Answer:
To find the net worth, subtract the liabilities from the assets
Explanation:
Answer:
C. Cyclically unemployed
Explanation:
Cyclically unemployed is when workers lose their jobs because of downturns in the business cycle
Answer:
D) Johnson has failed to use the correct cost driver as the cost-allocation base for setup costs.
Explanation:
One of the main disadvantages of ABC costing method is that it is very hard and expensive to implement, and sometimes you cannot allocate all overhead costs to specific cost drivers. That is what happened here with Johnson's costing method, they combined two cost drivers and allocated resources using the number customer orders which is not a valid base, e.g. one single large order represents higher costs than 10 small orders.
ABC costing is not accepted by US GAAP due to its limitations or how hard it is to apply correctly, but it is a very useful information source for making decisions. The problem is, if gathering the information is worth the effort and extra cost of ABC?
Answer: Are you bored because i am
.
Answer:
a. ignores non cash expenses
Explanation:
The operating cash flow refers to the day to day operating activities which reflect the cash outflow and cash inflow
The formula to compute the operating cash flow by top-down approach is shown below:
Operating cash flow = Sales revenue - Cost of goods sold - Taxes
It does not considered any depreciation or amortization expenses.
