Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

questions are in the picture, please provide an explanation 8. Cybil just inherited a 1958 Chevy impala from her late Aunt Jalopy. Aunt Jalopy purchased

image text in transcribed
questions are in the picture, please provide an explanation
image text in transcribed
8. Cybil just inherited a 1958 Chevy impala from her late Aunt Jalopy. Aunt Jalopy purchased the car 40 years ago for $8,000. Cybil is either going to sell the cat for $10,000 or haye it restored and then sellit for $22,000. The restoration will cost $9,000. Cybi wrould be financially better of by: a. \$3,00D to have the vehicle restored b. S6,000 to have the vehicle restored c. $9,000 to have the vehicle restored d. $11,000 to have the vehicle restored e. None of the above. The answer is Answer 9. Consider the following statements: 1. Actual costs are determined by plupging the actual level of activity far the period into the cost formulas used in fiexible budgets: II. A cost that will be incurned fegardless of which aiternative is selected is not relevant when choosing between the alternatives. a. I is truey II is true b. Iis true; II is false c. Is false; II is true d. I is false: 11 is false Answer. 10. Straight Framing's cost formula for its supplies cost is 51,640 per month plus 510 prer. frame: For the month of August, the compary planned for activity of 570 frames, but the actuill level of activity was 600 frames. The actual supplies cost for the month was 57,600 . The suppties cost in the FLEXIBLE budget for August would be closest to: a. $7,340 c. $7.600 b. 7,440 d. 7,640 e. None of the above. The answer is Answer 11. Special Company makes a single product. Production and selling prices per unit [based on normal production levels] are: Direct materiats 55,00 ; Direct labor $3.00; variable manufacturing overhead $1.00; Fixed manufacturing overhead $4.50; Variable selling and administrative expense $2.00; And Fixed selling and administrative expense $2.50. An order has been received for 1,000 units at a special price of $14,00 per unit. This order will not affect regular sales. Special Company has enough production capacity to produce the items without changing total fixed costs. If the order is accepted annual profits will: a. Decrease $18,000 d. Increase $4,000 b. Increase $18,000 e. Decrease $3,000 c. Decrease $4,000 1. Increase $3,000. 8. None of the above. The answer is

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting

Authors: Susan V. Crosson, Belverd E. Needles

10th edition

1133940595, 978-1133940593

More Books

Students also viewed these Accounting questions

Question

Where would equity theory be relevant in Alibabas history?

Answered: 1 week ago