What actions are available for the organization? b. What are the costs and benefits of action in both quantitative and qualitative terms 4. Potential Outcomes a. What will be the buyer, trade, and competitive response to each course of action?
C. Variable cost. D. Step-wise variable cost. E. Standard cost. 2. An important tool in predicting the volume of activity, the costs to be incurred, the sales to be earned, and the profit to be received is: A.
Question : (TCO 8) When an industry has excess capacity, market prices may drop well below their historical average. If this drop is temporary, it is called 9. Question : (TCO 8) An advantage of using budgeted costs for transfer pricing among divisions is that 10. Question
In calculating materiality, we have considered legal, regulatory or contractual requirements, restrictions imposed by donors and the requirements or restrictions set by grantor organizations. As auditors, we understand that failure to comply with these constraints is considered to be material if it will lead to a significant loss for the organization or seriously compromise its current or future
For example for an OD process services and products can be considered as outputs, where as the internal functioning or employee level of involvement can be considered as inputs. We can use different models to investigate and diagnose an
there can be a net gain to society by allocating either more or less resources to producing X. D. resources are overallocated to the production of X. 9. The optimal point on a production possibilities curve is achieved where: A. the smallest physical amounts of inputs are used to produce each good. B. each good is produced at a level where marginal benefits equal marginal costs. C. large amounts of capital goods are produced relative to consumer goods.
The matching of expenses to revenues varies depending on the specific approach to the matching principle being applied. The approach used can have significant implications to net income in the short term. Requirement 2 1. The exact cause and effect relationship is predicated on the ability to specifically identify the cost of a recognized revenue event. A good example of this would be cost of goods sold which would be considered a direct cost.
The second two are reward provision and information provision also referred as ‘integration of effort’. Division of labor is a classification of the tasks that contribute to the overall goals of the organization and then allocate these tasks throughout the organization to individuals or groups within the organization. Task division goes a step further and maps the goals creating sets of interrelated sub-tasks that are necessary in order for the organizations goals to be achieved. Task allocation is the process of mapping the task divisions to individuals or groups. The authority or leadership expedites this by matching the sub-tasks to the individuals or groups skill profiles.
EGT1 TASK 1 McConnell, Brue and Flynn define Marginal Revenue as “the change in total revenue that results from the sale of one additional unit of a firm’s product; equal to the change in total revenue divided by the change in the quantity of the product sold.” (McConnell, Brue and Flynn, 2012). When we look at the relationship between total revenue and marginal revenue we can see that it is purely a mathematical relationship. The formula that is used to determine Total Revenue is the following; Total Revenue = Price X Quantity, (TR = P X Q). McConnell, Brue and Flynn also define Marginal Cost they state that it is “the extra cost of producing one more unit of output; equal to the change in total cost divided by the change in output.” (McConnell, Brue and Flynn 2011). The marginal cost and total cost is directly related to each other.
a. What are the firm's fixed costs? | b. What is the firm's marginal cost? | Now suppose other firms in the market sell the product at a price of $10.