Evaluating possible courses of action

Assignment Help Accounting Basics

Reference no: EM13819023

1. A major accounting contribution to the managerial decision-making process in evaluating possible courses of action is to

2. In incremental analysis

3. Incremental analysis is most useful

4. It costs Ross Co. $24 of variable and $10 of fixed costs to produce one bathroom scale which normally sells for $70. A foreign wholesaler offers to purchase 2,000 scales at $30 each. Ross would incur special shipping costs of $2 per scale if the order were accepted. Ross has sufficient unused capacity to produce the 2,000 scales. If the special order is accepted, what will be the effect on net income

5. Carter, Inc. can make 100 units of a necessary component part with the following costs:

Direct Materials 120000
Direct Labor 20000
Variable overhead 60000
Fixed overhead 40000

If Carter purchases the component externally, $30,000 of the fixed costs can be avoided. At what external price for the 100 units is the company indifferent between making or buying?

6. Mink Manufacturing is unsure of whether to sell its product assembled or unassembled. The unit cost of the unassembled product is $60 and Mink would sell it for $130. The cost to assemble the product is estimated at $42 per unit and the company believes the market would support a price of $170 on the assembled unit. What decision should Mink make

7. A company decided to replace an old machine with a new machine. Which of the following is considered a relevant cost

Reference no: EM13819023

Questions Cloud

Variable cost is a cost that : 1. A variable cost is a cost that 2. An increase in the level of activity will have the following effects on unit costs for variable and fixed costs:

Discuss the aspect of supply chain management : Discuss the aspect of Supply Chain Management in the modern world

Starting point in the budgeting process : 1. Why are budgets useful in the planning process 2. A common starting point in the budgeting process is

Global multicultural marketing-sales model : The global multicultural Marketing-Sales Model contains three phases. How do you apply this model in a specific country of your choice? Present cross-cultural analysis of these phases

Evaluating possible courses of action : 1. A major accounting contribution to the managerial decision-making process in evaluating possible courses of action is to

Valuation-depreciation-amortization and depletion : Write a 350- to 700-word paper in which you differentiate between valuation, depreciation, amortization, and depletion. Is it appropriate to calculate depreciation using two different methods? Why?

Which grand strategy is apple inc currently using : Which Grand Strategy is Apple Inc. currently using? Explain your answer in relation to the Grand Strategy Selection Matrix. Provide at least two recommendations for Apple Inc. to be successful in the present state of the industry

Should the states have authority to create medical exception : Federalism is at issue in an ongoing dispute between the states and the Federal Government over the legalization of marijuana. California voters, as well as voters in a number of other states, have approved laws and ballot initiatives permitting d..

Impact of the five forces that drive competition in industry : Identify a specific industry and, relying solely on your impressions and research, evaluate the impact of the five forces that drive competition in the industry that you have chosen

User Account

All Pages