Answer:
b. direct materials purchases, direct labor cost, and factory overhead cost
Explanation:
The production budgets is the budget used for determining the number of units of a product to be manufactured. The production budget captures the estimates of the total production cost and includes elements such as direct materials purchases, direct labor cost, and factory overhead cost.
Operating expenses are expenses incurred during the ordinary course of business outside the manufacturing process.
Sales in unit and dollars are determined by the company's projection and ambition.
The sales estimates determined the production budget considering also the safety stock or closing inventory.
Hence, the right option is b. direct materials purchases, direct labor cost, and factory overhead cost.
The semi annual interest payment on a $10,000 5% bond would be $250
Answer:
Accounting profit - Your actual profit
Economic profit - Profit, but opportunity cost factored out
Explanation:
Accounting profit is how much you made (Revenue - Explicit Cost.
Economic profit includes implicit costs, or opportunity cost. If you could have made $100,000 at a different job, you subtract that. If Accounting-Economic profit is 0 or higher, you should stay in business.
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