subject
Business, 05.05.2020 07:52 baseballdude4807

Aqua Company produces two products: Alpha and Beta. Alpha has a high market share and is produced in bulk. Production of Beta is based on customer orders and is custom designed. Also, 55% of Beta's cost is shared between design and setup costs, while Alpha's major portions of costs are direct costs. Alpha is using a single cost pool to allocate indirect costs. Which of the following statements is true of Aqua? a) Aqua will overcost Beta's direct costs as it is using a single cost pool to allocate indirect costs. b) Aqua will undercost Alpha's indirect costs because alpha has high direct costs. c) Aqua will overcost Alpha's indirect costs as it is using a single cost pool to allocate indirect costs. d) Aqua will overcost Beta's indirect costs because beta has high indirect costs.

ansver
Answers: 1

Another question on Business

question
Business, 22.06.2019 13:20
Suppose farmer lane grows and sells cotton in a perfectly competitive industry. the market price of cotton is $1.64 per kilogram, and his marginal cost of production is $1.44 per kilogram, which increases with output. assume farmer lane is currently earning a profit. can farmer lane do anything to increase his profit in the short run? farmer lane: a. cannot do anything to increase his profit. b. may or may not be able to increase his profit. c. can increase his profit by raising his price. d. can increase his profit by producing more output. e. can increase his profit by shutting down.
Answers: 1
question
Business, 22.06.2019 18:10
Ashop owner uses a reorder point approach to restocking a certain raw material. lead time is six days. usage of the material during lead time is normally distributed with a mean of 42 pounds and a standard deviation of four pounds. when should the raw material be reordered if the acceptable risk of a stockout is 3 percent?
Answers: 1
question
Business, 22.06.2019 21:20
Which of the following best explains why buying a house is more beneficial than renting? a. buying is a personal investment while renting involves giving money to the landlord. b. the monthly payments on a mortgage are generally lower than rent on an apartment. c. it's easier to sell a house than it is to get a landlord to break a rental agreement. d. housing prices can go up and down quickly in comparison to the level of rents.
Answers: 1
question
Business, 23.06.2019 00:00
How much is a 2019 tesla? ? exact price trying to buy for my 6 year old sister
Answers: 2
You know the right answer?
Aqua Company produces two products: Alpha and Beta. Alpha has a high market share and is produced in...
Questions
question
Mathematics, 06.11.2020 03:10
question
Advanced Placement (AP), 06.11.2020 03:10
question
Mathematics, 06.11.2020 03:10
question
Mathematics, 06.11.2020 03:10