Answer:
very confused but okayyyy
Answer:
To minimise cost, the firm should lay off worker and rent more computer as it give more output per dollar invested on it. This reduce the fixed cost of the company drastically and increase the production of the company. The marginal cost of production and marginal revenue are economic parameter, which help to determine the amount of output and price per unit of input that will maximise the profits. The point at which marginal revenue is equal to marginal cost maximise the profit.
payable = money owed by a company to its creditors
receivable = money owed to a company by its debtors.
Answer: In January, when the products are delivered.
Option C is incorrect when allocating service department costs to operating departments.
<u>Explanation:
</u>
Typically, fixed costs are not assigned to working departments; however, they have to be absorbed by the service. This statement is incorrect in the service dept. Cost to Operating dept.
The reciprocal method assigns the cost of services to operating departments and other departments. The reciprocal costs are identified and the costs are assigned to each other and to services offered by each service department.
For example, if Service Department A requires certain services of Service Department B, the cost allocation system would not include these services. Since these services are not delegated to other departments, some auditors assume that the direct approach is not right.
