When using the lower of cost and market rule in Canada, the market value is most commonly Onet present value. O selling price less profit margin. replacement cost. net realizable value.
Q: 1. When applying lower of cost or market, market value A. is defined as the selling price B.…
A: This Net realizable value(NRV) generally a common method used in valuation of an asset in inventory…
Q: How are the floor and ceiling limits calculated as per the lower of cost or market (LCM) method…
A: LCM that is lower of cost or market value method says that inventory should be valued at a price…
Q: Which one of the following is not considered an assumption of cost-volun O a. Fixed cost per unit is…
A: Option E is the correct answer i.e Cost can be Divided into variable and fixed components.
Q: Which one of the following is not considered an assumption of cost-volume-profit analysis? a.…
A:
Q: Which of the following statements about CVP analysis is true? O a. Operating income calculations in…
A: CVP is also known as Cost volume relationship which says that how much sales and profits will…
Q: Which of the following is NOT true regarding an income statement organized according to the…
A: An income statement is a financial statement that tracks both corporate revenue and expenses over a…
Q: As compared with the FIFO method of costing inventories,does the LIFO method result in a larger or…
A:
Q: The variable cost ratio is calculated as? .a the selling price per unit/the selling price per)…
A: Variable cost ratio = Variable cost per unit / Selling price per unit
Q: ?Which one of the following is not considered an assumption of cost-volume-profit analysis Costs can…
A: The question is multiple choice question. The question is related to Marginal Costing and is of cost…
Q: 1: When using absorption costing, a company may be able to show a profit even if it is operating…
A: Solution: True, When using absorption costing, a company may be able to show a profit even if it is…
Q: Which of the following would be considered as a limiting factor to maximize the profit? O a. Book…
A: Limiting factors can be defined as the constraints in availability of production resources in order…
Q: uct is public good, analy
A: Demand Function- Demand function is what describes a relationship among one variable and its…
Q: What analysis ensures that the income for the firm will cover its variable costs? a. ratio…
A: Companies need to analyse how many products to sell or how much sales to make in a financial year to…
Q: Which one of the following is not considered an assumption of cost-volume-profit analysis? a. Costs…
A: Cost volume profit analysis is also known as CVP analysis. It shows how profits of the organisation…
Q: Cost A is a fixed cost, while B is a variable cost. During the current year, the volume of output…
A: There are two cost fixed cost and variable cost. Cost per unit depends on fixed and variable costs…
Q: Which of the following s most likely an acceptable measurement for agricultural produce Initial…
A: Agriculture activity includes biological assets and agricultural produce that is harvested from the…
Q: Which of the following statements about CVP analysis is true? O a. Unit selling price, unit variable…
A: Cost volume profit analysis is the methods to identify the impact on operating income due to the…
Q: During periods of rising prices, which method (FIFO-LIFO-AVCO) results in the highest gross profit?…
A: First-in-First-Out (FIFO): In this method, items purchased initially are sold first. So, the value…
Q: Which one of the following variables is not explicitly considered in the computation of the Economic…
A: Economic Order Quantity is entity's optimal order quantity to minimize total costs retated to…
Q: Which of the following is NOT correct about Contribution concept? Select one: a. Contribution can…
A: 1. Contribution can be computed on total basis and per unit basis 2. contribution helps in…
Q: If NUBD Company decided to increase its unit selling price to offset exactly the increase in the…
A: Note: On increasing the selling price per unit to offset exactly the increase in the variable cost…
Q: Which of the following is a true statement? O The mark-up is designed to cover all non-product…
A: Answer: only a and c above The markup method is commonly used in pricing restaurant food menus and…
Q: Special order, opportunity cost. In order to determine whether a special order should be accepted at…
A: Opprtunity cost should be consider while accepting special order. As order is received at full…
Q: The line that begins at the origin on a CVP graph represents total expenses. total fixed…
A: Since you have posted multiple questions , we will do the first one for you. If you want any…
Q: Which of the following would reduce net profit margin but have no effect on gross profit margin? a)…
A: a) Commission paid to salesmen is a selling expense charged against net profit .b) Purchase price…
Q: How do costs behave when there is a change in volume? a) ______ increases or decreases in total in…
A: Hi student SInce there are multiple questions, we will answer only first question. Since first…
Q: Which one of the following is not considered an assumption of cost-volume-profit analysis? a. Costs…
A: Cost - volume - profit analysis It is used to determine the changes in cost and volume of sales…
Q: On the cost-volume-profit graph, which of the following would result into a decrease in the…
A: Break even point is total fixed cost divided by contribution margin per unit. So break-even point…
Q: Which of the following statements is true? a. When production is greater than sales, operating…
A: The question is based on the concept of Cost Accounting.
Q: if we produce goods over the capacity, should we consider the fixed marketing cost and variable…
A: Fixed marketing costs is fixed costs related with the marketing of the product and this will not be…
Q: T, F. In a make or buy short-run decision situation, the critical element to consider is whether the…
A: As posted multiple independent questions we are answering only first question kindly repost the…
Q: This best accounts for the difference in profit between the absorption and variable costing *…
A: We’ll answer the first question since the exact one wasn’t specified. Please submit a new question…
Q: Consider a product market with three consumers A, B and C with demand function PA = 6 – QA, PB = 6 –…
A: Demand Function- Demand function is what describes a relationship among one variable and its…
Q: On the cost-volume-profit graph, which of the following would result into an increase in the…
A: Break Even Point is a point at which firm incurred no loss and earned No Profit. Break Even Point…
Q: When comparing the lower of cost to market the appropriate market value is determined before…
A: The inventory costing approach known as the lower-of-cost-or-market (LCM) values inventory at the…
Q: Which of the following is not another way of describing the marginal propensity to consume? a.…
A: Slope of the consumption function would not describe marginal propensity to consume.
