ACCT 434 Week 3 Cost Behavior Decision Making Quality
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6.<br />
Question :<br />
(TCO 4) When using the five-step decision process, which one of the following steps<br />
should be done last?<br />
7.<br />
Question :<br />
(TCO 4) Sunk costs<br />
8.<br />
Question :<br />
(TCO 4) Northwoods Incorporated manufactures rustic furniture. The cost<br />
accounting system estimates manufacturing costs to be $90 per table, consisting of<br />
80% variable costs and 20% fixed costs. The company has surplus capacity available.<br />
It is Northwoods' policy to add a 50% markup to full costs. A large hotel chain is<br />
currently expanding and has decided to decorate all new hotels using the rustic style.<br />
Northwoods is invited to submit a bid to the hotel chain. What is the lowest price per<br />
unit Northwoods should bid on this long-term order?<br />
9.<br />
Question :<br />
(TCO 5) Throughput contribution equals revenues minus<br />
10.<br />
Question :<br />
(TCO 5) A machine has been identified as a bottleneck and the source of the<br />
constraint for a manufacturing company that has multiple products and multiple<br />
machines. One way the company can overcome the bottleneck is<br />
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