Assume the following information for a company that produced 10,000 units and sold 9,000 units during its first year of operations: Per Unit Per Year
Selling price $200
Direct materials $77
Direct labor $50
Variable manufacturing overhead $10
Sales commission $8
Fixed manufacturing overhead $292,000

Which of the following choices explains the relationship between the absorption costing net operating income and the variable costing net operating income?

a. The absorption costing net operating income will be lower than the variable costing net operating income by $30,000.
b. The absorption costing net operating income will be lower than the variable costing net operating income by $102,000.
c. The absorption costing net operating income will be higher than the variable costing net operating income by $30,000.
d. The absorption costing net operating income will be higher than the variable costing net operating income by $102,000.

Straight arrow unloaded two tankers worth of toxic waste at an important port in the country of urithmea. a hundred workers worked two days in their shorts and sandals to unload the barrels from the tankers for $5 a day. they were not told about the content of the barrels. some observers felt that it was the obligation of not just the government of urithmea but also of straight arrow to ensure that no harm was done to the workers. these observers are most likely

At a student café, there are equal numbers of two types of customers with the following values. the café owner cannot distinguish between the two types of students because many students without early classes arrive early anyway (i.e., she cannot price-discriminate). students with early classes students without early classes coffee 70 60 banana 51 101 the marginal cost of coffee is 10 and the marginal cost of a banana is 40. the café owner is considering three pricing strategies: 1. mixed bundling: price bundle of coffee and a banana for 161, or just a coffee for 70. 2. price separately: offer coffee at 60, price a banana at 101. 3. bundle only: coffee and a banana for 121. do not offer goods separately. assume that if the price of an item or bundle is no more than exactly equal to a student's willingness to pay, then the student will purchase the item or bundle. for simplicity, assume there is just one student with an early class, and one student without an early class. price strategy revenue from pricing strategy cost from pricing strategy profit from pricing strategy 1. mixed bundling $ $ $ 2. price separately $ $ $ 3. bundle only $ $ $ pricing strategy yields the highest profit for the café owner.

The sec has historically raised questions regarding the independence of firms that derive a significant portion of their total revenues from one audit client or group of clients because the sec staff believes this situation causes cpa firms to