Q: .When applying the lower of cost or net realizable value (LCNRV) method, inventory value reported…
A: As per the lower of cost or net realizable value (LCNRV) method, inventory should be recognized at…
Q: currently investigating the produc -alls that should be very popular.
A: Profit refers to the income which is distributed to owner in the profitable process of market…
Q: T, F. In a make or buy short-run decision situation, the critical element to consider is whether the…
A: Variable cost is that cost that varies with the number of units produced. It means that increase in…
Q: Which of the following is true regarding the contribution margin ratio of a company that produces…
A: Contribution margin ratio=Contribution per unitSales price per unit Contribution per unit = Sales…
Q: Which of the followings is not correct about cost-based pricing? Select one: a. Total fixed costs…
A: Cost based pricing is the method to set selling price based on the cost. To get selling price,…
Q: When the selling division in an Internal transfer can sell every product eat Its market price, then…
A: Given the selling division can already sell all the units outside at the market price. So…
Q: Which of the following expressions can be used to calculate brcak-even sales revenue with the…
A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…
Q: the product with the higher contribution ratio , which of the following is true ? O a Fixed cost…
A: Below option is true:- d. the average contribution margin ratio will increase
Q: Which of the following statements correctly complete the sentence: "Gross Margin equals": I.…
A: Sales revenue less cost of goods manufactured is wrong because as per accrual concept, equivalent…
Q: Which one of the following is not considered an assumption of cost-volume-profit analysis? a. Costs…
A: Option b is correct.
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- Which of the following would be considered as a limiting factor to maximize the profit? O a. Book value O b. Fixed cost Oc. Contribution d. SalesDesignated market value : Group of answer choices A)is always the middle value of replacement cost, net realizable value, and net realizable value less a normal profit margin. B)should always be equal to net realizable value. C)may sometimes exceed net realizable value. D)should always be equal to net realizable value less a normal profit margin.Q- 7: prices are needed? What is meant by Transfer price and why transfer Q- 8: opportunity cost, and sunk cost. Define the following terms: differential cost,
- Which two types of investment criteria are most frequently used by managers today? Multiple Choice O O O O Internal rate of return and net present value Net present value and profitability index Net present value and payback Internal rate of return and payback Average accounting return and internal rate of return DA transfer pricing structure that considers the opportunity costs of selling to internal rather than external customers uses_______. A. the cost approach B. the general transfer pricing approach C. the market-based approach D. the opportunity cost approachCapital investment evaluation methods can be grouped into which of the following two general categories? a. Methods that use average rate of return and methods that use differential analysis b. Methods that do not use variable costing and methods that use variable costing Oc. Methods that do not use present values and methods that use present values Od. Methods that use absorption costing analysis and methods that use incremental analysis
- Direction: Read carefully and answer the questions below. Encircle the letter of the correct answer. 1. Which of the following is an example of a variable cost? а. interest b. ingredients с. insurance d. lease 2. What type of cost varies depending on the quantity of products being produced? а. fixed b. net sales с. total d. variable 3. Which among the following concepts is usually seen on the top item in an income statement from which all costs and expenses is subtracted to arrive at net income? a. fixed cost b. net sales с. total cost d. variable cost 4. When do we obtain the break-even point? When the fixed cost is equal to the total cost When the total cost is equal to the variable cost When the variable cost is equal to the fixed cost d. When the number of units of goods sold covers the all the costs а. b. с. 5. Which of the following is NOT true? а. The fixed cost does not vary over time. b. The total cost is the sum of the fixed cost and the variable cost. с. The total cost is…Henderson Farms reports the following results for the month of November: Sales (10,000 units) Variable costs Contribution margin Fixed costs Net income $600,000 1. 420,000 180,000 110,000 $70,000 Management is considering the following independent courses of action to increase net income. Increase selling price by 5% with no change in total variable costs. 2. Reduce variable costs to 66% of sales. 3. Reduce fixed costs by $10,000.Which method results in a more realistic amount for income because it matches the most current costs against revenue? a.FIFO b.Weighted average cost c.Specific identification d.LIFO
- What is cost-efficiency according to: 1. Profit Projection 2. Cost estimates1. How valid and reliable do you think HIT investment decisions are currently? Why? 2. What do you think will drive adoption of interoperable EHRs- cost savings or consumer preferences? Why? Provide an external reference other than the textbook to support your answer. 3. Compare and contrast the different benefit analyses- cost, cost-effectiveness, and cost-utility analysis. Which do you prefer, and why?The line that begins at the origin on a CVP graph represents total expenses. total fixed expenses. total sales revenues. both the total expenses and the total sales revenues. Which of the following best describes the concept of a "constraint?" Expected future costs that differ among alternatives. None of the items in this list of answers. A benefit foregone by choosing one alternative course over another. The distribution of all products to be sold.