Answer:
It is more profitable to sell the units as-is.
Explanation:
Giving the following information:
Number of units= 12,600
Varto has two alternatives for these items:
(1) they can be sold to a wholesaler for $13 each
(2) they can be processed further for $272,300 and then sold for $34 each.
The first cost of $31 is a sunk cost, it will remain no matter which option is chosen. We will not take it into account for the decision making process.
Option 1:
Effect on income= 12,600*13= $163,800
Option 2:
Effect on income= 12,600*34 - 272,300= $156,100
It is more profitable to sell the units as-is.
Answer:
Probably not
Explanation:
To me I think they planed to give the money to you guys for it try and put a little more in the project. The most important part is if the client is happy about the advertisement.
Answer:
The correct answer is letter "B": anchoring.
Explanation:
Anchoring bias or focalism takes place when individuals make decisions driven by the first impression obtained on a certain matter. Under this situation, those individuals do not take well-educated decisions since there has not been an analysis of the pros and contras of picking that choice over others.
Answer:
The Multi-step income statement is attached, Please find it
Explanation:
The multi-step income statement is attached with this answer please find it.
Gain On Disposal will appear in the other income section of the multi-step income statement
Cost of goods sold will appear in the cost of goods sold section of the multi-step income statement
Depreciation expense will appear in the operating expense section of the multi-step income statement
Sales returns and allowances will appear in the sales / net sales section of the multi-step income statement
