The type of overhead costing system that would be the best fit for Lunker is: Traditional costing system using design hours as the basis for allocation.
<h3>What is the Traditional Costing System?</h3>
The traditional costing system is a method applied in accounting that aims at determining the cost of production. One driver is assigned as the basis of allocation.
In the case of Lunker Lures above, the driver that is used as the basis of allocation should be design hours.
Learn more about the Traditional Costing System here:
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Answer:
D. Product/service management
Explanation:
"Creating, developing, retaining, and obtaining...meets consumer needs" basically equals management
"Products and services"=product/service
Add them together is product/service management!
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Answer:
The correct answer is $4,500.
Explanation:
According to the scenario, the given data are as follows:
Uncollectible Account receivable = $5,000
Account receivable balance = $100,000
Allowance for Doubtful Accounts = $500
Credit sales = $150,000
So, we can calculate the bad debt expense by using following formula:
Bad debt expense = Uncollectible Account receivable - Allowance for Doubtful Accounts
by putting the value, we get
Bad debt expense = $5,000 - $500
= $4,500.
Capacity is constrained when demand exceeds supply and the flow rate is equal to process capacity. The capacity constraint<span> is a factor that prevents a business from achieving more output. </span><span>
If capacity is constrained, we should raise the staffing level to lower capacity.</span>