A company has two products: A and B. It uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its three activity cost pools: Budgeted ActivityActivity Cost PoolBudgeted CostProduct AProduct BActivity 1$87,000 3,000 2,800 Activity 2$62,000 4,500 5,500 Activity 3$93,000 2,500 5,250 Annual production and sales level of Product A is 34,300 units, and the annual production and sales level of Product B is 69,550 units. What is the approximate overhead cost per unit of Product B under activity-based costing?
A. $15.00
B. $2.33
C. $2.00
D. $3.00
E. $10.28
Answer: C
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Polaris Inc. stock is selling for $30 a share based on a 9% rate of return. What is the correct formula in B4 to calculate the next annual dividend payment if the dividends are expected to grow at 4% annually?
a) =B2*(B1-B3)
b) =B1/(B2-B3)
c) =B1*(B2+B3)
d) =B1*(B2-B3)
e) =B3*(B2-B1)
Direct costs can be specifically traced to a cost object
Indicate whether the statement is true or false
Company Downsizing You are the president of Technik Inc Global competition and reduced market share has sent profits on a downward spiral which will result in employee layoffs. Nearly 10 percent of the employees will be laid off, effective in one week
They will receive two weeks severance pay, accrued sick leave pay, and career consulting from the human resources department. Write an interoffice memorandum announcing this negative organization news.
Answer the following statement(s) true (T) or false (F)
1. Every participant shares responsibility for a meeting with the meeting’s leader. 2. A pitch should always be done in a team. 3. An organization’s culture influences the nature of the reports. 4. Trainers give workshops on virtually any subject.