Which is an example of a sunk cost in a long term decision

Assignment Help Managerial Accounting
Reference no: EM132796746

Problem 1: Which of the following is an example of a sunk cost in a long term decision regarding the replacement of an existing piece of equipment with new equipment?

Option 1: The cost of the new equipment

Option 2: The additional working capital requirement for the new equipment

Option 3: The current net book value of the equipment to be replaced

Option 4: The disposal (salvage) value of the equipment to be replaced

Problem 2: A large favorable material price variance is:

Option 1: a signal that an investigation of purchasing activities and/or standard prices is needed

Option 2: a signal that an investigation of production activities is needed

Option 3: proof that the production department is doing a good job

Option 4: proof that the purchasing department is doing a good job

Reference no: EM132796746

Questions Cloud

Describe one way professionals in your current organization : Propose at least one way professionals in your current or future organization could apply the 4-Plex Model of Networked Learning, described in Chapter 13.
Should project be implemented if superior manufacturing : Extra inventory for spare parts and accessories. Should this project be implemented if Superior Manufacturing requires an 8 percent rate of return?
What was meant by kill the indian save the man : What was meant by, "kill the Indian, save the man"? After being removed from their "spiritual homeplace", how might this affect American Indian religion?
Calculate the price-earnings ratio after the repurchase : Entire amount of excess cash will be utilized for share repurchase at the current market price. Calculate the price-earnings ratio after the repurchase.
Which is an example of a sunk cost in a long term decision : Which is an example of a sunk cost in a long term decision regarding the replacement of an existing piece of equipment with new equipment?
FIT5196 Data wrangling Assignment : FIT5196 Data wrangling Assignment Help and Solution, Monash University - Assessment Writing Service - write Python code to integrate several datasets
What is the hunger winter : Discuss the concepts presented in the following videos. Did you encounter any new information? Share additional sources and thoughts.
How does parenting style change as a child develops : Review the definitions of parenting styles. The parenting styles consist of: Authoritarian Parenting. What are the characteristics of the ideal parents?
Find how much baltimore company report for investment : Use this information to determine, how much Baltimore Company should report for its investment in Towson Company on December 31, 2018.

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Compute net present value of each project

Which project should be accepted based on Net Present Value? Compute the net present value and profitability index of each project.

  ACC 2312 Managerial Accounting Assignment

ACC 2312 Managerial Accounting Assignment Help and Solution - University of the Incarnate Word, USA - Homework Help

  At what point should managers reorder the steering wheels

At what point should managers reorder the steering wheels, assuming that both demand and purchase-order lead time are known with certainty?

  Calculate the contribution margin for each unit produced

Using cost behaviour breakdown, calculate the Contribution Margin for each unit produced. Calculate the Gross Profit Margin and Net Profit Margin Ratios

  Determine the standard quantity and standard price

Determine the standard quantity and standard price. Since the cookies are made in your kitchen, you can ignore overhead costs

  Find what is the predetermined overhead rate

Did the company underapply or overapply the manufacturing overhead? What is the amount of overapplied or underapplied overhead?

  Calculate major factors as percentages and dollar amounts

How to Construct a final profit and loss statement from the figures listed below and calculate the major factors as percentages and dollar amounts.

  Discuss the performance of the stock over the last year

Discuss the performance of the stock over the last year and offer your thoughts being specific about why the stock has done well or not.

  How to calculate the ratio

Can you explain how to calculate the Ratio, Gross Profit Ratio, Price-Earning Ratio, Inventory Turnover, Quick Ratio and Accounts Receivable turnover?

  What will be the impact if the january event on the company

What will be the impact if the January 3 event on the company's balance sheet on the date along with an increase of cash $250,000?

  Indicate the current average cost per car this year

Auto USA spent $300 million in total to 50,000 cars this year. Next year it plans to produce 60,000 cars. Indicate the current average cost per car this year

  Make a record or journalize all transactions

On Jan 1, 2017 PT Bro had 50,000 shares, $5 par value per share, During the year, the following transactions ocurred. Make Record or journalize all transaction.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd