Manufacture hot tubs

Assignment Help Accounting Basics
Reference no: EM133650390

Question

Park City Pools is examining if they should also manufacture hot tubs. They collect information and determine that if they do manufacture hot tubs, they will make an additional $100,000 in profit. Park City could use the money they would invest in manufacturing in some other line of business, but the new product line will prevent the company from expanding its service contract with the YMCA. What is the type of cost they would incur, in order to manufacture hot tubs instead of something else? a.) Discretionary Fixed Cost b.) Opportunity Cost c.) Relevant Cost d.) Irrelevant Cost.

Reference no: EM133650390

Questions Cloud

Games with liability account like loss reserves : Any time you play games with a liability account like loss reserves of an insurance company, you are also playing games with earnings
Obtaining information regarding company related parties : There are numerous significant individuals and groups to examine when obtaining information regarding a company's related parties,
Undertaking project to install new plant : Paradise Lighting Company is undertaking a project to install a new plant at its production facility in Ba.
Entity prospects for future net cash inflows : Who needs information about the resources of the entity not only to assess an entity's prospects for future net cash inflows but also how effectively
Manufacture hot tubs : Park City Pools is examining if they should also manufacture hot tubs. They collect information and determine that if they do manufacture hot tubs,
Vendors give on consignment as versus oxygen : Tips are not an item that vendors give on consignment as versus Oxygen. We pay for oxygen as it is used so it is not money sitting on a shelf or in a box.
Present the business case for change : Present the business case for change, setting out why action on human rights will also add value to the company.
Information is accurate excess inventory example : Analyze and check if information is accurate excess inventory example overstocked : Q-tips-100 boxes of Q-tips that represent $2000.
Determine the cost for pair of each type of moccasin : Jodi sells hand-made moccasins at a local farmer's market. Determine the cost for a pair of each type of moccasin.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd