Answer: Option A
Explanation: Outsourcing can be defined as a situation in which a company hires another company for performing some activities that are non core for the hiring companies.
For, example a company having business of making soft drink might outsource its advertising activity.
One problem with outsourcing is that it leads to no internal control of the hiring company's management on that particular activity, leading to high probability of fraud or failure.
Thus, if an activity needs internal control it should not be outsourced.
Answer:
The correct answer is letter "D": Total variable costs decrease as the volume increases.
Explanation:
Total fixed costs are those that do not vary when the volume of production changes. However, unitary fixed costs change with fluctuations in production. As production increases, unitary fixed costs decrease and if production decreases unitary fixed costs increase.
Also, unitary variable costs remain the same in front of changes in output but total variable costs change directly proportional to variations in production.<em> It means if the volume in production increase so will total variable costs and vice versa.</em>
Answer:
The correct answer is the option B: overrated.
Explanation:
To begin with, <em>personal selling </em>is the term that in marketing involves the action from a salesman of basically sale the product or service from the company to the customer. Moreover, this type of promotion of the product tends to be more effective than the other types, such as publicity, direct marketing, public relations and more.
Secondly, the fact that personal selling <em>is overrated is because so many businessman tends to see it as an old way to promote the product</em>. However, <em>the personal selling tends to be the most effective way</em> in comparison with the other IMC alternatives and that is due to the fact that <em>the salesman could effectively change the speech depending on the type of person</em> he is speaking with and therefore to <em>adjust that speech</em> and that sale to the person that is being responsed at the same time and having his doubts resulted as well.
Answer:
The missing information in the question is;
The variable manufacturing cost per unit is $22 (including direct material,labor and variable overheads)
Explanation:
Incremental sales 2,100*25 $52,500
Variable manufacturing cost 2100*22 ($46,200)
Stamping Machine for this order ($4,000)
Incremental income from accepting the order $2,300