In general, no. With economic booms occur, there are high levels of production but there are also high levels of consumption, meaning that extra goods are not going to lie around for long.
The net operating income as per the variable costing method is $14500
<u>Explanation:</u>
The unit product cost is = $18 + $10 + $4 = $32
Sales revenue ( $78 multiply with 8700 units) = $678600
Variable cost:
Variable cost of goods sold ( 8700 units multiply $32) = $278400
Variable selling and administartive (8700 units multiply $5) = $43500
contribution margin = $356700
fixed manufacturing overhead = $255200
Fixed selling and adminstrative expenses = $87000
Net operating income = $14500
<u>Note:</u> contribution margin is calculated after deducting sales revenue with variable cost
Answer:
False.
Explanation:
A strong organizational culture is one in which all employees are encouraged to work synergistically in achieving the objectives of the organization, making them their objectives as well.
increase in competition might bring price fluctuation since if one competitor increase the price the other one might decrease in order to take advantage
Answer:
$2,000
Explanation:
Calculation for Pita Pit Interest amount
Borrowed Amount = $100,000
Interest Amount at December 31st 2021
= $100,000*12/100*2/12
= $2,000
Therefore Pita Pit should report interest expense at December 31, 2021, in the amount of:$2,000