Answer:
The answer is that the net income under absorption costing would be higher than the net income under variable costing.
Explanation:
Absorption costing and variable costing are terms used in accounting contexts. Absorption costing, also known as full costing, incurs overhead costs when the product is sold; not before it. Variable costing, also referred to as direct costing, would include overhead costs during the period the costs occurred. In this condition, net income would be higher using absorption since overhead costs would not be included until the product is sold.
Answer: B) Correct Incorrect
Explanation:
Whilst it was generally believed at some point that raising taxes and Government Spending by the same amount would have no effect, research has disproven this thought.
This is because it was shown that an increase in Government Spending leads to a larger increase in GDP than an increase in taxes reduces it.
This is because when the Government spends money, the Multiplier effect of Government Spending is always 1 more than that of the Taxes therefore raising taxes and spending by the same amounts still increases the Real GDP because Government Spending will create more income than taxes will take.
Necco is right, Packard is wrong.
$3.00 probably because if it,s $3.00 it should be very elastic
Answer:
1.45 times
Explanation:
The computation of company's fixed asset turnover ratio is shown below:-
Average of Net Property, plant and equipment = ($3.0 million + $3.9 million) ÷ 2
= $6.9 million ÷ 2
= $3.45 million
Fixed asset turnover ratio = Net Sales ÷ Average of Net Property, plant and equipment
= $5 million ÷ $3.45 million
= 1.45 times
Therefore for computing the fixed assets turnover ratio we simply applied the above formula.
