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monitta
3 years ago
14

The reasons for using the variable-cost approach include all of the following except this approach provides the most defensible

bases for justifying prices to all interested parties. avoids arbitrary allocation of common fixed costs to individual product lines. provides the type of data managers need for pricing special orders. is more consistent with cost-volume-profit analysis.
Business
1 answer:
Ber [7]3 years ago
3 0

Answer:

The reasons for using the variable-cost approach include all of the following except

this approach provides the most defensible bases for justifying prices to all interested parties.

Explanation:

This is not part of the reasons for using the variable-cost approach.  But options b, c, and d are certainly the reasons why the variable-cost approach is used.  The variable-cost approach provides a differential analysis for decision-making.  It assigns overhead costs to the period in which they are incurred, while other variable costs are assigned to the merchandise produced within that period.  Thus, by excluding fixed manufacturing overhead cost, only the direct costs associated with production are used in accounting for the product's costs.

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Read the following email, which Jim sent to his team. Then choose the answer below that best explains what is wrong with the ema
mars1129 [50]

Answer and Explanation:

The subject of the email is too long and contains all the information. The subject should have been: Proposal draft due on Friday. Rest of the information should have been included in the body of the email.

8 0
2 years ago
On January 1, 2019, Al's Sporting Goods purchased store fixtures at a cost of $180,000. The anticipated service life was 10 year
xz_007 [3.2K]

Answer:

The journal entry is shown below:

Explanation:

The journal entry is as follows for recording the depreciation:

Depreciation expense A/c.........................Dr  $ 14,400

           Accumulated depreciation...............Cr   $ 14,400

Working Note:

Depreciation rate = 100 % / Number of years of life

= 100 % / 10 years

= 10%

This will be multiplied by 2

= 10% × 2

Depreciation rate = 20%

Using the double declining method:

In year 2019

Depreciation expense = Cost of purchasing × Depreciation rate

= $180,000 × 20%

= $36,000

In year 2020

Depreciation expense = ( Cost of purchasing - Depreciation expense of last year) × Depreciation rate

= ($180,000 - $36,000) × 20%

= $144,000 × 20%

= $28,800

Using the Straight Line method:

In the year 2021

Depreciation expense = (Cost of purchasing - Depreciation expense of 2 years) / Number of years of useful life

= ($180,000 - $64,800) /  8

= $115,200 / 8

= $14,400

5 0
3 years ago
Stephanie has a homeowners insurance policy for her $355,000 home with an annual premium of $0. 42 per $100 of value and a deduc
harkovskaia [24]

The annual premium that would result in Stephanie's annual out-of-pocket expense that is about the same as her current plan is <em>b. $0. 28 per $100 of value.</em>

Data and Calculations:

Home value = $355,000

Annual premium rate = $0.42 per $100

Deductible  $500

Total annual out-of-pocket expense = $1,991 ($355,000 x 0.0042 + $500)

New deductible = $1,000

New annual premium rate = $0.28

Total annual out-pocket expense based on the new premium rate = $1,994 ($355,000 x 0.0028 + $1,000)

Thus, the annual premium that would result in Stephanie's annual out-of-pocket expense that is about the same as her current plan is <em>Option b.</em>

Learn more: brainly.com/question/18618915

6 0
2 years ago
McDonald's major distribution partner, The Martin-Brower Company, needs at least $1 million to build a new warehouse in Medicine
aleksley [76]

Answer:

No it wont have enough money to build a warehouse in two years.

Explanation:

Firstly we are given that the warehouse is $1 million so the company needs to save this amount of money in two years time.

We know that the company has invested $500000 to date therefore we need to calculate if this $50000 per quarter investment will cover the the other portion for $500000 to meet the warehouse cost of $1 million so we will use the future value annuity formula to calculate this which is :

Fv = C[((1+i)^n -1)/i]

where Fv will be the future value after two years of the $50000 investment

C is the periodic payment of $50000

i is the interest rate per period which is 6% per quarter

n is the number of periods the payment is done here it is 4 x 2years= 8 periods / investments of $50000 that will be done.

thereafter we substitute on the above formula:

Fv = 50000[((1+6%)^8 - 1)/6%]

Fv = $494873.40

then we combine this amount to $500000 to see if it reaches $1 million

$494873.40+ $500000 = $994873.40 which is close to the warehouse cost of $1 million but it does not reach it so the company wont have enough money to purchase the warehouse.

5 0
3 years ago
The capital account balances for Donald &amp; Hanes LLP on January 1, 2018, were as follows: Donald, capital $ 200,000 Hanes, ca
m_a_m_a [10]

Answer:

Donalds share in the capital was 100,000/300,000= 1/3

May bought 35% so 0.35 of 300,000 = 105,000

Out of this 105,000 1/3 was donalds share so, 1/3*105,000=34,650

Donalds new share = 100,000- 34,650 = 65,350

$65,350 is Donalds new capital account balance

Explanation:

Step 1: Find out Donalds ratio of capital

Step 2: Find out how much may needed to invest for a 35% share

Step 3: Multiply Mays share by 1/3 to find out how much of that share will be bought from donald

Step 4: Subtract the amount from Donalds original capital balance

3 0
3 years ago
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