Kellogg's has several cereals targeted at different types of users. This is an example of multiple products aimed at multiple markets. Manufacturing these different cereals is clearly more expensive than producing one, but seems worthwhile if it serves customers' needs better, doesn't reduce quality or increase price, and
A. conforms to all FDA guidelines.
B. creates economy of scale.
C. adds to the manufacturer's sales revenues and profits.
D. decreases the cost of the physical plant.
E. stabilizes the sales revenues and profits.
Answer: C
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Your employer is considering a choice between a single-line and a multiple-line arrangement. The operation involves multiple servers and a single-phase service. When would each arrangement be ideal?
What will be an ideal response?
When do title and risk of loss for conforming goods pass to the buyer under a shipment contract covered by the Sales Article of the UCC?
a. When the goods are identified and designated for shipment. b. When the goods are given to a common carrier. c. When the goods arrive at their destination. d. When the goods are tendered to the buyer at their destination.
Washington Products had costs of $600,000 when sales equaled 75,000 units. When sales increased by 25,000 units, costs increased by $125,000. The selling price is $9 per unit.Required:(a.) Determine the fixed and variable portions of costs.(b.) Prepare a contribution margin income statement for a month with sales of 80,000 units.
What will be an ideal response?
The accumulated earnings credit for a personal service corporation is the greater of $150,000 or the current E & P for the year needed to meet the reasonable needs of the business
a. True b. False Indicate whether the statement is true or false