Answer:
B. overstate the predetermined overhead rate.
Explanation:
As we know
The Predetermined overhead rate would be equal to
Predetermined overhead rate = (Total estimated manufacturing overhead) ÷ (estimated direct labor-hours or machine hours)
In the given question, the direct labor cost is used for computing the predetermined overhead rate which is already wrong.
To find out the predetermined overhead rate, we always use the indirect cost instead of direct cost
This error could overstate the predetermined overhead rate as it would increase the indirect labor due to which overhead is also increased. So, automatically the rate would also be increased.
They are called fix income securities
Answer:
$137,800
Explanation:
A flexible budget uses the standard hour and costs adjusted to Actual level of output
thus
Flexible budget amount for direct labor = 2 x 2,600 units x $26.50 = $137,800
The change in the amount sold will be greater when the price elasticity of demand is greater than 1. (option 3).
<h3>What is price elasticity of demand?
</h3>
Price elasticity of demand measures the responsiveness of quantity demanded to changes in price of the good.
Price elasticity of demand = percentage change in quantity demanded / percentage change in price
Demand is elastic when the coefficient of demand is greater than one. This means that for a small change in price, the quantity demanded would be greater.
To learn more about price elasticity of demand, please check: brainly.com/question/18850846
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Complete Question:
Futura-Core Technologies, an electronics manufacturing firm, has advantages in financial capability and sustainability, but a disadvantage in speed of innovation. It is also at a disadvantage relative to Core-Dynamix Technologies, another electronics manufacturing firm, in important factors such as manufacturing capability and adaptability to market conditions.
Answer:
C. comparative advantage
Explanation:
Comparative advantage in economics is the ability of an individual or country to produce a specific good or service at a lower opportunity cost better than another individual or country.
Generally, comparative advantage gives a country or business firm a stronger sales margin than their competitors because they are able to sell their specific products or render their peculiar services at a lower opportunity cost.
Hence, the term which best describes Futura-Core's abilities in comparison to Core-Dynamix is comparative advantage.