Kaizen budgeting allows for budgeting of small incremental increases in costs each budgeting period to allow for the effects of normal inflation

A project has a payback period of five years and the firm employs a 10 percent cost of capital. Which of the following statements is correct concerning this Project's discounted payback?

A) discounted payback will increase if the Project's IRR is less than 10 percent. B) discounted payback will decrease if the Project's IRR exceeds 10 percent. C) discounted payback will exceed five years. D) discounted payback will be less than five years.

Direct labor cost is the primary cost driver of support costs for two products. Product One has direct labor costs of $8.50 per unit and Product Two has direct labor costs of $130 per unit

The support costs assigned to each product is the direct labor cost times five. What is the support cost assigned to Product One and Product Two? Product One Product Two A) $8.50 $130 B) $5.00 $76.47 C) $42.50 $650 D) $5.00 $26.00