Explanation: Because the selling division has ample idle capacity there is no opportunity cost and therefore the lowest price the part should be sold for is the total amount of variable costs that would be incurred, which is $23 per unit (= $10 per unit + $4 per unit + $9 per unit).
A) $30
B) $21
C) $47
D) $17
E) $20
B) $21
Explanation: Because the selling division has ample idle capacity there is no opportunity cost
and therefore the lowest price the part should be sold for is the total amount of variable costs that would be incurred, which is $21 per unit.
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A. Availability B. Maintainability C. Redundancy D. Reliability
Whether you collected more quantitative or qualitative raw data determines whether you should use a quantitative or qualitative synthesis rubric.
a. True b. False
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a. scientific process b. observation technique c. data-gathering method d. consulting term
If you were evaluating two mutually exclusive projects for a firm with a zero cost of capital, the payback method and NPV method would always lead to the same decision on which project to undertake.
Answer the following statement true (T) or false (F)