You are the owner of your own company. You want to employ new workers and also buy a delivery van. Finally, you decide to employ new workers instead of buying a deliver van. Which economic concept is implicit in the above statement? Economic cost Accounting cost Opportunity cost Marginal cost

Q: Which one of the following statement is not correct? Group of answer choices -Opportunity costs are…

A: Managerial accounting is helpful in decision-making related to a product whether the product should…

Q: Customer life-cycle costs: Select one: a. Are the replacement costs of using a product or service.…

A: Cost Accounting system   A perpetual inventory accounting system, the cost accounting system is…

Q: Discuss the concept of cost of goods sold. Why is it so important? What is the downside for you, as…

A: 1 a   Cost of goods sold (COGS) is a key concept in accounting that refers to the cost of the goods…

Q: a. A producer borrows money and starts a business. He himself looks after the business. Identify…

A: Explicit cost means the cost which is actual cost and paid to an outsider. Implicit cost means the…

Q: The salary foregone by a person who quits a job to start a business is an example of a(n) ________.…

A: Answer: Option (a) Opportunity Cost is the Correct Answer

Q: Why is it important to fully understand the cost associated with each item you sell or each service…

A: Cost defines as the total expenditure incurred in the making of any finished product and the total…

Q: ompanies allocate costs? What are some of th

A: The process by which a firm allocates and assigns its different expenses or costs to certain goods,…

Q: Select a manufacturing organization for justifying the following quote “Companies with labor…

A: Labor costing is important when it comes to incremental and avoidable labor costs that are installed…

Q: How cost accounting helps tourism firm in determining the price? b. Which kind of decision can be…

A: The system of cost accounting is the process of ascertainment of costs by application of costing…

Q: In your own words, explain what differential costs mean. How are fixed costs and variable costs…

A: The cost can be classified on the basis of nature variable or fixed. The variable cost are directly…

Q: HEB grocery How can the contribution margin be used to determine the profitability of HEB grocery…

A: Contribution Margin is the difference between Sales Revenue and the Variable cost. In other words it…

Q: Which of the following would reduce net profit margin but have no effect on gross profit  margin? a)…

A: a) Commission paid to salesmen is a selling expense charged against net profit .b) Purchase price…

Q: If you were a small business owner would you implement an activity based costing system? What…

A: Activity Based Costing- It is costing in which cost of overhead is assigned firstly to those…

Q: Knowing how costs behave to change in the level of activity is useful to management for all the…

A: Customer demand cannot be predicted by paying attention to how costs change when activity changes.…

Q: ivity analysis, and how is it used with cost driver analysis to manage costs and increase profits?…

A: An organization might use activity analysis as a management tool to recognize and comprehend the…

Q: In Classification Of Cost (Marginal costs) What Is A Business Situational Example of the ff:…

A: Cost is the amount which is spend to sold the goods or to provide the service. It is comprises of…

Q: Describe a business you are familiar with or might start yourself. Name 2 fixed and 2 variable…

A: The fixed cost refers to the cost that does not change with the change in the level of output, for…

Q: The labor supply curve   a. may slope either upward or downward, depending upon the real wage…

A: The correct option is  B. slopes downward to illustrate that a decrease in the real wage decreases…

Q: Give an example of a product you would like to make and sell (like coffee - just pretend). What are…

A: Production Cost: It includes expenses incurred by a firm when it manufactures a product or provides…

Q: how important does the owner /manager believe cost information is the success of the business?

A: Cost accounting is an accounting system which provides information about all the costs incurred in…

Q: What are the benefits enjoyed by tourism firm by adopting cost accounting?

A: cost accounting -    cost accounting is the recording classifying summarizing and analyzing the…

Q: Which of the following statements is not a characteristic of a target costing system? It is a good…

A: Target Costing is a cost management tool for producing overall cost of product over its entire life…

Q: Describe the differences in behavior of fixed costs, variable costs, semi-variable costs and step…

A: Fixed costs are fixed in nature, it doesn't vary with the change in units. The total fixed cost will…

Manufacturing Costs

Manufacturing cost is the total cost of procuring or producing a product. In other words, the manufacturing cost is the cost that an individual or business owner undertakes for the manufacturing of goods.