gain financially in the transaction? Use sinking fund method of depreciation. 3. An equipment costs P500,000 and has a salvage value of P25,000 after its 25 years of useful life. What will be the book value of the equipment at the end of 8 years?

Q: Which one of the following statement best describe the unit variable cost: Select one: O a. Remains…

A: The Question has covered the concept of Variable Cost. The cost which is increases with level output…

Q: The increase/decrease in variable cost from existing level to the new level is called as __cost. a.…

A: Variable cost tends to increase or decrease with increased or decreased volume of production whereas…

Q: a. Calculate the return on investment. (Round your answer to 2 decimal places.) Return on Investment…

A: Return on Investment: It is a measure of performance and profitability that is applied to evaluate…

Q: Explain favourable variance.

A: Definition:   Variance analysis: Variance analysis is the process of evaluating the differences…

Q: Define Contribution margin? Give three examples?

A: Contribution Margin: Contribution margin is the excess of selling price over the variable costs of a…

Q: Difference between weak and semi strong from efficiency.

A: Efficient Market Hypothesis(EMH) states that the price of the share will reflect the information and…

Q: Compare and contrast the two different methods of computing breakeven units. Does the use of the…

A: There are two primary methods of computing breakeven units: the Equation Method and the Contribution…

Q: Harof activity increases, total variable costs a. decrease. b. remain the same. c. Increases in…

A: Variable costs: Variable costs means costs which changes with the level of output. Variable cost per…

Q: how much is a good margin of safety percentage?

A: Margin of Safety  Margin of safety is the area between the break even point and maximum sales. This…

Q: What is a spending variance and what does it mean?

A: A variance means difference between actual and budgeted amounts. A spending variance is difference…

Q: What is the coefficient of variation over the same period?

A: The coefficient of variation (CV) is a statistical measure used to assess the relative variability…

Q: Which of the following is correct concerning reactions to INCREASES in activity? Variable Cost Per…

A: Expenses that change in direct proportion to the volume of output or activity in a business are…

Q: Define variance

A: Variance in statistics is the calculation of the distribution in an information source between the…

Q: Variance percentage is calculated by dividing the choose your answer... by the choose your answer...

A: Variation refers to the difference i.e. the difference between the current amounts with the budgeted…

Q: Define the Sortino ratio and explain its advantage

A: Ratio analysis is referred to as the quantitative method for gaining an insight with relate to the…

Q: Draw up a marginal statement that calculates the contribution per uni

A: Marginal costing seems to be a costing method whereby all variable expenses are included in the…

Q: How to estimate the Residual Value?

A: Residual value means value of fixed asset left after the use of fixed assets. Residual value also…

Q: Explain different terms are used to refer to rate of return?

A: Answer: Rate of return is nothing but the returns that are expecting on investments made by…

Q: What is favorable variance? Give three examples?

A: Favorable Variance: Favorable variance is the variation in the actual and planned output which is…

Q: Briefly define Average rate of change (AROC) and instantaneous rate of change (IROC) with respect to…

A: Average Rate of Change (AROC) is a measure of the average rate at which a quantity changes over a…

Q: CM ratio = 1 ______ the Variable expense ratio. minus plus divided by multiplied by

A: Contribution margin ratio is the ratio between contribution margin and sales revenue. It is…

Q: differences between Weighted Average and FIFO methods

A: Weighted Average and FIFO methods are used to value inventory of business.

Q: Define residual value.

A: Depreciation: Depreciation refers to the reduction in the monetary value of a fixed asset due to its…

Q: When the level of activity decreases, variable costs will:A - increase per unit.B - increase in…

A: Step 1:When the level of activity decreases, variable costs will change as follows: A - Increase per…

Q: What is the equation to find Contribution Margin?

A: Contribution margin:   Contribution margin refers to the process or theory that is used to judge the…

Q: How do you find the standard quantity for efficiency variance?

A: Management should pay particular attention to those that are uncommon or noteworthy. Firms may…

Q: Show how each of these costs will behave as the volume of activity decreases.…

A: The volume of activity directly impacts the variable cost because the variable cost changes directly…

Q: Is quick and acid ratio calculated in the same way?

A: I) Quick Ratio is Also Known as Acid Test Ratio & Liquidity Ratio.II) Quick Ratio is Computed :=…