Why are fixed costs not relevant for most short-term decisions?
Question:
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 70% (17 reviews)
In the short run fixed costs are constant are not avoidable and do not differ under different alt...View the full answer
Answered By
Hillary Waliaulah
As a tutor, I am that experienced with over 5 years. With this, I am capable of handling a variety of subjects.
5.00+
17+ Reviews
30+ Question Solved
Related Book For
Managerial Accounting A Focus on Ethical Decision Making
ISBN: 978-0324663853
5th edition
Authors: Steve Jackson, Roby Sawyers, Greg Jenkins
Question Posted:
Students also viewed these Managerial Accounting questions
-
Why are fixed costs depicted as a horizontal line on a CVP chart?
-
Why are variable costs usually more relevant than fixed costs in short-term decision making?
-
Why are committed fixed costs the most difficult of the fixed costs to change?
-
What is the charge of the iron ion released upon dissolvingFe(NH 4 ) 2 (SO 4 ) 2 ?Remember the charges of the polyatomic ions NH 4 andSO 4 and that the entire compound will be chargeneutral. a). 8+...
-
Three consumers go to a Best Buy to shop for high-definition televisions (HDTVs). Let B indicate that one of the consumers buys an HDTV. Let D be that the consumer doesnt buy an HDTV. Assume these...
-
Use Mathematical Induction to show that if a R and m; n N, then am+n = aman and (am) = amn.
-
Global Markets, Inc. was experiencing a shortage of cash. Consequently, the President was considering two options to provide an immediate inflow of cash. The first option was to sell \($2\) million...
-
On May 10, Jack Corporation issues 2,000 shares of $10 par value common stock for cash at $18 per share. Journalize the issuance of the stock.
-
Jack, a geologist, had been debating for years whether or not to venture out on his own and operate his own business. He had developed a lot of solid relationships with clients, and he believed that...
-
The owner of a restaurant that serves Continental-style entrees has the business objective of learning more about the patterns of patron demand during the Friday-to-Sunday weekend time period. Data...
-
Discuss situations in which the high/low method may provide inaccurate estimates of fixed and variable costs.
-
Discuss the impact of taxes on costs and how that impact affects decision making.
-
The Federal Trade Commission, a government agency that protects consumers, has hired you to summarize the issue of rising U.S. consumer debt. Your task is to write a short report within the body of...
-
Define the per case payment. Describe how the per case payment approached as it relates to standard costing. Discuss from a Judeo Christian perspective if this is an appropriate costing method for...
-
What is functional dependency? How does it differ from full functional dependency? How is each one utilized in a database?
-
suppose the earnings per share of a stock is $2 and the current price/ earnings (p/e) ratio is 10. what is the current price of the stock?
-
Samantha loaned$300,000to a small business at8.25%compounded semi-annually for3year and4months. a. How much would the business have to repay Samantha at the end of the period? b. How much interest...
-
Explain how the economic conditions of Australia will affect the growth and planning of Telstra and optus carriers/service providers Evaluate how the political influences impact Telstra and optus...
-
What is the ratio of the energy of a photon of light at the far red end of the visible spectrum (700 nm) to that of a photon at the far blue end of the visible spectrum (400 nm)?
-
Rewrite Programming Exercise 7.5 using streams. Display the numbers in increasing order. Data from Programming Exercise 7.5 Write a program that reads in 10 numbers and displays the number of...
-
Piezoelectric accelerometer a. produces light pulses intermittently b. has high output and is insensitive to temperature c. frequently used in velocity pickups d. has high sensitivity and frequency...
-
Suppose a tour agent approached the general manager of the Grand Canyon Railway with a proposal to offer a special guided tour to the agents clients. The tour would occur 20 times each summer and be...
-
The Drosselmeier Corporation, located in Munich, makes Christmas nutcrackers and has an annual plant capacity of 2,400 product units. Suppose its predicted operating results (in euros) for the year...
-
Kester Electronics had a fixed factory overhead budget for 20X0 of $72 million. The company planned to make and sell 9 million units of a particular communications device. All variable manufacturing...
-
What can you put into place to mitigate risks in a supply chain aspect?
-
Use the cps09mar . csy dataset to estimate the effect of education on earnings. Data description and variable definitions can be found in the document cps09mar_description. pdf. For all questions...
-
See if there are differences in the four survey measures by one demographic (other than gender). Intrinsic Job Satisfaction Extrinsic Job Satisfaction Organizational Commitment . Insert Pivot Chart...
Study smarter with the SolutionInn App