Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

What is a fixed cost that supports the operations of more than one segment and is difficult to trace in whole or in part to

What is a fixed cost that supports the operations of more than one segment and is difficult to trace in whole or in part to any one segment?
Common fixed cost
Production fixed cost
Differential fixed cost
Traceable fixed cost
A company segment has traceable fixed expenses of $50,000. The segment also has $200,000 in total sales and an overall contribution margin of $100,000.
What is the segment break-even point?
$50,000
$100,000
$150,000
$200,000
Company management is considering whether to have a salesperson drive a personal car or take an airplane flight to visit customer A. Classify each cost as Relevant or Not relevant in this situation.
Gasoline cost to visit customer by car Insurance on the salesperson's car Not relevant
Annual registration fee for the salesperson's car Not relevant
Cost of babysitter to watch salesperson's children while away Not relevant
Taxicab fee from airport to customer's place of business Relevant
Price of airline ticket to visit customer Relevant
Hotel costs while visiting customer Relevant

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

Structured Edp Auditing

Authors: Gabriel Rothberg

1st Edition

0534979319, 978-0534979317

Students also viewed these Accounting questions

Question

state what is meant by the term performance management

Answered: 1 week ago