Managers usually make decisions without all the necessary information because they are not aware of the alternatives that they've and aren't able to predict the consequences of the decision.
- In management, decision-making is vital. Decision-making is important in the planning process. During planning, the manager decides on the goals that an organization wants to pursue.
- In certain cases, a manager may not have all the required information regarding a particular issue but despite that still makes such decisions. Also, there are some decisions that require urgent attention, and delaying such decisions can further complicate such issues.
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I think b is the correct answer
Answer:
D. an interrelated set of functions that provide the goods and services which will be sold to customers is the correct answer.
Explanation:
When using absorption costing when production is greater than sales, a portion of fixed overhead is allocated to the products sold.
<h3>What happens when production is greater than sales?</h3>
- Because it allocates fixed overhead expenses to each unit of a product produced throughout the time, absorption costing differs from variable costing.
- Net income recorded under absorption costing will be higher than net income reported under variable costing when production exceeds sales. Closing stocks rise under absorption costs as output outpaces sales.
- When output exceeds the number of units sold, absorption costing allocates fixed overhead to the items sold, resulting in net income that is higher than that determined by variable costing.
- The operating income under absorption costing is higher when production outpaces sales, i.e. when final inventory exceeds beginning inventory.
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Answer:
$6.30
Explanation:
For computing the unit price, first we have to determine the difference in cost which is shown below:
= $150,000 - $120,000
= $30,000
Now the break even price would be
= Variable cost + cost difference
= $600,000 + $30,000
= $630,000
So, the unit price would be
= Break even price ÷ number of unit produced
= $630,000 ÷ 100,000 units
= $6.30
