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2 years ago

When inventory increases, which costing method generally results in higher net income?.

1 answer:

3 0

Answer: Income is higher under absorption costing by $15,000. This is consistent with a general rule of thumb: Increases in inventory cause income to be higher under absorption costing than under variable costing, and vice versa.

Explanation:

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A country has constant opportunity cost of production. If they devote all of their resources to the production of blankets they

Zigmanuir [339]

Answer: 2.75 blankets.

Explanation:

The opportunity cost is the value of a good that is sacrificed by choosing some other alternative. So, there are certain costs associated with the consumption of some goods.

In our case,

Opportunity cost of producing 1 shirt = $\frac{810}{294}$

= 2.75 blankets

Opportunity cost of producing 1 shirt is 2.75 blankets which means that 2.75 blankets have to be foregone to produce 1 shirt.

7 0

3 years ago

Identify a cost driver that may be used to assign each cost pool to each line of snowmobiles. Budgeted Costs Cost Driver Machine

Norma-Jean [14]

Explanation:

The identification of the cost driver is presented below:

This identification is required so that the indirect cost can be allocated according to the each cost pool

Machine setup, indirect materials = Number of setups

Inspections = Number of inspections

Test = Number of test

Insurance, plant = Machine hours or square feet

Engineering design = Engineering Hours

Depreciation, machinery = Machine hours

Machine setup, indirect labor = Number of setups

Property taxes = Machine hours or square feet

Oil, heating = Machine hours or square feet

Electricity, plant lighting = Machine hours or square feet

Engineering prototypes = Engineering Hours

Depreciation, plant = Machine hours or square feet

Electricity, machinery = Machine hours

Machine maintenance wages = Number of machines or machine hours

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3 years ago

Briefly explain the term market economy

Alchen [17]

Answer:

a market economy is a system where the laws of supply and demand direct the production of goods and services

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3 years ago

Attention is limited in several ways. sometimes we can complete competing tasks at the same time, but sometimes we cannot becaus

Butoxors [25]

<span>GDP = C + I + G + NX = $5.5 trillion + $1 trillion + $1.5 trillion + $.75 trillion - $1.25 trillion = $7.5 trillion</span>

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3 years ago

A company's balance sheet shows: cash $28,000, accounts receivable $34,000, equipment $58,000, and equity $76,000. what is the a

fredd [130]

The amount of liabilities is $196,000

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3 years ago

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