Answer:
Allocated costs= $9,900
Explanation:
Giving the following information:
The Administrative Department costs are allocated to the other three departments based on the number of employees in each.
Costs:
Administration= $30,000
No. of employees:
Maintanance= 2
Assembly= 6
Packaging= 4
First, we need to calculate the proportion of employees in each department:
total employees= 12
Maintanance= 2/12= 0.17
Assembly= 6/12= 0.5
Packaging= 4/12= 0.33
Now, we can allocate the administrative costs to Packaging:
Allocated costs= 0.33*30,000= $9,900
Answer:
The local government issues a limited number of restaurant licenses every year. (A)
Explanation:
Bertha claims that the burgers sold by Luke's Express Diner are priced a bit too high, because they enjoy monopoly power in the town; hence with the local government issuance of a limited number of restaurant licenses every year, this will break the monopoly that Luke's Express Dinner enjoy, thus weakening Bertha's arguments.
Answer:
The correct answer is c. reduces; reduce.
Explanation:
Economic exposure is a type of exposure to exchange rate risk caused by the effect of unexpected currency fluctuations on a company's cash flows, foreign investment, and future earnings.
Economic exposure, also known as operating exposure, can have a substantial impact on a company's market value, as it has far-reaching effects and is long-term in nature. Companies can protect themselves against unexpected currency fluctuations by investing in currency markets (FX).
Unlike transaction exposure and conversion exposure (the other two types of currency exposure), economic exposure is difficult to measure accurately and therefore difficult to hedge. Economic exposure is also relatively difficult to hedge because it faces unexpected changes in exchange rates, unlike expected changes in exchange rates, which form the basis of companies' budget forecasts.
Answer:
Explanation:
Liability of Petri:
On all the purchases, if payment is made within 30days from delivery, Petri gave the authority of a 5% discount to Adam. Upon extension of credit to customers, no terms were given to Adam.
In the case under consideration, Adam explicitly gave a false representation of his authority to get more sales on his account and thus, Petri is NOT accountable to John on his terms with Adam.
Liability of John:
Being a customer to Petri, John has to discover the detailed terms on discount and other payment terms with Petri when he called Petri. John is also accountable to make clarifications whether Adam has the authority to give a 10% discount and making payment in three installments.
In the case under consideration, John has failed to find the exact details on whether Adam has the authority to give a 10% discount. Thus, he is accountable to make the payment of $9500 in 30days.
