Answer:
One of the great dangers in allocating common fixed corporate costs is that such allocations can make a product line look less profitable than it really is.
Explanation:
Therefore, care must be exercised so that a product line is not eliminated because the common fixed costs have been allocated to it such that it becomes unprofitable. This is why it is necessary to identify activity cost pools into which such fixed costs can be accumulated and from which they can be allocated to product lines. Using ABC costing approach, for instance, offers a means of escape because the system tries to allocate costs based on the level of usage or consumption of such common costs by each product line instead of using arbitrary allocation formulas.
Answer:
b.use the S-2 employee
Explanation:
Calculation for the the most cost-effective solution
S-1 S-2 S-3
Time for 1 unit (in minutes) 30 24 21
Units in 1 hour 2 2.5 2.857142857
(60/30= 2)
(60/24=2.5)
(60/21=2.857142857)
Wages per hour $ 16.00 $ 19.00 $ 22.00
Wages per/ unit $ 8.00 $7.60 7.70
($ 16.00/2=$8)
($ 19.00/2.5=$ 7.60)
($ 22.00/2.857142857=$ 7.70)
Ranking
S-1 $ 8.00 III
S-2. $7.60 I
S-3 7.70 II
Therefore based on the above Calculation the most cost-effective solution will be to use the S-2 employee
Answer: intensive distribution
Explanation: In simple words, it refers to a marketing strategy under which a company offers its product through as many outlets as possible in the market so that customers can easily find their product when in need.
The core objective of implementing thus Strategy is to make customer satisfied regarding the availability. These strategy is implemented for the products that already have a strong customer base.
Hence from the above we can conclude that the correct option is B.
Answer:
B. Executive Summary
Explanation:
Executive Summary is a business plan which comes first and should be written last