Answer:
The correct option is D,$41,200
Explanation:
The fact that inventory reduced by 1,400 units implies that the fixed costs of 1,400 units added to closing inventory under absorption costing method has now been released into income statement as an additional cost in the current year,as result profit under absorption costing method reduce by the increased fixed costs:
net operating income under variable costing $52,400
less:additional fixed costs (1,400*$8) ($11,200)
Profit under absorption costing method $41,200
The correct option is D,$41,200
Answer:
December 31 (office equipment depreciation expense)
- Dr Depreciation Expense - office equipment 1,400
- Cr Accumulated Depreciation - office equipment 1,400
Dec. 31 (production equipment depreciation expense)
- Dr Depreciation Expense - production equipment 2,650
- Cr Accumulated Depreciation - production equipment 2,650
Explanation:
Since depreciation is an expense and it increases, it should be debited.
Since accumulated depreciation is a contra asset account and it increases, it should be credited.
Answer:
see explanations
Explanation:
First, for 80 room charged at $60 per room ,all rooms are occupied
Let the demand function, expressed by p , the price in dollars charged for each room per day, as a function of x as,
p(x)=$60x ------------where x in the number of rooms
When the price per room is increased by $3, the demand function will be;
p(x)=$63x
Maintenance per room after price increase will be;
p(x)=$16x
This means: $63x -$60x=$16x
3*80 p(x)=16*80
p(x)=(16*80)/(3*80) =5.33
Due to price increase the number of rooms occupied reduced by 5 rooms to 75 rooms. Because of unoccupied rooms bringing no revenue the maintenance cost increased. The demand for room decreased.
Answer:
The correct option is b.
Explanation:
Telephone as the fastest approach would be using a telephone. This mode is the fastest mode of communication for Raj to communicate with his team immediately.
