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Problem 1: What would a price taker emphasize?
a. cost-plus pricing
b. target pricing
c. market pricing
d. retail pricing
Problem 4: Our company produces a product that is currently sold for $70 per unit. We are considering processing it further into an upgraded version of the current product. If we do so, we can sell the product for $90, we will incur additional costs of $407,500, and we can sell 20,000 units. Which of the following is true?
a. Sell now at $70 since doing so will maximize operating income.
b. Process further because operating income will increase by $5,000.
c. Process further because operating income will increase by $7,500.
d. Process further because operating income will increase by $8,000.
Company owed Pax Company $8,000 on open account on the date of acquisition. On the consolidated balance sheet, what amount will appear for current assets?
Bill wants to purchase a machine to help improve the quality of the product his company manufactures
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After its second year of operations, the following amounts were taken from the accounting records of Rainbow Consulting Services, Inc., as of July 31, 2008.
you increased rates by 10 percent across all services and profits decreased by 5 percent. cost per unit remained
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