allocation of costs.
Answer:
False is the correct answer.
Explanation:
