Accounting > QUESTIONS & ANSWERS > ACCT 2102 EXAM 4 Study Guide (Chapters 20-23) QUESTIONS And Answers WITH VERIFIED SOLUTIONS GRADED (All)
ACCT 2102 EXAM 4 Study Guide (Chapters 20-23) QUESTIONS And Answers WITH VERIFIED SOLUTIONS GRADED A+
Document Content and Description Below
ACCT 2102 EXAM 4 Study Guide (Chapters 20-23) QUESTIONS And Answers WITH VERIFIED SOLUTIONS GRADED A+ Chapter 20 1. A company is considering the following alternatives: Alternative 1 Alternative 2 ... Revenues $240,000 $240,000 Variable costs 120,000 140,000 Fixed costs 70,000 70,000 Which of the following are relevant in choosing between the alternatives? a. Variable costs b. Revenues c. Fixed costs d. Variable costs and fixed costs 2.It costs Ross Co. $24 of variable and $10 of fixed costs to produce one bathroom scale which normally sells for $70. A foreign wholesaler offers to purchase 2,000 scales at $30 each. Ross would incur special shipping costs of $2 per scale if the order were accepted. Ross has sufficient unused capacity to produce the 2,000 scales. If the special order is accepted, what will be the effect on net income? a. $8,000 increase (30 sale price – 26 variable (24+2) =$4 profit per scale; 4*2000 b. $8,000 decrease c. $12,000 decrease d. $60,000 increase [Show More]
Last updated: 2 months ago
Preview 5 out of 27 pages
Loading document previews ...
Buy this document to get the full access instantly
Instant Download Access after purchase
Buy NowInstant download
We Accept:
Reviews( 0 )
$9.00
Can't find what you want? Try our AI powered Search
Document information
Connected school, study & course
About the document
Uploaded On
Sep 27, 2023
Number of pages
27
Written in
Additional information
This document has been written for:
Uploaded
Sep 27, 2023
Downloads
0
Views
135
