Differential Analysis In each of four independent cases, the amount of differential revenue or differential cost is as follows (parentheses indicate decreases): 2 Increases (decreases) in: Revenue Costs Increases (decreases) in: Revenue Costs 1 $18,000 $0 Increases (decreases) in: Revenue Costs $ 3 For each case, determine the missing amount that would be necessary for the net differential amount to be: a. $8,000 Use a negative signs with answers to reflect decreases. 1 ? ? ? ? $(12,000) $0 4 $18,000 10,000 $ $18,000 22.000$ 2 b. ($4,000) Use a negative signs with answers to reflect decreases. 1 $0 $ 8,000 * 2 4.000 $0 $ 3 20,000 * $ $(12,000) 3 8,000 $ $(12.000) 4 8,000 ✓ $0 4 4,000 X $0
Differential Analysis In each of four independent cases, the amount of differential revenue or differential cost is as follows (parentheses indicate decreases): 2 Increases (decreases) in: Revenue Costs Increases (decreases) in: Revenue Costs 1 $18,000 $0 Increases (decreases) in: Revenue Costs $ 3 For each case, determine the missing amount that would be necessary for the net differential amount to be: a. $8,000 Use a negative signs with answers to reflect decreases. 1 ? ? ? ? $(12,000) $0 4 $18,000 10,000 $ $18,000 22.000$ 2 b. ($4,000) Use a negative signs with answers to reflect decreases. 1 $0 $ 8,000 * 2 4.000 $0 $ 3 20,000 * $ $(12,000) 3 8,000 $ $(12.000) 4 8,000 ✓ $0 4 4,000 X $0
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Differential Analysis
In each of four independent cases, the amount of differential revenue or differential cost is as follows (parentheses indicate decreases):
4
Increases (decreases) in:
Revenue
Costs
Increases (decreases) in:
Revenue
Costs
Increases (decreases) in:
Revenue
Costs
1 2
$18,000 $0
For each case, determine the missing amount that would be necessary for the net differential amount to be:
a. $8,000
Use a negative signs with answers to reflect decreases.
1
$
3
? ?
? ? $(12,000) $0
$
$18,000
10,000 $
b. ($4,000)
Use a negative signs with answers to reflect decreases.
1
2
$18,000
22,000 $
$0 $
8,000 x
2
$0 $
4,000 ✓
3
20,000 * $
$(12,000)
3
8,000 x $
$(12,000)
4
8,000
4
$0
4,000 X
$0
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