Relevant Costs and Decision Making 4.16 A. The fixed overhead cost will be the same regardless of which method Regina Corp goes. Based on the analysis of Yoklic‚ they will incur the additional cost of $6 per unit by purchasing the subassemblies versus manufacturing them. B. The $50‚000 that is saved by eliminating the fixed overhead reduces the cost for outsourcing. This will give Yoklic an overall $20‚000 savings for 5‚000 units by purchasing externally versus manufacturing internally
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Shut down Facebook Facebook has become a place where everyone wants to be nowadays. Not only is it wrong to be on there every single day‚ it is also unhealthy‚ which is why Facebook should be banned. People no longer care about going out and making friends. Instead‚ they rather stay inside and become friends with people they do not even know on Facebook. These kinds of actions can be really dangerous. People can easily create Facebook accounts‚ meaning that it is also easy to portray someone
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Ashworth The Government Shutting Down Going threw this government shut down is going to be hard for very many people. Many people do not even know what is the main reason of the government even shutting down. Also many Americans jobs are being affected because of the government shutting down. Plus how is it the main people who cause all this trouble are getting paid why there they reason people are losing their jobs. Think about it is the government shutting down good for us I definitely do not
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Chapter 13 Relevant Costs for Decision Making Solutions to Questions 13-1 A relevant cost is a cost that differs in total between the alternatives in a decision. 13-2 An incremental cost (or benefit) is the change in cost (or benefit) that will result from some proposed action. An opportunity cost is the benefit that is lost or sacrificed when rejecting some course of action. A sunk cost is a cost that has already been incurred and that cannot be changed by any future decision. 13-3 No. Variable
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answer the following questions: 1. What two policies could you use to reduce the total amount of emissions? 2. Why do you think they each would work? 3. What would the benefits of each action be (besides emissions reduction)? 4. What would the costs of each action be? 5. How would you decide what was the best level of emission reduction? Unit 4 IP My recommendations are as follows: First‚ define and explain externalities. Be specific and be thorough. You may write a very brief summary
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CHAPTER 13 SHORT-RUN DECISION MAKING: RELEVaNT COSTING 1 DISCUSSION QUESTIONS 1. Tactical decisions are short run in nature; they involve choosing among alternatives with an immediate or limited end in view. Strategic decisions involve selecting strategies that yield a long-term competitive advantage. 2. Depreciation is an allocation of a sunk cost. This cost is a past cost and will never differ across alternatives. 3. The salary of the supervisor of an assembly line with excess capacity
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I do not agree that the government should shut down the fast food industry. If the people of America want their eating habits to be unhealthy and don’t care about the consequences then let them go for it. Also if the government does shut down the fast food industry then he is shutting down so much jobs and job opportunities like a fry cook‚ a cashier‚ a drive-thru talker‚ a doctor and so many more (not really) job opportunities. And if the people of America don’t know that the food they eat kills
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the upturn of living standard‚ zoo has become a necessary facility of a city. However‚ controversies about whether the zoo should be shut down or not have become more and more serious. The objective of this essay is to find a solution of this problem. Both the supportive and opposed opinions will be discussed and a conclusion will be given at the end of this essay. A great number of people who support the idea that zoos should be shut down hold the view that zoos change the environment of animals
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material are used in production: Amount Cost Resale Current used per unit price value price to buy Material A 12kg £2.50 £1.00 £2.75 Material B 4kg £7.00 £5.50 £8.50 Material C 6kg - £6.50 - Material A is used extensively throughout the company’s range of products. Current stocks are 40‚000kg and it is freely available in the market. Material B is used infrequently. The company has 3‚500kg in stock which it was planning to sell due to its perishable nature
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CHAPTER 2: RELEVANT REVENUES AND COSTS The primary goal of a firm is to maximize profits. This implies‚ of course‚ that each decision a manager makes is consistent with that goal. Although managers are expected to rely on internally-produced reports‚ such as balance sheets and income statements‚ to help them make decisions‚ most of the information that appears on these statements is period-based rather than decision-based. A balance sheet shows the sum total of a firm’s assets and liabilities
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