The distinction between avoidable and unavoidable costs is similar to the distinction between
a. variable costs and fixed costs.
b. variable costs and mixed costs.
c. step-variable costs and fixed costs.
d. discretionary costs and committed costs.
D
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You plan to borrow $35,000 at a 7.5% annual interest rate. The terms require you to amortize the loan with 7 equal end-of-year payments. How much interest would you be paying in Year 2?
A. $1,994.49 B. $2,099.46 C. $2,209.96 D. $2,326.27 E. $2,442.59
Which factor does not explain differences or changes in ROA?
a. Operating leverage b. Cyclicality of sales c. Product life cycle d. Financial leverage
How would you represent consumer preferences for frozen foods as dummy variables if the respondents were classified as heavy, medium, light, nonusers?
What will be an ideal response?
Aaron, Inc. estimates direct labor costs and manufacturing overhead costs for the coming year to be $750,000 and $550,000, respectively. Aaron allocates overhead costs based on machine hours. The estimated total labor hours and machine hours for the coming year are 18,000 hours and 7000 hours, respectively. What is the predetermined overhead allocation rate? (Round your answer to the nearest cent.)
A) $107.14 per machine hour B) $30.56 per labor hour C) $1.36 per labor hour D) $78.57 per machine hour